There’s a Record Number of 401(k) Millionaires: Is It Enough To Retire in Your State?
News Team
A recent Fidelity Investments report found that there are currently about 497,000 401(k) accounts with at least $1 million. That’s a 2.5% increase from earlier this year when the number of 401(k) millionaires was 485,000. It’s also a new record.
Accumulating $1 million in retirement savings is a key milestone, one that’s worth celebrating. Depending on where you live and what age you plan to retire, it might even be enough money to quit your day job and live out your retirement years in comfort.
If you’re like the average American, you’re probably going to spend about 20 years in retirement, as per the U.S. Department of Labor data. That means you’ll need to split your $1 million across 20 years (assuming there are no interest gains or taxes due). That’s about $50,000 a year.
Besides your 401(k) savings, you may also have Social Security to fall back on. As of January 2024, the average Social Security recipient gets $1,907 a month or $22,884 a year. With that benefit amount, you’d earn an additional $457,680 over 20 years if everything stays exactly the same. This would give you a grand total of about $1,457,680 or $72,884 a year (excluding taxes).
Assuming all of these factors hold true, and using data from a recent GOBankingRates study, these are the top U.S. states where that amount of money is enough to retire on in descending order. Can you figure out which five are too expensive to make the cut?
West Virginia
Total yearly expenditure (average): $49,261
How long $1 million will last in savings: 20 years, 3 months, 19 days
How long $1 million with Social Security will last in savings: 29.6 years
Mississippi
Total yearly expenditure (average): $50,128
How long $1 million will last in savings: 19 years, 11 months, 12 days
How long $1 million with Social Security will last in savings: 29 years
Read Next: 8 States To Move to If You Don’t Want To Pay Taxes on Social Security
Oklahoma
Total yearly expenditure (average): $50,186
How long $1 million will last in savings: 19 years, 11 months, 5 days
How long $1 million with Social Security will last in savings: 29 years
Kansas
Total yearly expenditure (average): $50,533
How long $1 million will last in savings: 19 years, 9 months, 15 days
How long $1 million with Social Security will last in savings: 28.8 years
Alabama
Total yearly expenditure (average): $50,995
How long $1 million will last in savings: 19 years, 7 months, 11 days
How long $1 million with Social Security will last in savings: 28.6 years
Missouri
Total yearly expenditure (average): $51,053
How long $1 million will last in savings: 19 years, 7 months, 3 days
How long $1 million with Social Security will last in savings: 28.5 years
Arkansas
Total yearly expenditure (average): $51,169
How long $1 million will last in savings: 19 years, 6 months, 15 days
How long $1 million with Social Security will last in savings: 28.5 years
Iowa
Total yearly expenditure (average): $51,978
How long $1 million will last in savings: 19 years, 2 months, 26 days
How long $1 million with Social Security will last in savings: 28 years
Tennessee
Total yearly expenditure (average): $52,267
How long $1 million will last in savings: 19 years, 1 month, 17 days
How long $1 million with Social Security will last in savings: 27.8 years
Louisiana
Total yearly expenditure (average): $52,441
How long $1 million will last in savings: 19 years, 0 months, 26 days
How long $1 million with Social Security will last in savings: 27.8 years
Georgia
Total yearly expenditure (average): $52,557
How long $1 million will last in savings: 19 years, 0 months, 11 days
How long $1 million with Social Security will last in savings: 27.7 years
Nebraska
Total yearly expenditure (average): $52,614
How long $1 million will last in savings: 19 years, 0 months, 4 days
How long $1 million with Social Security will last in savings: 27.7 years
Michigan
Total yearly expenditure (average): $52,614
How long $1 million will last in savings: 19 years, 0 months, 4 days
How long $1 million with Social Security will last in savings: 27.7 years
Indiana
Total yearly expenditure (average): $52,672
How long $1 million will last in savings: 18 years, 11 months, 27 days
How long $1 million with Social Security will last in savings: 27.7 years
Illinois
Total yearly expenditure (average): $53,077
How long $1 million will last in savings: 18 years, 10 months, 3 days
How long $1 million with Social Security will last in savings: 27.5 years
South Dakota
Total yearly expenditure (average): $53,077
How long $1 million will last in savings: 18 years, 10 months, 3 days
How long $1 million with Social Security will last in savings: 27.5 years
Ohio
Total yearly expenditure (average): $53,308
How long $1 million will last in savings: 18 years, 9 months, 4 days
How long $1 million with Social Security will last in savings: 27.3 years
Texas
Total yearly expenditure (average): $53,701
How long $1 million will last in savings: 18 years, 7 months, 7 days
How long $1 million with Social Security will last in savings: 27.1 years
Wyoming
Total yearly expenditure (average): $53,886
How long $1 million will last in savings: 18 years, 6 months, 23 days
