States where seniors cannot afford to live (section 8, renting)

[whtviper1]

We actually got beat by New York and Massachusetts for a change, we are #3

Bottom Line - States where seniors cannot afford to live

[OpenD]

This leaped out at me from the article you linked us to:

"According to MERIC’s cost of living index, expenses are higher in Hawaii than anywhere else in the country for every major category except health care, in which Hawaii’s is second. This high cost of living also affects Hawaii’s substantial elderly population. According to WOW’s economic security index, the annual cost of living for a single, renting retiree is just under $30,000 — the highest in the country. The biggest of these expenses is housing, which comes to $15,948 each year — by far the largest in the country."

Maybe this should be posted in a "sticky" at the top of the forum?

[mdand3boys]

Oahu skews the housing side of the report - and I would bet that very few retirees go to Oahu to retire.

[whtviper1]

Originally Posted by mdand3boys

Oahu skews the housing side of the report - and I would bet that very few retirees go to Oahu to retire.

I would further bet that few retirees end up in Hawaii in general except those with mega $$'s.

Oahu skews the housing - but everything else is more expensive on the outer islands like utilities, food, gas - any day to day necessity.

I don't know the numbers - but I would bet of the retiree population, many do end up in Oahu due to healthcare concerns.

Everything I've read lately is that the state is losing big chunks of population due to net migration and the growth of population is due to births exceeding deaths.

[mdand3boys]

Big Island, Puna District has a fast growing retiree population because land/housing is cheap.

[whtviper1]

Originally Posted by mdand3boys

Big Island, Puna District has a fast growing retiree population because land/housing is cheap.

I agree - I'm shocked at the number of houses that are unoccupied and built during the boom prior to 2008 that are still in need of a home.

[eureka1]

Hawaii is a place for the destitute who can survive on Social Security, Section 8 etc OR the well-to-do. According to the article I can't afford to live in California but here I am.

[PaliPatty]

It looks like there is pretty much no place that the average senior can go and live comfortably, or am I reading this wrong?
So....do we start building ice floes?
There is a growing population of seniors here (as elsewhere) but I think most of them are long-time residents or locals, not people who have come here to retire. They own their own homes which makes a huge difference in the retirement expense equation. Property taxes are comparatively low here and they actually go down as you age.
To come here for retirement is just nuts unless you have a great pension and/or a big bankroll. I do see a lot of military retirees here. Not renters, though, which the study focused on.
Saddest to see are those who bought property here (most notably on the BI) and have dreamed for years of retiring to "PARADISE!!"
The first health crisis comes along (and trust me---it WILL come) and is a huge wake-up call. That and isolation from old friends and family (especially in times of need) have them packing up their dreams and heading back, often much poorer for the experience.
I have to agree that Hawaii is not for average retirees, unless you already live here when you retire and know what you are going to face. But to come here from the Mainland to retire as an "average" retiree? No.

[whtviper1]

Originally Posted by PaliPatty

It looks like there is pretty much no place that the average senior can go and live comfortably, or am I reading this wrong?
So....do we start building ice floes?

I think you read that wrong.

The article states, in all states - living expenses exceed income by at $1,000 year. That makes sense - you stop working your income goes down but you still have expenses. Social Security is not meant to replace all of your income - I have an expectation that my savings will have to supplement my social security.

From there - the article says - there are some states where the cost to live there far exceeds the typical income. Hawaii is #3 with average elderly income at $20,000 and expenses of $30,000 - with housing being half that number. It's hard to be comfortable with that gap.

Certainly some states are cheaper to live for seniors - Florida, Arizona, and Nevada come to mind - super cheap housing. It's amazing how low the rents are and what $200K will buy you.

[PaliPatty]

Originally Posted by whtviper1

I think you read that wrong.

The article states, in all states - living expenses exceed income by at $1,000 year. That makes sense - you stop working your income goes down but you still have expenses. Social Security is not meant to replace all of your income - I have an expectation that my savings will have to supplement my social security.

From there - the article says - there are some states where the cost to live there far exceeds the typical income. Hawaii is #3 with average elderly income at $20,000 and expenses of $30,000 - with housing being half that number. It's hard to be comfortable with that gap.

Certainly some states are cheaper to live for seniors - Florida, Arizona, and Nevada come to mind - super cheap housing. It's amazing how low the rents are and what $200K will buy you.

Well, the article states this:

"The average older American living independently does not have the means to meet basic standards of living, according to a report published by Wider Opportunities for Women (WOW) and the Gerontology Institute at the University of Massachusetts Boston. The report, “Seniors nationwide are nowhere near economic security,” calculates the average income for retirees for each state in the country, as well as their costs of living. While older Americans in some regions are faring better than in others, their costs exceed their income by at least $1,000 per year in every state."

So some areas are better, of course, but in general it looks pretty bad for the average senior. And the article talked about "median elder income" for seniors living in each state, not just social security income.
Florida, Arizona, Nevada....uh, no thanks. The beaches in two of those states are really crappy and I always think of Florida as a place where old Northeasterners go to die.