Retirement Planning Reality: What a $1 Million Nest Egg Plus Social Security Actually Buys Across America

The equation for retirement security isn’t universal. While $1 million has historically been considered the gold standard for retirement savings, its actual purchasing power varies dramatically depending on geography. When combined with Social Security benefits, this nest egg sustains retirees for wildly different periods across the 50 states—from just over a decade in high-cost regions to nearly nine decades in affordable areas.

The Extreme Divide: Where Your Savings Last Shortest vs. Longest

Three states present the harshest reality for retirees with $1 million in savings. Hawaii drains a seven-figure nest egg in merely 12.48 years, with monthly expenditures averaging $2,761. California follows at 16.29 years (monthly costs around $2,269), while Massachusetts comes in at 19.35 years ($2,340 monthly). These high-cost states demand approximately $50,000-$80,000 annually just for basic living expenses after accounting for Social Security payments.

Conversely, five states offer dramatically extended longevity for the same $1 million: Oklahoma (71.18 years), Louisiana (76.54 years), Arkansas (76.93 years), Mississippi (87.16 years), and West Virginia (88.79 years). In these affordable regions, monthly expenses hover around $1,725-$1,833, and retirees need less than $1,200 monthly beyond their Social Security benefit to cover all living expenses.

The Middle Ground: 36 States Where $1 Million Works for 30+ Years

For those seeking longer sustainability, the good news is substantial: 36 states allow a $1 million retirement fund (combined with Social Security) to last at least 30 years. This provides meaningful security for retirees planning for a typical 25-35 year retirement horizon.

The tier just below the ultra-expensive zone includes states like Washington (21.92 years), New Jersey (24.20 years), and Colorado (25.15 years). While these states offer more extended runway than the expensive coastal areas, they still represent the upper-cost threshold.

The sweet spot begins around the 26-30 year range, where states like New Hampshire (26.28 years), Utah (26.46 years), Oregon (26.78 years), and Rhode Island (27.09 years) position themselves. Monthly living expenses in this band typically range from $1,893-$2,113, requiring roughly $36,000-$38,000 annually beyond Social Security.

States Offering 40+ Year Sustainability

Moving into the comfortable zone, Nevada (30.93 years), Idaho (30.97 years), Montana (31.59 years), Maryland (31.95 years), and Arizona (32.04 years) offer solid value. These states see monthly costs in the $1,825-$1,931 range.

By the 40-year threshold, we find Wyoming (40.26 years), Minnesota (40.56 years), and North Carolina (42.68 years). Here, monthly expenditures drop to approximately $1,864-$1,936, with annual post-Social Security costs under $24,700.

Georgia (43.09 years) and Wisconsin (45.15 years) represent excellent value propositions, where monthly expenses average $1,863-$1,895.

High-Sustainability States: 45-60+ Years

Texas pushes into 47.27 years of coverage, with just $1,851 in monthly expenses. The region spanning South Dakota (47.45 years), New Mexico (47.67 years), and South Carolina (48.55 years) demonstrates that $1 million can sustain retirement for nearly half a century when combined with Social Security.

Tennessee reaches 48.86 years, while Illinois stretches to 50.16 years. Further extending the runway, North Dakota (52.61 years), Pennsylvania (52.70 years), and Nebraska (55.03 years) showcase how modest cost-of-living environments preserve purchasing power.

The ultimate category includes Indiana (59.43 years), Michigan (60.38 years), Missouri (60.96 years), Ohio (62.12 years), Kansas (65.29 years), Iowa (65.97 years), and Alabama (67.23 years), where $1 million can fund 60+ years of retirement spending, with monthly costs ranging from just $1,780-$1,854.

Kentucky extends to 69.17 years at $1,864 monthly expenditures—still remarkably affordable for extended retirement horizons.

Methodology and Data Foundation

This analysis examined cost-of-living data from Missouri’s Economic and Research Information Center alongside the U.S. Census American Community Survey and Bureau of Labor Statistics Consumer Expenditure Survey. The assessment calculated average monthly expenses across six key categories—groceries, healthcare, housing, utilities, transportation, and miscellaneous costs—for each state.

Using national average Social Security benefits ($1,907 monthly as of November 2024) and state-specific cost adjustments, researchers determined the annual shortfall between Social Security income and living expenses. Dividing $1 million by this annual shortfall produced the longevity calculation for each state.

Key Takeaways for Retirement Planning

The variance across states reveals that geography fundamentally shapes retirement security. A retiree with $1 million in savings faces vastly different planning horizons depending on whether they settle in Hawaii (12 years) or West Virginia (88 years)—a sevenfold difference driven entirely by cost of living.

For those currently saving, this data underscores the importance of targeting either higher savings goals for expensive-state retirement or considering relocation to high-sustainability regions. For those approaching or in retirement, understanding how many years $1 million will last in your chosen state becomes essential for ongoing financial security and lifestyle planning.

The bottom line: While $1 million provides a meaningful retirement nest egg, its actual purchasing power and sustainability depends entirely on location—making strategic state selection a critical, yet often overlooked, component of retirement strategy.