Where Retirees Are Most and Least Likely to Run Out of Money
How much money do you really need to retire with peace of mind?
Americans believe the "magic number" for a comfortable retirement is $1.26 million, down $200,000 year over year, according to recent research from Northwestern Mutual.
Still, despite the slight decrease, the anticipated figure for retirement security remains out of reach for many people in the U.S.
Related: About 45% of Americans Will Run Out of Money in Retirement, Including Those Who Invested and Diversified. Here Are the 4 Biggest Mistakes Being Made.
One in five Americans over the age of 50 has no retirement savings, and more than half worry they won't have enough money to last in retirement, per an AARP survey.
New research from Seniorly, a platform that helps family and older adults find senior living options, unpacks where seniors are most and least likely to outlive their retirement savings.
Seniorly used the latest available data on life expectancy at age 65, Social Security income, household net worth and cost-of-living metrics in its analysis.
The research found that across the U.S., the average projected retirement income from benefits, savings and investments is $762,000, while projected living expenses over 18.2 years are $877,000, which translates to a $115,000 shortfall.
Related: The National Average Salary Is About $65,000. Here's What Americans Are Saving for Retirement — How Do Your Stats Compare?
However, the average savings gap retirees face varies significantly depending on their state.
New York emerged as the state where retirees are most likely to outlive their retirement savings: Due to high expenses that even substantial incomes don't always offset, the average senior in New York will need about $448,000 more than they have, per the study.
Seniors in Hawaii, Washington, D.C., Alaska and California are the next most likely to see retirement income gaps, with average shortages ranging from $417,000 to $337,000, according to the research.
Related: Is Early Retirement Really Out of The Question For You? Here Are 10 Money-Saving Tips That Can Help Make It Happen.
Retirees who want a better chance at financial comfort during their golden years might consider states where, on average, people have enough income and assets to cover their expected expenses.
Thanks to relatively high projected incomes and moderate expenses, seniors in Washington, Montana and Utah are the least likely to outlive their retirement savings, with average surpluses of $146,000, $121,000 and $43,000, respectively, per the data.
Check out Seniorly's full ranking of the states where seniors are most and least likely to outlive their retirement savings here.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
13 minutes ago
- Yahoo
Where Will Realty Income Stock Be in 1 Year?
Key Points Realty Income stock trades down nearly 30% from its peak in February 2020. Despite its challenges, the size of the property portfolio and the dividend have increased dramatically since the stock peaked. Its valuation appears attractive when measured against a key metric. 10 stocks we like better than Realty Income › Realty Income (NYSE: O) may finally be getting the catalyst it needs. The company specializes in single-tenant net-leased properties and has built a massive property portfolio in its 56 years of existence. Still, despite that growth, the stock continues to trade well below its high just before the pandemic in early 2020. However, it may finally be getting the catalyst it needs this fall. If a particular, widely expected event takes place in September, the long-overdue recovery in Realty Income stock could finally begin. The factor that should finally boost Realty Income stock Over the next year, Realty Income may finally be getting its savior in the form of a September interest rate cut. According to the CME Group, rates futures traders have priced in a 95% chance of a rate cut in September, and those odds rose after the U.S. Bureau of Labor Statistics released a cool Consumer Price Index (CPI) report. For July, the CPI came in at 0.2%, translating into a 2.7% inflation rate for the year. Additionally, Treasury Secretary Scott Bessent speculated that the rate cut could come in at 0.5%, a notable change since most analysts had expected a 0.25% rate cut. Bessent also believes rates should ultimately be 150 basis points lower or more. Interest rates are critical to Realty Income, considering its dependence on capital. The stock reached its all-time high in February 2020, and despite rising steadily since late 2023, Realty Income sells at nearly a 30% discount from its peak. Nonetheless, its business and financial performance stand in contrast to the stock's behavior. As of the end of the second quarter of 2025, it owned or held an interest in more than 15,600 properties. When the stock peaked in 2020, its portfolio was barely above 6,500 properties, and it grew by buying competitors and developing additional properties internally. Moreover, during that time, it increased its monthly dividend several times per year, including during the pandemic. Now, its yearly dividend of nearly $3.23 per share amounts to a dividend yield of 5.5%, far above the S&P 500 average of 1.2%. The opportunity over the next year (and beyond) Additionally, the current interest rate levels have not deterred growth. In the first half of 2025, its revenue of $2.8 billion rose 7% compared to the same period in 2024. In comparison, its expenses grew by 6%, and its second-largest expense category was also interest payments. Since those rose by 13%, investors understandably want to see some relief in that area and may get it if Realty Income can refinance some debt or borrow more at lower rates. Still, it earned nearly $447 million in net income attributable to common shareholders in the first two quarters of 2025, rising 16% yearly despite higher interest rates. Furthermore, lower interest rates could persuade investors to take a closer look at its valuation. Its P/E ratio of 56 is slightly above the 54 average over the last five years. However, Realty Income is a real estate investment trust (REIT), meaning funds from operations (FFO) is a more critical metric than net income. FFO income for the trailing 12 months was over $3.65 billion. That gives it a price-to-FFO ratio of just under 15, a level that could make Realty Income stock even more attractive in an environment of falling interest rates. Realty Income in one year Amid likely interest rate cuts beginning in September, the recovery in Realty Income stock could begin in earnest over the next year, increasing the likelihood of market-beating returns. Indeed, its stock is in a long-term slump, likely because of interest rates. Although it probably would have earned a larger profit with lower interest rates, Realty Income still grew the size of its property portfolio and its dividend during that time. Assuming the forecast interest rate cut occurs, the company will likely have more ability to refinance some of its debt and acquire or build additional properties, which should boost its profits. When also considering its 5.5% dividend yield and a price-to-FFO ratio of 15, the long-awaited recovery in the stock price could accelerate if lower rates serve as a catalyst for the stock. Should you invest $1,000 in Realty Income right now? Before you buy stock in Realty Income, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Realty Income wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $668,155!