Wyoming, Minnesota Rank High for Retirement Stability

As home care providers expand to meet demand, they may be served to look at the regions in which the aging population is positioned to pay for home care services, or where local infrastructure supports the retirement population.

States, specifically, vary widely when it comes to the ability of residents to pay for retirement needs, such as home health care services.

And while most research today indicates the majority of retirees are not prepared, state factors can play a major role in retirement success, according to a new report by The National Institute on Retirement Security.

Based on NIRS’s research, retirees in Wyoming stand to fare best among all states. That’s because major retiree costs are lower there, on average; potential future retiree income is higher; and Wyoming ranks highly in terms of older adult labor market opportunities. The state also has a relatively low unemployment rate for older workers, at 3.7 percent, versus the national average 5.3%.

In California, Florida and South Carolina, in particular, retirees face serious shortfalls. In California, that’s due to low potential retirement income, low workplace retirement plan access and high retiree costs; in Florida, retiree costs are high and wages and retirement plan access are low; and in South Carolina retirement income potential is low, as are labor market scores.

States where retirees stand to fare best—Alaska and Minnesota, in addition to Wyoming—offer strong labor markets and lower retiree costs. Yet still those states are challenged in the potential retirement income they offer to retirees.

The study authors noted the wide discrepancies between states, stressing that states must fill in some of the gaps to help retirees meet basic needs.

“The largest source of retirement income for most Americans is Social Security, but this critical federal program typically provides only a part of the income working families need to be self-sufficient,” said Diane Oakley, NIRS executive director. “State programs must fill the gap and help Americans meet their most basic needs for food, shelter and medicine. The good news is that some states like California and Illinois already have enacted legislation to reduce future retiree poverty by encouraging workers to save today.”

But for today’s retirees in the worst-off states, meeting retirement needs is getting tougher, said Hank Kim, executive director and counsel with the National Conference on Public Employee Retirement Systems, begging for more solutions retirees can use; both public and private.

“This research project makes it abundantly clear that achieving financial security in retirement is an increasingly elusive goal for Americans,” he said. “The findings give policymakers yet another reason to explore innovative approaches, such as the Secure Choice Pension, which draws on the documented performance and efficiencies of public sector pension management, and extends it to those in the private sector,” Kim said.

Written by Elizabeth Ecker

Elizabeth Ecker on EmailElizabeth Ecker on Linkedin
Elizabeth Ecker
Director of Content at Home Health Care News
Curious about all things, when not writing about senior housing topics, Liz is an avid explorer of food. She loves trying new recipes, new restaurants and new ice cream flavors. (Current favorite: Goat cheese with red cherries.)

By continuing to use the site, you agree to the use of cookies. More Information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this. For more information, see our cookie policy