Early Retirement: Here’s How Much Savings Is Needed To Retire by 40 in Every State
Want to retire early? Depending on where you live, you may need to step up your nest egg savings to reach this milestone.
To find out how much is needed in savings to retire at 40, GOBankingRates reviewed each state’s cost-of-living indexes. For each slide listed, the total monthly cost combines monthly expenditure and mortgage costs while the total annual cost combines expenditures and mortgage costs for the average annual cost of living for retired residents. Savings needed to retire at 40 years old were calculated using Social Security benefits (assuming individuals wait until they’re 65 to retire for full benefits), along with cost of living and assuming different age ranges.
Ranked in order from the least to the most savings you’d need to cover cost of living expenses, this is how much savings is needed to retire by 40 in every U.S. state.
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West Virginia
Total monthly cost: $2,429.64
Total annual cost: $29,155.65
Live to 80, 40 years of retirement, CoL: $831,060.53
Live to 85, 45 years of retirement, CoL: $865,116.98
Live to 90, 50 years of retirement, CoL: $899,173.42
Live to 100, 60 years of retirement, CoL: $967,286.30
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Mississippi
Total monthly cost: $2,544.59
Total annual cost: $30,535.12
Live to 80, 40 years of retirement, CoL: $886,239.54
Live to 85, 45 years of retirement, CoL: $927,193.35
Live to 90, 50 years of retirement, CoL: $968,147.17
Live to 100, 60 years of retirement, CoL: $1,050,054.80
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Oklahoma
Total monthly cost: $2,653.94
Total annual cost: $31,847.33
Live to 80, 40 years of retirement, CoL: $938,727.98
Live to 85, 45 years of retirement, CoL: $986,242.86
Live to 90, 50 years of retirement, CoL: $1,033,757.73
Live to 100, 60 years of retirement, CoL: $1,128,787.47
Arkansas
Total monthly cost: $2,693.65
Total annual cost: $32,323.81
Live to 80, 40 years of retirement, CoL: $957,787.16
Live to 85, 45 years of retirement, CoL: $1,007,684.44
Live to 90, 50 years of retirement, CoL: $1,057,581.71
Live to 100, 60 years of retirement, CoL: $1,157,376.25
Kentucky
Total monthly cost: $2,694.83
Total annual cost: $32,337.96
Live to 80, 40 years of retirement, CoL: $958,352.93
Live to 85, 45 years of retirement, CoL: $1,008,320.92
Live to 90, 50 years of retirement, CoL: $1,058,288.91
Live to 100, 60 years of retirement, CoL: $1,158,224.89
Louisiana
Total monthly cost: $2,759.21
Total annual cost: $33,110.54
Live to 80, 40 years of retirement, CoL: $989,256.03
Live to 85, 45 years of retirement, CoL: $1,043,086.90
Live to 90, 50 years of retirement, CoL: $1,096,917.78
Live to 100, 60 years of retirement, CoL: $1,204,579.54
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Alabama
Total monthly cost: $2,769.60
Total annual cost: $33,235.20
Live to 80, 40 years of retirement, CoL: $994,242.75
Live to 85, 45 years of retirement, CoL: $1,048,696.97
Live to 90, 50 years of retirement, CoL: $1,103,151.19
Live to 100, 60 years of retirement, CoL: $1,212,059.62
Kansas
Total monthly cost: $2,780.04
Total annual cost: $33,360.49
Live to 80, 40 years of retirement, CoL: $999,254.39
Live to 85, 45 years of retirement, CoL: $1,054,335.07
Live to 90, 50 years of retirement, CoL: $1,109,415.74
Live to 100, 60 years of retirement, CoL: $1,219,577.09
Iowa
Total monthly cost: $2,816.98
Total annual cost: $33,803.76
Live to 80, 40 years of retirement, CoL: $1,016,985.14
Live to 85, 45 years of retirement, CoL: $1,074,282.16
