Hawaii tops list for retirement income needs at $64,504, West Virginia lowest at $40,627

Key points

• Hawaii has the highest required annual retirement income at $64,504, followed by California at $63,402 and Massachusetts at $63,610.
• West Virginia has the lowest required annual retirement income at $40,627, followed by Arkansas at $41,615 and Kentucky at $42,040.
• The average annual Social Security benefit is $24,852, based on a monthly average of $2,071 reported by the Social Security Administration in January 2026.
• Retirees derive income from multiple sources, including 401(k) plans, IRAs, annuities, pension plans, and Social Security benefits.
• The analysis was conducted by MoneyLion using data from the MIT Living Wage Calculator to estimate comfortable retirement income for a single adult without children.

Background

This analysis comes amid ongoing national debates about wealth and income taxes, as seen in recent November ballot measures in California, Colorado, and Washington. These states are grappling with fiscal challenges and considering measures to address budget deficits, which may influence retirement planning and cost of living for residents.

Why it matters

Understanding the income required to retire comfortably in each state helps individuals plan their retirement savings and income streams. With rising expenses and persistent inflation, ensuring adequate income is crucial for financial security in retirement. The significant variation in required income across states highlights the importance of location in retirement planning.

What to watch

Retirees and those nearing retirement should review their income sources and adjust their savings strategies to meet the specific requirements of their state. Monitoring changes in Social Security benefits and state tax policies will also be important for maintaining financial stability in retirement.