How Long $1 Million in Retirement Lasts in 50 US Cities
If you had $1 million saved for retirement, you’d be set, right? Let’s do the math.
The average retirement age is about 62 for women and nearly 65 for men, and the average life expectancy in the United States is 79 years. That means your savings would need to last between 14 and 17 years.
On average, adults 65 and older spend $50,860 a year, according to the Bureau of Labor Statistics. That would be $712,040 over 14 years and $864,620 over 17 years. Keep in mind, though, that Social Security benefits can cover a portion of annual expenditures in retirement. When you factor in the average monthly Social Security benefit of $1,381.79 and consider the average cost of living in the United States, $1 million could actually last as long as 29 years, 1 month and 24 days.
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But, as you know, there are plenty of places in the U.S. where the cost of living is much higher than the national average, so $1 million won’t last nearly as long as that. On the other hand, if you live in a place where the cost of living is low, a nest egg that large could keep you living comfortably for years.
To find out how long $1 million will last in retirement in the 50 largest U.S. cities, GOBankingRates calculated average annual expenditures in each city for people 65 and older using data from the Bureau of Labor Statistics and cost-of-living indices from Sperling’s Best Places. This annual expenditure figure then was reduced by the average annual Social Security benefit. GOBankingRates then divided 1 million by that number to calculate how long $1 million in retirement savings would last in each of the 50 cities. This study is ranked from the shortest to the longest amount of time, and there is a big difference from city to city when it comes to how long $1 million will last in retirement. In many places, it doesn’t go nearly as far as you might think.
