Ernst & Haas Management Co Blog

[caption id="attachment_1670" align="aligncenter" width="300" caption="Whether you stay put after retirement, or relocate to somewhere sunny and sandy, be sure to enjoy it!"][/caption] Whether you're in your 20's, or late 50's, retirement should be on your mind. Let's face it, it's never to early to start planning - and saving - for retirement. For those of us in our 20's, saving for retirement seems like a lost cost considering it's decades away. And for those of us in our late 50's, it's the most important thing as it soon becomes the means to our living. But for those of us that are fortunate enough to have either retired, or are on the cusp of retiring, here are 10 necessities for a great retirement location (list courtesy Yahoo! Finance): 1. Affordable Housing: Selling your current home and moving to a place where housing costs significantly less could give your nest egg a quick and significant boost. 2. Lower Taxes: Tax rates vary considerably by state, and moving to a place with lower taxes could increase your spending power. There are seven states with no income tax: Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming. Additionally, New Hampshire and Tennessee tax dividend and interest income only. There are also five states that don't levy a sales tax: Alaska, Delaware, Montana, New Hampshire, and Oregon. The taxation of Social Security and pension benefits also differs by state. However, states without these taxes often have above-average property tax rates, so it's best to run the numbers based on the sources of your retirement income. 3. Better Weather: Many retirees choose to spend the coldest winter months in a sunnier climate or permanently relocate to a place with better weather. Approximately 30,000 seniors moved in 2011 primarily to live in a better climate. 4. Recreation and Culture: Throughout much of your life, your career dictates where you live. Retirement allows you the freedom to select a desirable place to live, whether that means surrounding yourself with golf courses, art galleries, water views, or hiking trails. In addition, many seniors use retirement as an opportunity to upgrade to what they describe as a better home, or a neighborhood with less crime, the Census Bureau found. 5. Job or Volunteer Opportunities: A part-time job or second career is increasingly becoming a part of the retirement years. If you plan to continue working, consider the health of the economy before moving to a new place, and look for cities with interesting part-time job or consulting opportunities. Many retirees also pursue volunteer work for the community and social benefits. 6. Proximity to Healthcare: Your healthcare needs are likely to increase as you age. Some 150,000 people changed residences for health reasons in 2011, typically after age 75. Any retirement spot you are considering should have health and elder-care facilities and doctors who specialize in taking care of older patients. 7. Convenient Transportation: Many retirees eventually reach a point where they can't or no longer want to drive. When this happens, other methods of transportation are essential. Consider whether a city has public transportation options or affordable taxi or van services for seniors. 8. Amenities for Seniors: As you age, you may increasingly need assistance with errands, yard work, and household chores. Some cities have nonprofit aging-in-place communities that provide a range of services such as home maintenance, transportation, and meal services in exchange for an annual fee. You might also be interested in socializing at a senior center, using a senior citizen tuition waiver at a local college, or getting senior discounts from local retailers. Check out the perks and privileges offered to senior citizens, even if you are not yet old enough to qualify. 9. Near Family and Friends: There is no substitute for living near friends and family members. Even the coldest retirement spot can be welcoming when you can watch your grandchildren play in your backyard. Living near relatives can also save you money if your children or other relatives can give you a ride to your next doctor's appointment or help with household chores you would otherwise pay someone to do. 10. Stay Close to Home: Most people who trade places don't relocate far from home. The majority of retirees who moved between 2010 and 2011 stayed in the same county and state. Only 0.8 percent of senior citizens crossed state lines or relocated abroad. There are many benefits to staying put in retirement: You already know your way around town, you don't need to make new friends unless you want to, and you now have time to rediscover all the weekday happenings you missed while you were working.