Overview
- CareScout released a state-level study on June 26 showing retirees in 41 states and the District of Columbia are likely to outlive their combined Social Security, savings and investments, with the average 65-year-old facing a $109,000 shortfall.
- The largest projected deficits are concentrated in high-cost places, with New York showing about a $471,000 shortfall and California and D.C. also among the worst-hit areas.
- Only nine states — including Washington, New Hampshire, Colorado, Nebraska, Idaho, Minnesota, Utah, Maryland and Montana — are projected to produce a retirement surplus for typical retirees.
- CareScout and experts point to longer life expectancy, rising long-term care and living costs, and households withdrawing retirement funds for other needs as the main drivers of the gap.
- The report builds on recent industry data showing falling average account balances and low medians, and it urges planning steps such as researching state care costs, considering long-term care insurance and consulting a professional.