The article printed June 14, 2014 in the New York Times, “Finding the Sweet Spot in Deciding Where to Retire,” by Kerry Hannon, rehashed a lot of factors from previous articles, about choosing a retirement location: income tax, state and local taxes, property taxes. It seems that taxes should be a real consideration on making the most of our retirement income, but also, work available is another real consideration as our retirement may be longer than our income.
The article quoted a report from better Homes and Gardens Real Estate that said that 57% of baby boomers say they plan to move to a new home in retirement, and when asked which type of community they were likely to choose, 39% said small town or rural community, 27% said 55 and over community, 26% metropolitan city, and 8% lifestyle community with amenities for active seniors. What surprised this Grandma was that about 33% said they plan to retire in a different state in which they currently live.
Then, of course, the article went to where to choose to live. The article quoted a recent report by Bankrate.com that determined the five best and worst states to retire based on the following factors: weather, cost of living, crime rate, health care quality, tax burden and how satisfied residents are with their location. The five best states were all out west: South Dakota, Colorado, Utah, North Dakota, and Wyoming. Too cold for this Florida grandma who was surprised that Florida did not make the top ten! The five worst states were: New York, West Virginia, Alaska, Arkansas and Hawaii. I guess cost was a major factor in being at the bottom of the list.
What are important 2014 considerations are proximity to college towns, not only because they have entertainment and sports and academic stimulation for retirees, but they also offer part time and seasonal jobs which the article said are “recession resistant,” and are the location of many leading health care centers. The author quoted AARP’s Best Employers for Workers over 50 winners that include several universities and health care providers. Here’s the 2013 winners..As far as this Grandma can tell, only one on the list is in Florida, and that is in Central Florida.
The last most important reported consideration is the ability to fly nonstop anywhere in the world. Now we are talking! Yes, retirement means time to travel, and who wants to spend all the time in an airport connection.
This Grandma moved to Florida when pregnant with our oldest daughter who is now . . . okay, I must admit it, over forty. Grandpa and I never expected to be the cliché, “the grandparents in Florida,” but it seems that Florida is not the favored location anymore for
moving to for retirement. The article says:
Florida, for example, imposes no income tax but has sales and property taxes that may be significant. . . .Property taxes are generally the biggest tax burden for homeowning retirees.
I guess the author is not talking about those of us who are retiring in place, having chosen a wonderful and terrific place to live in our youth and having the advantage of resident property tax breaks, such as “Save our Homes,” that Florida has.
South Florida has the most beautiful weather year round, quality health care with local university centers of high reputation, local colleges that provide extended learning centers for retirees, great restaurants with the famous “early bird specials” and “senior specials,” and great entertainment being in a tourist destination. Fort Lauderdale is listed as one of the top ten cities in which to live. I understand why it might not be one of the ten best to move to in retirement with the costs to new retiree residents. However, for those of us Boomer grandparents already here, we are the lucky ones. For this Grandma, retiring in place is “the sweet spot.”
Now I just have to get my head around the fact that retirement may be sooner than I really want!
Joy,
Mema
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