Last updated: Feb. 23, 2021
50. San Francisco
Total population: 870,044
Cost-of-living index: 269.3
Annual expenditures: $136,965.98
Annual expenditures after using annual Social Security income: $120,355.70
How long $1 million will last: 8 years, 3 months, 19 days
49. San Jose, California
Total population: 1,026,658
Cost-of-living index: 214.5
Annual expenditures: $109,094.70
Annual expenditures after using annual Social Security income: $92,484.42
How long $1 million will last: 10 years, 9 months, 20 days
48. New York
Total population: 8,443,713
Cost-of-living index: 187.2
Annual expenditures: $95,209.92
Annual expenditures after using annual Social Security income: $78,599.64
How long $1 million will last: 12 years, 8 months, 16 days
47. Oakland, California
Total population: 421,042
Cost-of-living index: 174.4
Annual expenditures: $88,699.84
Annual expenditures after using annual Social Security income: $72,089.56
How long $1 million will last: 13 years, 10 months, 10 days
46. Los Angeles
Total population: 3,959,657
Cost-of-living index: 173.3
Annual expenditures: $88,140.38
Annual expenditures after using annual Social Security income: $71,530.10
How long $1 million will last: 13 years, 11 months, 19 days
45. Seattle
Total population: 708,823
Cost-of-living index: 172.3
Annual expenditures: $87,631.78
Annual expenditures after using annual Social Security income: $71,021.50
How long $1 million will last: 14 years, 0 months, 25 days
44. Boston
Total population: 679,413
Cost-of-living index: 162.4
Annual expenditures: $82,596.64
Annual expenditures after using annual Social Security income: $65,986.36
How long $1 million will last: 15 years, 1 month, 21 days
43. Long Beach, California
Total population: 468,883
Cost-of-living index: 160.4
Annual expenditures: $81,579.44
Annual expenditures after using annual Social Security income: $64,969.16
How long $1 million will last: 15 years, 4 months, 19 days
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42. San Diego
Total population: 1,401,932
Cost-of-living index: 160.1
Annual expenditures: $81,426.86
Annual expenditures after using annual Social Security income: $64,816.58
How long $1 million will last: 15 years, 5 months, 1 day
41. Washington, D.C.
Total population: 684,498
Cost-of-living index: 152.1
Annual expenditures: $77,358.06
Annual expenditures after using annual Social Security income: $60,747.78
How long $1 million will last: 16 years, 5 months, 12 days
40. Portland, Oregon
Total population: 639,387
Cost of living index: 130.8
Annual expenditures: $66,524.88
Annual expenditures after using annual Social Security income: $49,914.60
How long $1 million will last: 20 years, 0 months, 7 days
39. Denver
Total population: 693,417
Cost-of-living index: 128.7
Annual expenditures: $65,456.82
Annual expenditures after using annual Social Security income: $48,846.54
How long $1 million will last: 20 years, 5 months, 15 days
38. Miami
Total population: 451,214
Cost-of-living index: 123.1
Annual expenditures: $62,608.66
Annual expenditures after using annual Social Security income: $45,998.38
How long $1 million will last: 21 years, 8 months, 21 days
37. Austin, Texas
Total population: 935,755
Cost-of-living index: 119.3
Annual expenditures: $60,675.98
Annual expenditures after using annual Social Security income: $44,065.70
How long $1 million will last: 22 years, 8 months, 4 days
36. Sacramento, California
Total population: 495,011
Cost-of-living index: 118.2
Annual expenditures: $60,116.52
Annual expenditures after using annual Social Security income: $43,506.24
How long $1 million will last: 22 years, 11 months, 19 days
35. Las Vegas
Total population: 626,637
Cost-of-living index: 111.6
Annual expenditures: $56,759.76
Annual expenditures after using annual Social Security income: $40,149.48
How long $1 million will last: 24 years, 10 months, 20 days
34. Atlanta
Total population: 479,655
Cost-of-living index: 107.5
Annual expenditures: $54,674.50
Annual expenditures after using annual Social Security income: $38,064.22
How long $1 million will last: 26 years, 3 months, 2 days
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33. Chicago
Total population: 2,718,555
Cost-of-living index: 106.9
Annual expenditures: $54,369.34
Annual expenditures after using annual Social Security income: $37,759.06
How long $1 million will last: 26 years, 5 months, 18 days
32. Minneapolis
Total population: 416,021
Cost-of-living index: 106.5
Annual expenditures: $54,165.90
Annual expenditures after using annual Social Security income: $37,555.62
How long $1 million will last: 26 years, 7 months, 9 days
31. Virginia Beach, Virginia
Total population: 450,135
Cost-of-living index: 105.6
Annual expenditures: $53,708.16
Annual expenditures after using annual Social Security income: $37,097.88
How long $1 million will last: 26 years, 11 months, 7 days
30. Colorado Springs, Colorado
Total population: 457,502
Cost-of-living index: 104.5
Annual expenditures: $53,148.70
Annual expenditures after using annual Social Security income: $36,538.42
How long $1 million will last: 27 years, 4 months, 7 days
29. Mesa, Arizona
Total population: 491,194
Cost-of-living index: 104.2
Annual expenditures: $52,996.12
Annual expenditures after using annual Social Security income: $36,385.84
How long $1 million will last: 27 years, 5 months, 18 days
28. Phoenix
Total population: 1,610,071
Cost-of-living index: 103.7
Annual expenditures: $52,741.82
Annual expenditures after using annual Social Security income: $36,131.54
How long $1 million will last: 27 years, 7 months, 27 days
27. Fresno, California
Total population: 522,277
Cost-of-living index: 102.6
Annual expenditures: $52,182.36
Annual expenditures after using annual Social Security income: $35,572.08
How long $1 million will last: 28 years, 1 month, 2 days
26. Raleigh, North Carolina
Total population: 457,159
Cost-of-living index: 102.3
Annual expenditures: $52,029.78
Annual expenditures after using annual Social Security income: $35,419.50
How long $1 million will last: 28 years, 2 months, 18 days
25. Dallas
Total population: 1,318,806
Cost-of-living index: 101.6
Annual expenditures: $51,673.76
Annual expenditures after using annual Social Security income: $35,063.48
How long $1 million will last: 28 years, 5 months, 30 days
24. Nashville, Tennessee
Total population: 660,062
Cost-of-living index: 101.4
Annual expenditures: $51,572.04
Annual expenditures after using annual Social Security income: $34,961.76
How long $1 million will last: 28 years, 6 months, 30 days
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23. Philadelphia
Total population: 1,575,522
Cost-of-living index: 101.2
Annual expenditures: $51,470.32
Annual expenditures after using annual Social Security income: $34,860.04
