Delaware Takes Top Spot: Best State For Women To Retire
A report from CNBC points out that not only do women start with less money in their pockets, but they also live longer and they also have higher retirement costs. They highlighted that women have about 44% less saved by the time they retire than their male counterparts. The outlet says that this is due to financial discrepancies women face.
The Social Security Administration reported that women 65 and older received an average annual income of $14,204 compared to men’s $18,108 in 2021. Additionally, since women live about five years longer than men in the U.S., they have to stretch their retirement savings for longer.
Insider Monkey, a finance website, compiled a list of the best states to retire for women in the U.S. The finance website ranked the states based on the average life expectancy of women in each state, the average Social Security check that a woman receives on average, women’s earnings as a percentage of men in each state (as many retirees work part-time), cost of living, and tax-friendliness.
The Number One State For Women To Retire In
According to the financial website, Delaware has the best retirement conditions for women based on factors such as life expectancy, average Social Security benefits, earnings, cost of living, and tax-friendliness. They said that the state has a notable gender pay ratio, with women earning 95.5 percent of men’s earnings.
They do point out that the life expectancy of 79.5 years is slightly lower than the national average, and Delaware maintains a reasonable cost of living, “ensuring financial stability.” Also noted is that the estimated average Social Security monthly benefit for women in Delaware is $1,608.
Last year, Bankrate.com also ranked Delaware as one of the top three best retirement states. Currently, over 20 percent of its population, or 190,000, is aged 65 and over, and that number is projected to increase by more than 40 percent by 2040.
Following behind Delaware on the list is Washington. “Women in Washington can anticipate support with an estimated average Social Security monthly benefit of $1574,” they said. The website did note that Washington itself is an expensive state to retire despite decent retirement benefits.
Wrapping up the top three is Minnesota. “Minnesota may tax most of retirement income, but it also provides certain deductions and subtractions for seniors,” said the outlet. They highlight how the state has a lower-than-average cost of living, a good life expectancy, and women’s earnings as a percentage of men stand at 91%.
Take a look at the complete ranking here.