How long $1 million with Social Security will last in savings: 27 years
Kentucky
Total yearly expenditure (average): $53,886
How long $1 million will last in savings: 18 years, 6 months, 23 days
How long $1 million with Social Security will last in savings: 27 years
New Mexico
Total yearly expenditure (average): $54,291
How long $1 million will last in savings: 18 years, 5 months, 2 days
How long $1 million with Social Security will last in savings: 26.8 years
North Dakota
Total yearly expenditure (average): $54,522
How long $1 million will last in savings: 18 years, 4 months, 3 days
How long $1 million with Social Security will last in savings: 26.7 years
South Carolina
Total yearly expenditure (average): $54,522
How long $1 million will last in savings: 18 years, 4 months, 3 days
How long $1 million with Social Security will last in savings: 26.7 years
Minnesota
Total yearly expenditure (average): $54,580
How long $1 million will last in savings: 18 years, 3 months, 27 days
How long $1 million with Social Security will last in savings: 26.7 years
Pennsylvania
Total yearly expenditure (average): $54,811
How long $1 million will last in savings: 18 years, 2 months, 26 days
How long $1 million with Social Security will last in savings: 26.5 years
Wisconsin
Total yearly expenditure (average): $55,158
How long $1 million will last in savings: 18 years, 1 month, 16 days
How long $1 million with Social Security will last in savings: 26.4 years
North Carolina
Total yearly expenditure (average): $55,621
How long $1 million will last in savings: 17 years, 11 months, 23 days
How long $1 million with Social Security will last in savings: 26 years
Idaho
Total yearly expenditure (average): $57,240
How long $1 million will last in savings: 17 years, 5 months, 20 days
How long $1 million with Social Security will last in savings: 25.4 years
Delaware
Total yearly expenditure (average): $58,281
How long $1 million will last in savings: 17 years, 1 month, 13 days
How long $1 million with Social Security will last in savings: 25 years
Florida
Total yearly expenditure (average): $58,396
How long $1 million will last in savings: 17 years, 1 month, 13 days
How long $1 million with Social Security will last in savings: 24.9 years
Nevada
Total yearly expenditure (average): $58,454
How long $1 million will last in savings: 17 years, 1 month, 9 days
How long $1 million with Social Security will last in savings: 24.9 years
Virginia
Total yearly expenditure (average): $58,627
How long $1 million will last in savings: 17 years, 0 months, 22 days
How long $1 million with Social Security will last in savings: 24.8 years
Montana
Total yearly expenditure (average): $59,610
How long $1 million will last in savings: 16 years, 9 months, 10 days
How long $1 million with Social Security will last in savings: 24.4 years
Utah
Total yearly expenditure (average): $60,420
How long $1 million will last in savings: 16 years, 6 months, 18 days
How long $1 million with Social Security will last in savings: 24.1 years
Colorado
Total yearly expenditure (average): $61,807
How long $1 million will last in savings: 16 years, 2 months, 4 days
How long $1 million with Social Security will last in savings: 23.5 years
Arizona
Total yearly expenditure (average): $63,600
How long $1 million will last in savings: 15 years, 8 months, 20 days
How long $1 million with Social Security will last in savings: 22.9 years
New Jersey
Total yearly expenditure (average): $63,773
How long $1 million will last in savings: 15 years, 8 months, 6 days
How long $1 million with Social Security will last in savings: 22.8 years
Maine
Total yearly expenditure (average): $64,005
How long $1 million will last in savings: 15 years, 7 months, 15 days
How long $1 million with Social Security will last in savings: 22.7 years
Rhode Island
Total yearly expenditure (average): $64,756
How long $1 million will last in savings: 15 years, 5 months, 10 days
How long $1 million with Social Security will last in savings: 22.5 years
Connecticut
Total yearly expenditure (average): $65,855
How long $1 million will last in savings: 15 years, 2 months, 4 days
How long $1 million with Social Security will last in savings: 22 years
Oregon
Total yearly expenditure (average): $66,317
How long $1 million will last in savings: 15 years, 0 months, 29 days
How long $1 million with Social Security will last in savings: 21.9 years
Maryland
Total yearly expenditure (average): $66,375
How long $1 million will last in savings: 15 years, 0 months, 26 days
How long $1 million with Social Security will last in savings: 21.9 years
Vermont
Total yearly expenditure (average): $66,433
How long $1 million will last in savings: 15 years, 0 months, 19 days
How long $1 million with Social Security will last in savings: 21.9 years
New Hampshire
Total yearly expenditure (average): $66,838
How long $1 million will last in savings: 14 years, 11 months, 16 days
How long $1 million with Social Security will last in savings: 21.8 years
Washington
Total yearly expenditure (average): $66,895
How long $1 million will last in savings: 14 years, 11 months, 12 days
How long $1 million with Social Security will last in savings: 21.7 years