How long $1 million will last: 28 years, 7 months, 30 days
22. Arlington, Texas
Total population: 392,462
Cost-of-living index: 100.6
Annual expenditures: $51,165.16
Annual expenditures after using annual Social Security income: $34,554.88
How long $1 million will last: 28 years, 10 months, 30 days
21. Fort Worth, Texas
Total population: 855,786
Cost-of-living index: 99.8
Annual expenditures: $50,758.28
Annual expenditures after using annual Social Security income: $34,148.00
How long $1 million will last: 29 years, 3 months, 5 days
20. Charlotte, North Carolina
Total population: 841,611
Cost-of-living index: 98.9
Annual expenditures: $50,300.54
Annual expenditures after using annual Social Security income: $33,690.26
How long $1 million will last: 29 years, 7 months, 28 days
19. Houston
Total population: 2,295,982
Cost-of-living index: 96.5
Annual expenditures: $49,079.90
Annual expenditures after using annual Social Security income: $32,469.62
How long $1 million will last: 30 years, 9 months, 10 days
18. New Orleans
Total population: 389,648
Cost-of-living index: 96.3
Annual expenditures: $48,978.18
Annual expenditures after using annual Social Security income: $32,367.90
How long $1 million will last: 30 years, 10 months, 14 days
17. Jacksonville, Florida
Total population: 878,907
Cost-of-living index: 93.5
Annual expenditures: $47,554.10
Annual expenditures after using annual Social Security income: $30,943.82
How long $1 million will last: 32 years, 3 months, 16 days
16. Tucson, Arizona
Total population: 539,216
Cost-of-living index: 91.6
Annual expenditures: $46,587.76
Annual expenditures after using annual Social Security income: $29,977.48
How long $1 million will last: 33 years, 4 months, 1 day
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15. Albuquerque, New Mexico
Total population: 559,202
Cost-of-living index: 91.1
Annual expenditures: $46,333.46
Annual expenditures after using annual Social Security income: $29,723.18
How long $1 million will last: 33 years, 7 months, 13 days
14. Omaha, Nebraska
Total population: 465,112
Cost-of-living index: 89.8
Annual expenditures: $45,672.28
Annual expenditures after using annual Social Security income: $29,062.00
How long $1 million will last: 34 years, 4 months, 20 days
13. San Antonio
Total population: 1,486,521
Cost-of-living index: 89.7
Annual expenditures: $45,621.42
Annual expenditures after using annual Social Security income: $29,011.14
How long $1 million will last: 34 years, 5 months, 11 days
12. Louisville, Kentucky
Total population: 617,032
Cost-of-living index: 88.4
Annual expenditures: $44,960.24
Annual expenditures after using annual Social Security income: $28,349.96
How long $1 million will last: 35 years, 3 months, 0 days
11. Baltimore
Total population: 614,700
Cost-of-living index: 88.2
Annual expenditures: $44,858.52
Annual expenditures after using annual Social Security income: $28,248.24
How long $1 million will last: 35 years, 4 months, 17 days
10. Detroit
Total population: 677,155
Cost-of-living index: 87.6
Annual expenditures: $44,553.36
Annual expenditures after using annual Social Security income: $27,943.08
How long $1 million will last: 35 years, 9 months, 5 days
9. Kansas City, Missouri
Total population: 481,417
Cost-of-living index: 86.2
Annual expenditures: $43,841.32
Annual expenditures after using annual Social Security income: $27,231.04
How long $1 million will last: 36 years, 8 months, 10 days
8. Columbus, Ohio
Total population: 867,628
Cost-of-living index: 85.5
Annual expenditures: $43,485.30
Annual expenditures after using annual Social Security income: $26,875.02
How long $1 million will last: 37 years, 2 months, 7 days
7. Oklahoma City
Total population: 637,284
Cost-of-living index: 85.4
Annual expenditures: $43,434.44
Annual expenditures after using annual Social Security income: $26,824.16
How long $1 million will last: 37 years, 3 months, 2 days
6. Milwaukee
Total population: 596,886
Cost-of-living index: 84.9
Annual expenditures: $43,180.14
Annual expenditures after using annual Social Security income: $26,569.86
How long $1 million will last: 37 years, 7 months, 10 days
5. Indianapolis
Total population: 857,637
Cost-of-living index: 83.5
Annual expenditures: $42,468.10
Annual expenditures after using annual Social Security income: $25,857.82
How long $1 million will last: 38 years, 7 months, 23 days
4. Tulsa, Oklahoma
Total population: 402,223
Cost-of-living index: 83.2
Annual expenditures: $42,315.52
Annual expenditures after using annual Social Security income: $25,705.24
How long $1 million will last: 38 years, 10 months, 15 days
3. Wichita, Kansas
Total population: 389,563
Cost-of-living index: 82.1
Annual expenditures: $41,756.06
Annual expenditures after using annual Social Security income: $25,145.78
How long $1 million will last: 39 years, 8 months, 27 days
2. El Paso, Texas
Total population: 680,354
Cost-of-living index: 81.4
Annual expenditures: $41,400.04
Annual expenditures after using annual Social Security income: $24,789.76
How long $1 million will last: 40 years, 3 months, 22 days
1. Memphis, Tennessee
Total population: 653,248
Cost-of-living index: 76.0
Annual expenditures: $38,653.60
Annual expenditures after using annual Social Security income: $22,043.32
How long $1 million will last: 45 years, 4 months, 1 day
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Methodology: To find out how long $1 million will last in retirement in 50 U.S. cities, GOBankingRates first identified the 50 most-populated cities, as sourced from the 2018 American Community Survey. GOBankingRates then determined how long $1 million would last during retirement in each city by multiplying the annual expenditures for someone 65 and older, sourced from the Bureau of Labor Statistics’ 2018 Consumer Expenditure Survey, by each city’s overall cost of living index as sourced from Sperling’s Best Places. This annual expenditure figure then was reduced by the annual Social Security benefits a retiree would receive based on the Social Security Administration’s Monthly Statistical Snapshot, January 2020. Once the final annual expenditure minus Social Security benefits total was found, GOBankingRates took this figure and divided it into 1 million to get the years, months and days that $1 million would last in retirement for each city. GOBankingRates also found the annual cost of groceries, healthcare, utilities and transportation for each city for supplemental data, using both the Bureau of Labor Statistics’ 2018 Consumer Expenditure Survey and cost-of-living indices from Sperling’s Best Places. All data was compiled on and is up to date as of Feb. 10, 2020.
This article originally appeared on GOBankingRates.com: How Long $1 Million in Retirement Lasts in 50 US Cities
