Retirement planning involves saving and investing wisely during your heyday to build a nest egg that can support you when you stop working. It also involves researching retirement places to consider, as well as those to avoid. Many of these locations are great to visit, but you’ll want to study the impact factors such as cost of living, housing and tax rates, which will have an impact on your ability to live comfortably or not. If you want to get the best value for your retirement money, here are nine U.S. states you should avoid upon retirement.
1) New York
Cheap is something you can never relate to the Big Apple. It may be a relatively safe state, but in the entire United States, the five boroughs and Long Island are among the most expensive places to live.
The tax rate and cost of living are also extremely high in New York. In fact, state and local income taxes in New York are the highest in the US while property taxes rank fourth highest in all 50 states. In 2014, cost of living in the Big Apple soared 120.4% above the national average. Moreover, health care and housing, which are two of the most important staples for seniors, are very expensive in New York. According to reports, a married couple aged 65 years old who retire in New York would be facing health care costs amounting to $413,597. This is 4.7% higher than the national average.