Many people have plans to retire away from where they are currently living and working. Some people already have vacation homes that they plan on moving to full time after they retire. Some people know exactly where they want to go, maybe some place they love to visit or where their family lives.

Still others have intentions to move, but aren’t quite sure where to start. Moving over long distances at any point in your life can be a big decision, one that can have a major impact on your future. This is even truer for entering retirement where your resources will be more limited and you have to concern yourself more with lifestyle needs like health care and transportation.

A few weeks ago at U.S. News – Money, Emily Brandon posted “10 Tips for Picking a Place to Retire.” If you are considering a move in your retirement, these tips can point you in the right direction on where to start.

  • Seek lower costs” – There are plenty of areas around the U.S. that have lower costs of living. Obviously, depending on where you live now, the difference in cost could be very extreme. Picking an area that has lower cost of living overall (especially if you are looking to buy a home), can have a major impact on lowering your retirement expenses.
  • “Look for great amenities” – You should look for a place that will allow you to stay active and productive in your retirement. When looking for a new place to live, make sure to keep the available amenities in mind. Whether is it an all-inclusive community, or the availability of amenities within short walking or driving distance.
  • Health care options are essential” – Healthcare will become more important as you age. You don’t want to retire to an area where the closest medical center or hospital is too far away for convenience. Also, make sure the available options that are close at hand are quality, with good doctors and technology at hand.
  • Calculate the tax impact” – Taxes can have a big negative impact on your retirement income, and it’s unfortunate that many people do not take the time to consider this impact before entering retirement. If you are looking to move to a new state, keep in mind the impact of the state taxes before you move. There is a wide variety of tax rates to choose from state by state, so don’t lose sight of how it will affect you and your potential move.
  • Aim for proximity to family and friends” – We’ve heard plenty of unfortunate stories of people who move to a location far from family and friends only to be unhappy there. Maybe it was to a place they loved vacationing to or a place they always dreamed of living. But it can get very lonely, and this can be especially true if you have kids and grandkids. In the long run, it’s important to consider how living near family and friends can positively impact your life.
  • Consider the political, religious and social climate” – This may not even be something you would think about during a move. There are plenty of areas around the country that are more highly charged than others politically, religiously, or socially. If you have a particular leaning, you may want to consider what views others in the community have. Otherwise, it may become difficult to make new friends with like-minded views.
  • Job opportunities” – If you are looking to work for at least some of your retirement years, as more and more people today are planning, make sure you look for a place that provides you with job opportunities. Otherwise, your plans to go back to work may not come to fruition, straining your retirement income.
  • Transportation options” – While driving yourself around may not be an issue now or for years to come, there may come a point where you no longer can drive yourself. Consider looking into what public transportation options are available where you are looking to move for future use.
  • Better weather” – This is often the reason people will give for wanting to move, especially if they live somewhere with extreme temperatures. But you have to do your research! Temperature can vary wildly by state and by season, and some people may not consider the extremes. If you are moving from Wisconsin and bitterly cold winters, you’ll probably love Florida’s winter temperatures. You may not love the summer temperature though! While nowhere is going to have your perfect weather, you have to decide what is most important to you and what kind of extremes you can tolerate.
  • Test it out first” – We’ve discussed this here before. When making a big move, you never want to jump into buying a house right away. You should always look into renting for a time to make sure that you really love where you’ve chosen. That way, if you find out six months down the road you haven’t chosen the right location, you are in a much better position to fix the issue than if you are tied down into homeownership.

We hope you found some helpful tips here if you are looking at moving when you retire. We thought Brandon’s list has many good thoughts to get you started.

 

  • Disclaimer: The information on this blog is not meant for specific financial advice. The ideas/opinions stated are not suited for everyone, and readers should use their own judgment in applying them in their financial lives.
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