According to the United States Census Bureau, more than 55 million Americans aged 65 and above are currently living out their retirement. This is a significant jump as compared to previous years and shows that more and more people are going into retirement. If you’re considering retiring and looking at places to retire, we understand that it can be an overwhelming experience. As such, we’re here to ease the workload by providing you with some tips and tricks on planning your retirement relocation. Here is a checklist to follow.
Evaluate Your Goals
Before actually deciding on retiring, it’s important to access what goals you are trying to achieve by retiring. Some people may look at retirement as an opportunity to gain more freedom to travel around the world, whereas others want more time to hang out with their family and friends. Listed below are some questions you should ask yourself in order to set your goals:
- Where do I want to move to or travel to?
- What do I want out of a home?
- Who do I want to spend most of my time with? If you want to spend more time with your grandchildren, you should relocate to their state or city.
- What do I want to do in my retirement years?
Plan Your Finances in Advance
Of course, to ensure that your relocation process goes as smoothly as possible, you have to check if you’re able to afford the place you’re moving to and your desired lifestyle. Most people tend to overlook this factor while planning to relocate for their retirement, which causes many issues in the end. Contrary to popular belief, many older adults in the United States are not as well-prepared for retirement as they may believe. Rent costs and standard of living have been on the rise lately, and depending on which state you’re living in, these factors can break your budget quickly if you do not have sufficient finances.
Research on the Community
If you have a desired lifestyle in mind, an ideal community can provide you with opportunities to meet with like-minded people and partake in activities that are to your interest. For example, for those who enjoy golf, you’ll want to look for a community that has various golf courses around. Other people may enjoy hiking, so a location that has hiking trails and mountain ranges would be suitable. An ideal community would also have a wide range of amenities and features that allow you to lead a maintenance-free lifestyle. It would be recommended that your location is near grocery stores, sports amenities, and more.
Know Your Taxes
As part of getting to understand and better prepare your finances, you can also take this time to research the tax requirements for older adults in specific states. If possible, look for states that have senior-friendly tax policies, such as Florida, Alaska, and South Dakota. All these states do not have personal state income taxes. Other states may also exempt some or all retirement income like Social Security benefits from taxes. As such, if you’re looking to grow your income during your retirement years, look to relocate to these states instead.