Live to 90, 50 years of retirement, CoL: $1,131,579.18
Live to 100, 60 years of retirement, CoL: $1,246,173.21
Michigan
Total monthly cost: $2,909.88
Total annual cost: $34,918.62
Live to 80, 40 years of retirement, CoL: $1,061,579.26
Live to 85, 45 years of retirement, CoL: $1,124,450.55
Live to 90, 50 years of retirement, CoL: $1,187,321.83
Live to 100, 60 years of retirement, CoL: $1,313,064.40
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Ohio
Total monthly cost: $2,920.01
Total annual cost: $35,040.08
Live to 80, 40 years of retirement, CoL: $1,066,438.00
Live to 85, 45 years of retirement, CoL: $1,129,916.62
Live to 90, 50 years of retirement, CoL: $1,193,395.24
Live to 100, 60 years of retirement, CoL: $1,320,352.49
Missouri
Total monthly cost: $2,929.19
Total annual cost: $35,150.24
Live to 80, 40 years of retirement, CoL: $1,070,844.02
Live to 85, 45 years of retirement, CoL: $1,134,873.39
Live to 90, 50 years of retirement, CoL: $1,198,902.77
Live to 100, 60 years of retirement, CoL: $1,326,961.53
Indiana
Total monthly cost: $2,930.34
Total annual cost: $35,164.11
Live to 80, 40 years of retirement, CoL: $1,071,399.08
Live to 85, 45 years of retirement, CoL: $1,135,497.85
Live to 90, 50 years of retirement, CoL: $1,199,596.61
Live to 100, 60 years of retirement, CoL: $1,327,794.13
Nebraska
Total monthly cost: $3,063.24
Total annual cost: $36,758.84
Live to 80, 40 years of retirement, CoL: $1,135,188.11
Live to 85, 45 years of retirement, CoL: $1,207,260.50
Live to 90, 50 years of retirement, CoL: $1,279,332.89
Live to 100, 60 years of retirement, CoL: $1,423,477.66
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Illinois
Total monthly cost: $3,096.68
Total annual cost: $37,160.19
Live to 80, 40 years of retirement, CoL: $1,151,242.37
Live to 85, 45 years of retirement, CoL: $1,225,321.54
Live to 90, 50 years of retirement, CoL: $1,299,400.71
Live to 100, 60 years of retirement, CoL: $1,447,559.05
Pennsylvania
Total monthly cost: $3,133.55
Total annual cost: $37,602.60
Live to 80, 40 years of retirement, CoL: $1,168,938.76
Live to 85, 45 years of retirement, CoL: $1,245,229.97
Live to 90, 50 years of retirement, CoL: $1,321,521.19
Live to 100, 60 years of retirement, CoL: $1,474,103.63
North Dakota
Total monthly cost: $3,149.08
Total annual cost: $37,788.93
Live to 80, 40 years of retirement, CoL: $1,176,391.62
Live to 85, 45 years of retirement, CoL: $1,253,614.45
Live to 90, 50 years of retirement, CoL: $1,330,837.27
Live to 100, 60 years of retirement, CoL: $1,485,282.93
South Carolina
Total monthly cost: $3,341.30
Total annual cost: $40,095.58
Live to 80, 40 years of retirement, CoL: $1,268,657.69
Live to 85, 45 years of retirement, CoL: $1,357,413.77
Live to 90, 50 years of retirement, CoL: $1,446,169.86
Live to 100, 60 years of retirement, CoL: $1,623,682.03
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South Dakota
Total monthly cost: $3,354.02
Total annual cost: $40,248.29
Live to 80, 40 years of retirement, CoL: $1,274,766.15
Live to 85, 45 years of retirement, CoL: $1,364,285.80
Live to 90, 50 years of retirement, CoL: $1,453,805.44
Live to 100, 60 years of retirement, CoL: $1,632,844.73
Texas
Total monthly cost: $3,362.63
Total annual cost: $40,351.50
Live to 80, 40 years of retirement, CoL: $1,278,894.70
Live to 85, 45 years of retirement, CoL: $1,368,930.41
Live to 90, 50 years of retirement, CoL: $1,458,966.13
Live to 100, 60 years of retirement, CoL: $1,639,037.55
Tennessee
Total monthly cost: $3,378.71
Total annual cost: $40,544.56
Live to 80, 40 years of retirement, CoL: $1,286,617.15
