A recent analysis indicates that retiring comfortably in 15 states across the U.S. now requires $1 million or more in savings.

West Virginia ranks as the most affordable state for retirement in 2025; here, retirees will need around $712,913 saved, along with an annual budget of $50,954 for a comfortable lifestyle, based on new findings by GOBankingRates, a personal finance platform.

Conversely, Hawaii stands out as the most expensive state, requiring a staggering $2.2 million in savings and projecting annual expenses of $110,921 for a comfortable retirement.

For many Americans, having $1 million has become the new standard for a secure retirement. A 2024 report by Schroders revealed that the average saver anticipates needing approximately $1.2 million, while Northwestern Mutual estimates the necessity to be around $1.46 million.

Nevertheless, numerous Americans enter retirement with minimal or no savings yet appear to manage quite well.

And it’s important to keep in mind: $1 million is simply a figure.

“Using that figure can help clarify financial concepts, especially compared to lower amounts like $100,000 or exceedingly high ones like $10 million,” said Colin Exelby, a certified financial planner from Towson, Maryland, in an AARP article aimed at alleviating anxieties about retirement savings. “However, apart from that, it may not be particularly beneficial and might even lead to unnecessary worry and pressure if one is unable to reach that goal.”

The GOBankingRates analysis takes into account annual expenses for retirees, utilizing data from the federal Bureau of Labor Statistics alongside a cost-of-living index for each state.

To estimate the savings needed for retirement, this analysis subtracts projected Social Security income from yearly living costs within each state and divides the result by 4%. This 4% rule suggests retirees spend 4% of their total savings each year.

Cost of living seems to be influencing retirees’ relocation decisions. A 2024 AARP report shows Florida and South Carolina as top picks for retirees relocating, neither of which requires $1 million in retirement savings according to this latest analysis.

The 15 states where retirement savings of $1 million is essential

Here’s a list of states where you need to have $1 million to retire comfortably, based on the GOBankingRates findings:

• Alaska: $1.3 million in savings; $74,147 in annual living expenses
• Arizona: $1.1 million in savings; $67,778 in annual living expenses
• California: $1.6 million in savings; $86,946 in annual living expenses
• Connecticut: $1.1 million in savings; $67,117 in annual living expenses
• Hawaii: $2.2 million in savings; $110,921 in annual living expenses
• Maine: $1.1 million in savings; $68,199 in annual living expenses
• Massachusetts: $1.6 million in savings; $88,268 in annual living expenses

• New Hampshire: $1.1 million in savings; $66,997 in annual living expenses
• New Jersey: $1.2 million in savings; $68,980 in annual living expenses
• New York: $1.3 million in savings; $74,147 in annual living expenses
• Oregon: $1.1 million in savings; $66,096 in annual living expenses
• Rhode Island: $1.1 million in savings; $67,538 in annual living expenses
• Utah: $1.1 million in savings; $65,795 in annual living expenses
• Vermont: $1.2 million in savings; $68,559 in annual living expenses
• Washington: $1.1 million in savings; $68,259 in annual living expenses

What if you can’t amass a million dollars?

If you aren’t close to having a million dollars saved, here are some retirement-friendly states with more manageable costs:

• Colorado: $981,803 in savings needed; $61,709 in annual living expenses
• Florida: $977,296 in savings needed; $61,529 in annual living expenses
• New Mexico: $834,590 in savings needed; $55,821 in annual living expenses
• North Carolina: $905,192 in savings needed; $58,645 in annual living expenses
• Virginia: $948,755 in savings needed; $60,387 in annual living expenses
• West Virginia: $712,913 in savings needed; $50,954 in annual living expenses