Is Moving in Retirement a Smart Money Choice?

Before you go, we thought you'd like these...
Before you go close icon

Many people figure that they'll move after they retire, either to live closer to where they want to be or to save on expenses. But is it a smart money move to relocate in retirement, or is it a decision that you'll come to regret?

In the following video, Dan Caplinger, The Motley Fool's director of investment planning, looks at the pros and cons of moving in retirement. Dan notes that especially if you live in a high-cost area, moving can make huge financial sense, either within the U.S. to a lower-cost area of the country or to an overseas destination for more venturesome retirees. Yet Dan also points out that other factors play a vital role in the decision. In particular, many retirees underestimate the social aspects of deciding where to live, with a move often involving having to give up your entire network of friends and family at a critical time for your well-being. Dan also runs through the need to consider available health-care and technical aspects of taxation in order to make sure the financial benefits are as great as you expect from a move. Dan concludes that relocating in retirement can indeed be a smart money move, but only if other non-financial factors don't outweigh the positives.

How to get even more income during retirement
Social Security plays a key role in your financial security, but it's not the only way to boost your retirement income. In our brand-new free report, our retirement experts give their insight on a simple strategy to take advantage of a little-known IRS rule that can help ensure a more comfortable retirement for you and your family. Click here to get your copy today.

The article Is Moving in Retirement a Smart Money Choice? originally appeared on

Dan Caplinger and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2014 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

People are Reading