Live to 85, 45 years of retirement, CoL: $1,377,618.17
Live to 90, 50 years of retirement, CoL: $1,468,619.19
Live to 100, 60 years of retirement, CoL: $1,650,621.23
Wisconsin
Total monthly cost: $3,381.54
Total annual cost: $40,578.47
Live to 80, 40 years of retirement, CoL: $1,287,973.48
Live to 85, 45 years of retirement, CoL: $1,379,144.04
Live to 90, 50 years of retirement, CoL: $1,470,314.60
Live to 100, 60 years of retirement, CoL: $1,652,655.72
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New Mexico
Total monthly cost: $3,384.31
Total annual cost: $40,611.70
Live to 80, 40 years of retirement, CoL: $1,289,302.58
Live to 85, 45 years of retirement, CoL: $1,380,639.28
Live to 90, 50 years of retirement, CoL: $1,471,975.98
Live to 100, 60 years of retirement, CoL: $1,654,649.37
Georgia
Total monthly cost: $3,495.70
Total annual cost: $41,948.43
Live to 80, 40 years of retirement, CoL: $1,342,771.86
Live to 85, 45 years of retirement, CoL: $1,440,792.21
Live to 90, 50 years of retirement, CoL: $1,538,812.57
Live to 100, 60 years of retirement, CoL: $1,734,853.29
Minnesota
Total monthly cost: $3,576.09
Total annual cost: $42,913.09
Live to 80, 40 years of retirement, CoL: $1,381,358.09
Live to 85, 45 years of retirement, CoL: $1,484,201.73
Live to 90, 50 years of retirement, CoL: $1,587,045.36
Live to 100, 60 years of retirement, CoL: $1,792,732.64
Wyoming
Total monthly cost: $3,593.97
Total annual cost: $43,127.67
Live to 80, 40 years of retirement, CoL: $1,389,941.40
Live to 85, 45 years of retirement, CoL: $1,493,857.95
Live to 90, 50 years of retirement, CoL: $1,597,774.50
Live to 100, 60 years of retirement, CoL: $1,805,607.60
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North Carolina
Total monthly cost: $3,602.34
Total annual cost: $43,228.03
Live to 80, 40 years of retirement, CoL: $1,393,955.94
Live to 85, 45 years of retirement, CoL: $1,498,374.31
Live to 90, 50 years of retirement, CoL: $1,602,792.67
Live to 100, 60 years of retirement, CoL: $1,811,629.41
Delaware
Total monthly cost: $3,945.20
Total annual cost: $47,342.45
Live to 80, 40 years of retirement, CoL: $1,558,532.44
Live to 85, 45 years of retirement, CoL: $1,683,522.87
Live to 90, 50 years of retirement, CoL: $1,808,513.29
Live to 100, 60 years of retirement, CoL: $2,058,494.15
Virginia
Total monthly cost: $4,026.71
Total annual cost: $48,320.50
Live to 80, 40 years of retirement, CoL: $1,597,654.47
Live to 85, 45 years of retirement, CoL: $1,727,535.16
Live to 90, 50 years of retirement, CoL: $1,857,415.84
Live to 100, 60 years of retirement, CoL: $2,117,177.21
Maine
Total monthly cost: $4,124.89
Total annual cost: $49,498.67
Live to 80, 40 years of retirement, CoL: $1,644,781.37
Live to 85, 45 years of retirement, CoL: $1,780,552.91
Live to 90, 50 years of retirement, CoL: $1,916,324.46
Live to 100, 60 years of retirement, CoL: $2,187,867.55
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Florida
Total monthly cost: $4,169.51
Total annual cost: $50,034.13
Live to 80, 40 years of retirement, CoL: $1,666,199.87
Live to 85, 45 years of retirement, CoL: $1,804,648.73
Live to 90, 50 years of retirement, CoL: $1,943,097.59
Live to 100, 60 years of retirement, CoL: $2,219,995.30
Vermont
Total monthly cost: $4,273.72
Total annual cost: $51,284.59
Live to 80, 40 years of retirement, CoL: $1,716,218.05
Live to 85, 45 years of retirement, CoL: $1,860,919.18
Live to 90, 50 years of retirement, CoL: $2,005,620.31
Live to 100, 60 years of retirement, CoL: $2,295,022.57
Idaho
Total monthly cost: $4,304.14
Total annual cost: $51,649.67
