Do you know how much you have saved right now? Is it enough to live off for the rest of your life?
Personal finance comparison website Magnify Money conducted a 2020 survey that found that 55% of Americans hope to retire early. But that same poll revealed that people were not saving enough in order to make that happen.
Whether you know exactly how much you’d need to have in the bank to survive, $1 million may seem as if it could suffice. But just how fast would that money go in Georiga?
GoBankingRates recently sought to find out.
The personal finance website gathered data from the Bureau of Labor Statistics’ 2018 Consumer Expenditure Survey. In the analysis, GoBankingRates determined the number of years, months and days that $1 million will last. It did so by multiplying the annual expenditures by each state’s overall cost-of-living index. Then, it multiplied the annual costs by annual expenditures including the cost of living, housing, utilities, transportation and health care. States were listed from the shortest time that $1 million will last to the longest.
“Unfortunately, $1 million doesn’t last quite as long as you might think it would,” the website found. “If you live in one of the more expensive states, such as Hawaii or California, you shouldn’t quit your day job early, and $1 million won’t even cover your living expenses for 18 years in most Northeastern states. There is a bit more cushion in many Southern states, though, if you live there or plan on making a move.”
In Georgia, $1 million in savings will last 22 years, 0 months and 9 days.
Annually, GoBankingRates determined that it costs Georgians $3,932.83 for groceries, $6,755.75 for housing, $3,478.68 for utilities, $4,400.47 for transportation and $6,618.35 for health care. Total annual expenditures cost $45,367.12
Cost of living database Numbeo found that a family of four has $1,336.77 in estimated monthly costs, excluding rent. A single person was found to have $380.06 in estimated monthly costs without including rent. Annually, that equals $16,041.24 for a family of four and $4,560.72 for a single person.
