Everyone’s path to retirement looks a little different. Whether you started saving early or waited until you were more financially stable, whether you have a dream retirement location destination in mind or just want to settle down where you are, and whether you have a roadmap of what life will look like beyond your job or not, there’s no right or wrong way to reach retirement.
But one thing is stable across all situations: a stable retirement income is a necessity for a comfortable life, no matter what that looks like for you. Retirement income is the source you will rely on for all of your ongoing expenses, given that you’ll no longer be collecting a salary from a full-time job.
However, much variation exists among the amount of retirement income an individual will earn. This is largely dependent on personal factors such as former career and investment strategies and also societal factors like physical location. According to a new analysis by Coventry Direct, when looking at retirement income on a state-by-state level, there is a decent amount of variation in retirement income amounts based on the U.S. state.
So where does Maryland fall?
The good news is Maryland ranks #3 in the U.S. for the highest retirement income by household coming in just above $35,000 a year. This is 23.6% higher than the national average of $28,380. Maryland ranks just behind DC ($43,600) and Alaska ($39,200).
In total, Maryland brings in over $21,260,800,000 in retirement income on an annual basis. While this number may seem small compared to the $99 billion in California, $62 billion in Florida, or $56 billion in New York, it’s still no shabby sum of money. The entire country earns roughly $854 billion dollars in retirement income each year, meaning Maryland is responsible for a decent portion of the pie.
It’s no secret that Maryland is not necessarily the cheapest state to live in, so it makes sense that a higher retirement income would be required to sustain residents. Still, it’s evident that there is not a perfect correlation between the cost of living and retirement income.
It’s also interesting to note that neighboring states of Virginia, Delaware, and the District of Columbia DC, all join the rankings at the top of the list earning spots in the top 10 states with the richest retirees.
To see the full breakdown of retirement income by state, click here.