Live to 80, 40 years of retirement, CoL: $1,730,821.55
Live to 85, 45 years of retirement, CoL: $1,877,348.12
Live to 90, 50 years of retirement, CoL: $2,023,874.69
Live to 100, 60 years of retirement, CoL: $2,316,927.82
Nevada
Total monthly cost: $4,318.81
Total annual cost: $51,825.71
Live to 80, 40 years of retirement, CoL: $1,737,862.96
Live to 85, 45 years of retirement, CoL: $1,885,269.70
Live to 90, 50 years of retirement, CoL: $2,032,676.45
Live to 100, 60 years of retirement, CoL: $2,327,489.93
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Connecticut
Total monthly cost: $4,352.69
Total annual cost: $52,232.31
Live to 80, 40 years of retirement, CoL: $1,754,126.93
Live to 85, 45 years of retirement, CoL: $1,903,566.67
Live to 90, 50 years of retirement, CoL: $2,053,006.41
Live to 100, 60 years of retirement, CoL: $2,351,885.90
Alaska
Total monthly cost: $4,376.38
Total annual cost: $52,516.54
Live to 80, 40 years of retirement, CoL: $1,765,496.24
Live to 85, 45 years of retirement, CoL: $1,916,357.14
Live to 90, 50 years of retirement, CoL: $2,067,218.05
Live to 100, 60 years of retirement, CoL: $2,368,939.86
Montana
Total monthly cost: $4,409.36
Total annual cost: $52,912.35
Live to 80, 40 years of retirement, CoL: $1,781,328.66
Live to 85, 45 years of retirement, CoL: $1,934,168.62
Live to 90, 50 years of retirement, CoL: $2,087,008.58
Live to 100, 60 years of retirement, CoL: $2,392,688.49
Arizona
Total monthly cost: $4,459.75
Total annual cost: $53,516.96
Live to 80, 40 years of retirement, CoL: $1,805,513.10
Live to 85, 45 years of retirement, CoL: $1,961,376.11
Live to 90, 50 years of retirement, CoL: $2,117,239.12
Live to 100, 60 years of retirement, CoL: $2,428,965.15
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Maryland
Total monthly cost: $4,519.25
Total annual cost: $54,230.98
Live to 80, 40 years of retirement, CoL: $1,834,073.92
Live to 85, 45 years of retirement, CoL: $1,993,507.03
Live to 90, 50 years of retirement, CoL: $2,152,940.15
Live to 100, 60 years of retirement, CoL: $2,471,806.38
Rhode Island
Total monthly cost: $4,562.29
Total annual cost: $54,747.45
Live to 80, 40 years of retirement, CoL: $1,854,732.56
Live to 85, 45 years of retirement, CoL: $2,016,748.01
Live to 90, 50 years of retirement, CoL: $2,178,763.45
Live to 100, 60 years of retirement, CoL: $2,502,794.34
New Hampshire
Total monthly cost: $4,685.67
Total annual cost: $56,228.00
Live to 80, 40 years of retirement, CoL: $1,913,954.64
Live to 85, 45 years of retirement, CoL: $2,083,372.85
Live to 90, 50 years of retirement, CoL: $2,252,791.06
Live to 100, 60 years of retirement, CoL: $2,591,627.47
Utah
Total monthly cost: $4,807.36
Total annual cost: $57,688.32
Live to 80, 40 years of retirement, CoL: $1,972,367.40
Live to 85, 45 years of retirement, CoL: $2,149,087.20
Live to 90, 50 years of retirement, CoL: $2,325,807.00
Live to 100, 60 years of retirement, CoL: $2,679,246.60
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New York
Total monthly cost: $4,811.51
Total annual cost: $57,738.08
Live to 80, 40 years of retirement, CoL: $1,974,357.92
Live to 85, 45 years of retirement, CoL: $2,151,326.53
Live to 90, 50 years of retirement, CoL: $2,328,295.15
Live to 100, 60 years of retirement, CoL: $2,682,232.38
Oregon
Total monthly cost: $4,934.02
Total annual cost: $59,208.22
Live to 80, 40 years of retirement, CoL: $2,033,163.33
Live to 85, 45 years of retirement, CoL: $2,217,482.62
Live to 90, 50 years of retirement, CoL: $2,401,801.91
Live to 100, 60 years of retirement, CoL: $2,770,440.49
Colorado
Total monthly cost: $5,032.23