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,106,071!* Now, it's worth noting Stock Advisor's total average return is 1,070% — a market-crushing outperformance compared to 184% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 13, 2025 Will Healy has positions in Realty Income. The Motley Fool has positions in and recommends Realty Income. The Motley Fool recommends CME Group. The Motley Fool has a disclosure policy. Where Will Realty Income Stock Be in 1 Year? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
13 minutes ago
- Yahoo
Air Canada to Restart Flights Following Government Referral of CUPE Negotiations to Binding Arbitration
Flights to resume this evening with gradual ramp up over coming days MONTRÉAL, Aug. 17, 2025 /CNW/ - Air Canada said it plans to resume flights today after the Canadian Industrial Relations Board (CIRB) acted on a directive from The Honourable Patty Hajdu, the Federal Minister of Jobs and Families, referring the airline's contract negotiations with the Canadian Union of Public Employees (CUPE) to final binding interest arbitration. The directive, under section 107 of the Canada Labour Code, and the CIRB's order, ends the strike at Air Canada that resulted in the suspension of more than 700 flights. The CIRB has directed Air Canada to resume airline operations and for all Air Canada and Air Canada Rouge flight attendants to resume their duties by 14:00 EDT on August 17, 2025. The CIRB further ordered that the term of the collective agreement between Air Canada and CUPE that expired on March 31, 2025, be extended to include the period beginning on April 1, 2025 and ending on the day on which the new collective agreement between the parties comes into effect. The CIRB also imposed final binding arbitration to resolve the outstanding terms of the collective agreement. The arbitration procedure will be addressed in the coming days and weeks. Because the airline had implemented its shut-down and suspended operations at 01:30 EDT on August 16, aircraft and crew are out of position vis-à-vis the schedule. Restart of operations will begin immediately, with first flights this evening, but Air Canada expects it will take several days before its operations return to normal. During this process, some flights will be canceled over the next seven to ten days until the schedule is stabilized. Air Canada deeply regrets the inconvenience for its customers. Information for customers Customers whose flights were cancelled and did not travel and who did not accept a refund or credit for future travel, will be notified and provided a new itinerary. Air Canada strongly recommends against customers going to the airport unless they have a confirmed booking and their flights are showing as operating (check your flight's status on or on our mobile app before going to the airport). Customers are also advised to use self-service tools as contact centre wait times are expected to remain elevated during the ramp up period. Under Canada's Airline Passenger Protection Regulations, customers in Canada are not eligible for compensation for delayed or cancelled flights, meals, hotels or other incidental expenses for situations outside the carrier's control, such as a labour disruption. Air Canada will in all cases inform passengers of their rights under applicable rules if their flight is cancelled or delayed and meet its regulatory obligations. About Air Canada Air Canada is Canada's largest airline, the country's flag carrier and a founding member of Star Alliance, the world's most comprehensive air transportation network. Air Canada provides scheduled service directly to more than 180 airports in Canada, the United States and Internationally on six continents. It holds a Four-Star ranking from Skytrax. Air Canada's Aeroplan program is Canada's premier travel loyalty program, where members can earn or redeem points on the world's largest airline partner network of 45 airlines, plus through an extensive range of merchandise, hotel and car rental partners. Through Air Canada Vacations, it offers more travel choices than any other Canadian tour operator to hundreds of destinations worldwide, with a wide selection of hotels, flights, cruises, day tours, and car rentals. Its freight division, Air Canada Cargo, provides air freight lift and connectivity to hundreds of destinations across six continents using Air Canada's passenger and freighter aircraft. Air Canada's climate-related ambition includes a long-term aspirational goal of net-zero greenhouse gas emissions by 2050. For additional information, please see Air Canada's TCFD disclosure. Air Canada shares are publicly traded on the TSX in Canada and the OTCQX in the US. Internet: Read our annual report Here Sign up for Air Canada news: Media Resources: Photos Videos B-Roll Articles SOURCE Air Canada View original content to download multimedia: Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Wall Street Journal
15 minutes ago
- Wall Street Journal
The New AI Data Trade: Web Publishers and Startups Look to Cash In
AI companies need large quantities of data to fuel their large language models. Content and data from internet publishers and videos are important sources for them. But publishers and content creators want credit and compensation for their work. Companies like Reddit have responded by filing lawsuits against AI companies. Big publishers like the New York Times have struck content deals to license their data to AI companies for millions of dollars. This has opened the door for a new stream of revenue. But what about smaller players?
