Financial released its 2016 LPL Financial Research Retirement Environment
Index which ranks U.S. states on their
attractiveness for pre-retirees as they save and prepare for the challenges
ahead in retirement.
index is comprised of six broad categories that affect retiree desirability.
Within each category, four to six diverse subcategories provide depth and
A state’s fiscal health and the financial health of a state’s pre-retirees are
likely to directly impact individuals’ ability to enjoy a fulfilling
retirement. Financial factors rank high across all surveys of pre-retiree
care: Access to, and cost of, health care are key determinants of retirement
satisfaction. Along with financial factors, health care comprises a top
The availability of affordable housing, and the presence of nursing care
facilities, are both of vital importance and can be a major expense to consider
Quality of Life: Social factors, which take into account crime rates, traffic
patterns, and weather conditions, are key determinants of retiree happiness and
and Education: The 20 years before retirement can generate the highest rate of
savings if fully employed. Employment may offer benefits beyond income, such as
401(k)s, pensions, and health insurance.
Personal habits and tendencies impact health during the last years of
employment and into retirement. Poor habits are associated with premature
death, poor quality of life, and increased health care costs, in addition to
strains on state-provided resources.
index looks specifically at the 45- to 64-year-old cohort (pre-retirees) and collectively
assesses strengths and weaknesses of pre-retiree desirability on a state level,
rather than city or regional level.
that scored an “A” included: Virginia, South Dakota, Wyoming, Michigan and
Iowa. States that scored an “F” included: New Jersey, Oregon, New York, Alaska
More information is