Total annual cost: $60,386.81
Live to 80, 40 years of retirement, CoL: $2,080,306.81
Live to 85, 45 years of retirement, CoL: $2,270,519.04
Live to 90, 50 years of retirement, CoL: $2,460,731.27
Live to 100, 60 years of retirement, CoL: $2,841,155.72
New Jersey
Total monthly cost: $5,039.02
Total annual cost: $60,468.22
Live to 80, 40 years of retirement, CoL: $2,083,563.40
Live to 85, 45 years of retirement, CoL: $2,274,182.70
Live to 90, 50 years of retirement, CoL: $2,464,802.00
Live to 100, 60 years of retirement, CoL: $2,846,040.60
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Washington
Total monthly cost: $5,481.69
Total annual cost: $65,780.31
Live to 80, 40 years of retirement, CoL: $2,296,047.06
Live to 85, 45 years of retirement, CoL: $2,513,226.82
Live to 90, 50 years of retirement, CoL: $2,730,406.58
Live to 100, 60 years of retirement, CoL: $3,164,766.10
Massachusetts
Total monthly cost: $6,205.37
Total annual cost: $74,464.45
Live to 80, 40 years of retirement, CoL: $2,643,412.62
Live to 85, 45 years of retirement, CoL: $2,904,013.07
Live to 90, 50 years of retirement, CoL: $3,164,613.52
Live to 100, 60 years of retirement, CoL: $3,685,814.43
District of Columbia (DC)
Total monthly cost: $6,884.52
Total annual cost: $82,614.26
Live to 80, 40 years of retirement, CoL: $2,969,405.18
Live to 85, 45 years of retirement, CoL: $3,270,754.70
Live to 90, 50 years of retirement, CoL: $3,572,104.22
Live to 100, 60 years of retirement, CoL: $4,174,803.27
California
Total monthly cost: $7,014.74
Total annual cost: $84,176.84
Live to 80, 40 years of retirement, CoL: $3,031,908.29
Live to 85, 45 years of retirement, CoL: $3,341,070.70
Live to 90, 50 years of retirement, CoL: $3,650,233.11
Live to 100, 60 years of retirement, CoL: $4,268,557.94
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Hawaii
Total monthly cost: $8,910.05
Total annual cost: $106,920.55
Live to 80, 40 years of retirement, CoL: $3,941,656.55
Live to 85, 45 years of retirement, CoL: $4,364,537.49
Live to 90, 50 years of retirement, CoL: $4,787,418.44
Live to 100, 60 years of retirement, CoL: $5,633,180.32
Methodology: For this study, GOBankingRates found the average amount needed in savings to retire by 40 years old in every state. First GOBankingRates found the cost-of-living indexes for each state as sourced from Missouri Economic and Research Information Center. Using the national average expenditure costs for retired residents as sourced from the Bureau of Labor Statistics Consumer Expenditure for Retired Residents, the average expenditure costs for each state can be calculated. Using Zillow’s Home Value Index to find the average single family home value in each state and using the national fixed 30-year average mortgage rate as sourced from the Federal Reserve Economic Research, the average mortgage cost can be calculated for each state. Combining the average mortgage and the average expenditure costs gives an average annual cost of living for retired residents. Assuming someone waits until they are 65 and then receives full Social Security Benefits from the Social Security Administration, the average income to be expected can be calculated. Using the Social Security Benefits, cost of living, and assuming different age ranges, the savings needed to retire at 40 years old can be calculated. All data was collected and is up to date as of March 18, 2024.
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This article originally appeared on GOBankingRates.com: Early Retirement: Here’s How Much Savings Is Needed To Retire by 40 in Every State