In 2020, California had the highest number of millionaire households in the U.S., with 1.14 million households having one million or more in investible assets. This is nearly double the 650,216 millionaire households in Texas, the state with the second-highest number.
1. Florida. Florida ranks as the best state to retire due to its relatively low taxes, including no estate, inheritance or income taxes.
Within the ranking, 12 of the safest and richest retirement towns are located in California. These include Rancho Palos Verdes, Lincoln, Laguna Woods, Walnut Creek, Novato, La Quinta, Seal Beach, Rancho Mirage, Cerritos, Banning, Palm Desert, and Palm Springs.
Only approximately 10% of American retirees have successfully saved $1 million or more, as indicated by the most recent Survey of Consumer Finances conducted by the Federal Reserve. What is the recommended age to have $1 million saved for retirement? It is feasible to retire at the age of 65 with $1 million.
According to estimates based on the Federal Reserve Survey of Consumer Finances, a mere 3.2% of retirees have over $1 million in their retirement accounts. The number of those with $2 million or more is even smaller, falling somewhere between this 3.2% and the 0.1% who have $5 million or more saved.
The same study also reveals that Americans feel that being wealthy in the U.S. means having an average of $2.5 million, an increase on $2.2 million from 2023 and 2022. Baby boomers believe this figure should be slightly higher at $2.8 million, but Gen Z and Millennials believe they could feel wealthy at a lower figure.
Costa Rica
Once settled, most retiree couples can live well within the country for as little as $2,000 per month.
The results
The top two states to retire in according to our formula are — drumroll please — Alaska and New Hampshire!
By Total: California has the highest number of seniors in the U.S. with a total of 5,148,448 residents ages 65 and older.
Mississippi consistently ranks as the state with the lowest concentration of millionaire households per capita in the U.S., but don't feel bad for the Magnolia State. Thanks to low consumer prices and light taxes, Mississippi also is the second-least expensive state.
Additionally, statistics show that the top 2% of the United States population has a net worth of about $2.4 million. On the other hand, the top 5% wealthiest Americans have a net worth of just over $1 million. Therefore, about 2% of the population possesses enough wealth to meet the current definition of being rich.
New York remains the richest city in the U.S. and the world with nearly 350,000 millionaires and 60 billionaires.
Probably 1 in every 20 families have a net worth exceeding $3 Million, but most people's net worth is their homes, cars, boats, and only 10% is in savings, so you would typically have to have a net worth of $30 million, which is 1 in every 1000 families.
But according to Charles Schwab's 2024 Modern Wealth Survey, the general consensus is that a net worth of $778,000 will put most Americans into financial comfort. This survey collected information from 1,000 Americans aged 21-74.
On average, 63 is the ideal age for retirement according to both retirees and pre-retirees. While current retirees are hitting close to that mark with an average actual retirement age of 62, there are signs that future retirees could have more difficulty retiring at their ideal age.
The top state for retirement is Delaware, according to Bankrate's 2024 Best States to Retire study.
About 51% of doctors reach a net worth of $1 million or more, but this changes a lot based on their age and area of work. Younger doctors, especially those just starting out, usually have lower net worths. This is because they often have student loans and haven't had enough time to grow their savings.
Your net worth is what you own minus what you owe. It's the total value of all your assets—including your house, cars, investments and cash—minus your liabilities (things like credit card debt, student loans, and what you still owe on your mortgage).