News Summary
A recent report reveals that retiring in Massachusetts requires an overwhelming $1,645,764 to live comfortably, making it one of the priciest states for retirees. While the average annual cost of living for retirees is about $88,627, many must turn to personal savings for support. However, nine towns within the state offer more affordable housing options, significantly easing the financial burden on retirees. These towns include Gardner, Southbridge, and Adams, among others, known for their below-median home prices and conducive living conditions.
Massachusetts has been identified as one of the most expensive states for retirees, with a staggering $1,645,764 required to retire comfortably. The annual cost of living for retirees in the state stands at approximately $88,627, necessitating retirees to supplement their income with over $65,831 annually from personal savings after factoring in average Social Security income.
While Massachusetts presents a financial challenge for many looking to retire comfortably, nine towns within the state offer more affordable housing options. These towns are recognized for their below-median housing costs and supportive civic systems. The towns highlighted include Gardner, Southbridge, Athol, Wareham, Fairhaven, Easthampton, Greenfield, Adams, and East Longmeadow.
Gardner stands out with a typical home price of $360,000, significantly lower than the state median of $600,000. This affordability makes it easier for retirees on fixed incomes to manage their finances. Southbridge also offers affordable housing, with typical prices around $375,000. Furthermore, it boasts a municipal airport and a public power system, enhancing the quality of life for its residents.
Athol, nicknamed “Tool Town,” features median home prices of $360,000 and is rich in historical manufacturing sites. Wareham offers a coastal experience with median home prices of $460,000, avoiding the seasonal tax surges common in other coastal areas. Meanwhile, Fairhaven provides relatively affordable waterfront living with homes priced at around $530,000.
Easthampton has transformed former textile mills into vibrant art spaces, contributing to its appeal, with typical home values around $480,000. For those seeking the lowest median home value on the list, Greenfield offers an attractive $357,000, while also providing essential services and public transit. Adams emerges as the most affordable option with a median home price of $325,000, catering well to retirees. Lastly, East Longmeadow boasts a median home price of $435,000, remaining under the state median and providing access to medical care.
The report articulates that accessible housing, immediate healthcare, and recreational opportunities are vital components of a comfortable retirement. Despite this, Massachusetts ranks among the top five states for the highest retirement costs, alongside Hawaii, California, Alaska, and New York. In stark contrast, states like Alabama offer significantly lower retirement costs, with a comfortable retirement estimated at around $761,856.
Further analysis reveals that many retirees depend on Social Security as their primary source of income to cover their living expenses. Alarmingly, data shows that 20% of respondents aged 50 and above have no retirement savings at all, underscoring a significant planning gap. According to an analysis by GOBankingRates, a savings target of $1.5 million may be sufficient for a comfortable retirement in most states; however, this amount falls short in high-cost areas like Massachusetts.
In conclusion, while retiring in Massachusetts can be a daunting financial endeavor, understanding the economic landscape—particularly where affordable housing and necessary services align—can help retirees navigate their retirement years more securely. The contrasting options available in specific towns may provide the respite that many retirees desperately seek, facilitating a more manageable and enjoyable retirement.
Deeper Dive: News & Info About This Topic
- World Atlas: 9 Best Towns in Massachusetts to Retire Comfortably
- Montgomery Advertiser: Alabama is Among the 5 Cheapest States for Comfortable Retirement
- Kiplinger: Minimum Savings to Retire by State
- Newsweek: Retirement Savings and Social Security
- CNBC: How Much Money You Need to Retire in Every US State
- Wikipedia: Retirement in the United States
- Google Search: Retirement Savings by State
- Google Scholar: Retirement Finances
- Encyclopedia Britannica: Retirement
- Google News: Retirement Costs
Author: STAFF HERE BOSTON WRITER
BOSTON STAFF WRITER The BOSTON STAFF WRITER represents the experienced team at HEREBoston.com, your go-to source for actionable local news and information in Boston, Suffolk County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Boston Marathon, Head of the Charles Regatta, and Boston Harborfest. Our coverage extends to key organizations like the Greater Boston Chamber of Commerce and Associated Industries of Massachusetts, plus leading businesses in finance, biotech, and insurance that power the local economy such as Fidelity Investments, Biogen, and Liberty Mutual Insurance. As part of the broader HERE network, we provide comprehensive, credible insights into Massachusetts's dynamic landscape.
