Squared Away blog writer Kim Blanton reported on new study by the University of Massachusetts’ Gerontology Institute that ranks each state based on how many of its retirees can meet a basic standard of living that comes up with an interesting combination of places that are financially friendly – or not – to people over 65.
Blanton focuses on the retirement challenges facing residents in two very different states: California and Mississippi.
“Many people in California and Mississippi are having a difficult time – but for very different reasons,” says Blanton.
“California is a tough place to be retired because the cost of living is notoriously high. Mississippi’s issue is that workers’ – and retirees’ – incomes are low, which makes it difficult to make ends meet, despite the state’s low cost of living.”
The heart of the analysis by UMass is an “elder index” specific to each state, which estimates the income necessary to cover essential living costs – rent, food, transportation, health care, a phone, and household items. Vacations, restaurant meals, and entertainment are not included in the estimates. Read the full article.