How much money one needs to save in order to live comfortably in retirement is among the top worries people have. Where you live is one of several variables that affects the answer to this question. In this post, we’ll look more closely at how much money you’ll need to retire in South Dakota and where to go for the state’s greatest weather.
Let’s start by discussing the cost of living in South Dakota. Numbeo data show that South Dakota has a lower cost of living than the rest of the country. With an average property price of just over $200,000 in the state, housing prices are very reasonable. As a result, retirees in South Dakota can live comfortably without going over their budget.
Naturally, the sum of money required to retire in South Dakota will vary depending on your particular circumstances. Retirement savings should normally be sufficient to replace 70–80 percent of an individual’s pre-retirement income, according to financial consultants. The Social Security Administration estimates that South Dakota’s average monthly retirement benefit will be $1,542 in 2021. As a result, if Social Security is your only source of retirement income, you’ll need to have additional resources to pay for living expenditures.
It’s crucial to think about where in South Dakota you want to reside if you plan to retire there. Although the cost of living is generally low throughout the state, some regions are more affordable than others. For instance, the cost of living in Aberdeen, South Dakota, is 17% lower than the national average. Aberdeen is located in northeastern South Dakota. The state’s other affordable cities are Sioux Falls, Mitchell, and Watertown.
South Dakota has a reputation for having extremely frigid winters. The state does, however, have some regions with milder weather than others. With summertime average temperatures in the 60s in the western half of the state’s Black Hills region, the climate is more moderate. This region is well-known for its scenic beauty and abundance of outdoor activities, making it a favorite retirement location.
Conclusion: Your specific situation will determine how much money you need to retire in South Dakota, although on the whole the state has a lower cost of living than the national average. Consider living in Aberdeen, Sioux Falls, Mitchell, or Watertown if you’re searching for economical areas to do so in the state. And the Black Hills region can be the ideal location for you if you’re looking for milder weather.