Planning to Retire

Deciding Where to Move in Retirement

April 16, 2010 RSS Feed Print

Comment (6)
Tweet

The sun belt was the preferred retirement destination for the parents of the baby boomers. But the favored retirement states among baby boomers are actually North and South Carolina, according to a recent Del Webb survey. Some 36 percent of 50-year-old baby boomers planning to relocate in retirement are considering the Carolinas, beating out Florida (15 percent), Tennessee (9 percent), Arizona (8 percent), California (8 percent), and Virginia (8 percent).

[Find Your Best Place to Retire.]

Among 50-year-old baby boomers who plan to move in retirement, the cost of living in the new location was an important reason for relocating to 81 percent. The future retirees were interested in access to preferred health care programs in the new location (66 percent), the cultural and recreational amenities available (61 percent), and seeking out a more favorable climate (60 percent). Proximity to family was also a factor with many desiring to retire near children (46 percent), grandchildren (38 percent), and parents or in-laws (30 percent).

[See 10 Tips for Picking the Right Retirement Spot.]

In addition to these factors, retirees should consider the tax rate in their retirement locale. Seven states have no income tax: Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming. New Hampshire and Tennessee tax dividend and interest income only. Alaska, Delaware, Montana, New Hampshire, and Oregon are the states that levy no sales tax. It could also be worthwhile to weigh the property tax rates and state and local tax breaks for seniors in a retirement location.

[See How to Save Money by Retiring Abroad.]

Those who will need to work part time in retirement should look into the health of the local job market. If you’re currently seeking a retirement job, check out these Job-Search Resources for Older Workers. Also, consider these great places to retire for wine lovers, golf players, football fans, and water views.

Tags:: retirement

« Previous Post Next Post »

Reader Comments Read all comments (6)

Add Your Thoughts Comment Name State Email

Please enter the two words below into the text field underneath the image.

Your comment will be posted immediately, unless it is spam or contains profanity. For more information, please see our Comments FAQ.

Good article but why do many still feel they need to move to enjoy retirement? I sold homes in a "retirement paradise" for over a decade. People spent a fortune to move there and then moved back or tried somewhere else. After living somewhere for 30 years I guess people feel the grass must be greener elsewhere. Sometimes you don't realize what you have until it's gone. Over 1000 people a day move to Florida and over a 1000 a day move out. Great for real estate agents and moving co.'s but it's a nest egg fryer and very disruptive to the enjoyment of one's life especially later in life.

FLAmoveGuide of FL 8:41AM January 31, 2012

Since I moved, in 2006, to Margarita Island off the northern coast of Venezuela, after 12 costly years on St Thomas, USVI, I have been living in my own condo, which I bought in 2005. I overlook the Caribbean Sea and on a clear day I can see the mainland of Venezuela only 25 miles away. I am within walking distance of Supermarkets, hardware stores, furniture & mattress stores, as well as almost anything you can think of to buy. On this island of 1/2 million residents and tourists, we have an international mall with 250 shops as well as several smaller malls. Want to shop in the cheaper mom & pop shops, clothing from all over the world, wholesale and retail, walk in the other direction. You can take a bus for about 25 cents to almost everywhere and if you want a taxi that'll run you generally less than $10.
My condo fees have maxed out at about $35! And we have a swimming pool in the back yard. Electricity, I don't use AC because I have a fantastic breeze, never has been over $3 (generally under $2!). Phone and High speed broad band internet together run less than $20 and the most expensive of my monthlies is DirectTV which starts at about $30.
Yes my Soc Sec covers all that with enough to eat out as well as cook fresh (not frozen) foods.
It is not all paradise, there are shortages of staples, we do have a president who's given away to other countries what he should have given his own people, (sound familiar?) like Electricity, but time will tell after the 2012 elections whether this is THE ideal retirement place , or just the next best!!!
I traveled to Bali, but it was a bit too far from the US, where I go every few years, and I spent time in Costa Rica, which at the time in 2003 was about 3x as expensive as here, but you need to travel and get a taste of how the rest of the world lives before you make your move. Kind of like a smorgasbord!!!

sandi of NY 2:37PM April 18, 2011

If you do not feel that you MUST live in the U.S., consider moving to a third world country. Since my retirement in 2005, I've traveled to nineteen 3rd world countries, and tried living in several of them including Thailand, Peru, and Costa Rica. I could live in either of these, and a number of others. I'm now off to explore new areas, but after our traveling decreases, we will settle for at least several years in a similar area before moving to another.
Life there opens up your eyes as each day brings something completely different. Your wallet will thank you also, as the cost of living can be MUCH less expensive than the U.S. Can't afford health insurance here? All the third world countries that I checked on had very inexpensive insurance that often allows you to use top rated medical facilities, such as are located in Bangkok, Thailand. A one hour ER visit in Peru cost me $6.60 including meds! And that was in the best of 3 levels of hospitals there. I got a series of 3 rabies shots for prevention in Thailand; cost in the U.S. is $1500 (my sister is a Vetrinarian so I know the cost), cost there was $36 TOTAL!! And they used Rabipure, exactly the same vacine they use in the U.S. (yes, you ARE being ripped off by pharmacuetical companies here!)
Including health insurance, your yearly living costs could be $8,000 to $13,000 (for two), and this amount of money allows you to live a pleasant life where you can buy everything you need within walking distance of home. Many local folks make UNDER $2000 per family per year, and they live in a very small house which they own and they are NOT starving. No car however. In many areas a 900 square foot house may cost under $20,000. Or a decent rental $300/month.
I'm not a city person, so even though I have traveled in some huge urban areas like Bangkok (12 million) or Lima (about the same), I prefer small towns. I rented a small house in Caraz, Peru for $125/month. Yes, you will hear from some folks who say that living in many 3rd world countries costs $30,000/year, but they are NOT speaking of life in smaller towns away from tourist spots.
Safety? I feel much safer in nearly any 3rd world area than I do in the U.S.
In South America, they will steal your bicycle (if left outside) in an hour, but nowhere did I feel a personal threat. My wife (who is Thai) rode her bicycle to the subway station in Bangkok for 5 years, parked it UNLOCKED, and went to her job. It was NEVER touched.
Its up to you, but I have no intention of spending each day in a place that is way too familiar, has unsurprising food-people-landscapes-animals etc. The world is still a big place, and you are rich compared to most people on it. TRY SOMETHING
NEW.

Mark of CO 3:42PM March 08, 2011

Planning to Retire

Deciding Where to Move in Retirement

Reader Comments Read all comments (6)

Planning to Retire

Rankings Lists

U.S. News & World Report

Sections

Deciding Where to Move in Retirement

Related Articles

You might be interested in...

Reader Comments Read all comments (6)

Planning to Retire

Best of Planning to Retire

Follow U.S. News Money

Like Us On Facebook

Rankings Lists

U.S. News & World Report

Sections