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Arizona vs. Florida: Deciding the Ultimate Retirement Destination for Sysco Employees

Healthcare Provider Update: Healthcare Provider for Sysco Sysco partners with Aetna to provide its healthcare benefits to employees. Those enrolled in Sysco's national medical plan have access to various services through Aetna, including options for MinuteClinic appointments. Potential Healthcare Cost Increases in 2026 As we look ahead to 2026, Sysco employees can expect substantial increases in healthcare costs, reflecting broader trends in the industry. Nationwide, health insurance premiums for Affordable Care Act (ACA) plans are set to rise significantly, with some states forecasting hikes of over 60%. This surge is driven by a combination of expiring federal premium subsidies and ongoing medical cost inflation, leaving many enrollees at risk of facing out-of-pocket premium increases exceeding 75%. Consequently, it's imperative for individuals to prepare strategically to mitigate financial impact as these shifts unfold. Click here to learn more

And for Sysco employees approaching Retirement, it pays to weigh tax benefits and healthcare options when considering states like Arizona and Florida - two popular destinations with different advantages in terms of cost of living and retirement resources, says Brent Wolf, an advisor with The Retirement Group, a division of Wealth Enhancement Group.

'Sysco employees should consider balancing long-term affordability with quality healthcare when they plan to retire,' says Kevin Landis, an advisor with The Retirement Group, a division of Wealth Enhancement Group.

'In this article we will discuss:

1. State taxes and their effects on retirees.

2. Retirement and climate considerations.

3. Housing costs and insurance factors.

Many factors affect your financial future and quality of life when you plan for retirement. One important aspect is where you live when you retire. Both Arizona and Florida draw retirees because they offer different advantages. This article compares the two states on several key points to help you make an informed decision.

State Taxes:

A top consideration for Genesco retirees is the tax burden. In this regard Florida is ahead. It has no state income tax and does not tax Social Security benefits, retirement account withdrawals or pensions. Arizona, however, has a state income tax and taxes retirement account withdrawals. Arizona also taxes some pensions.

Weather:

The weather influences retirement destination choices. Some differences exist between Arizona and Florida climates. Arizona has hot summers - some places can reach 100 degrees Fahrenheit. The Florida summer highs are about 90 degrees. The key is humidity - Arizona has dry heat whereas Florida can be hot and humid in summer.

Housing Costs:

Housing is an expensive expense for retirees. In terms of median sale prices, Florida leads Arizona by slightly at $400,900 versus $423,500. But trends and timing are important. Arizona housing costs have dropped 7.4 percent from last year while Florida prices have increased 0.4 percent. All these trends suggest Arizona may one day provide more affordable housing.

Homeowners Insurance:

With housing costs comes homeowners insurance. Florida has problems with hurricanes because of the high risk, so insurance companies withdrew coverage and raised premiums. By contrast, Arizona offers cheaper homeowners insurance in this respect.

Food:

And food costs can really add to your retirement budget. A lower average monthly food bill of $543 ranks Arizona 33rd in the country and Florida 18th. Dinner for two at an Arizona restaurant costs USD 60.70 versus USD 63.10 in Florida.

Gas Prices:

Both Arizona and Florida offer diverse destinations within the state. Yet Florida pays less for gas than does Arizona, where the average is USD 4.52 a gallon. The difference could mean cheaper travel within the state for retirees.

Age:

Age demographics can affect social interactions and amenities in a retirement destination. Florida has a higher percentage of residents over 65 compared to Arizona. So this may mean more choices for 55+ communities and more chances to be around people at this stage of life.

Doctor's Visit:

Medical care for retirees becomes more important. For the cost of a doctor's visit, Florida leads Arizona by USD 112 versus USD 123. A higher proportion of Florida residents over 65 may also mean more experience for doctors with older patients.

Total Cost of Living:

For retirees on fixed budgets, overall cost of living is important. One person on average pays USD 2,221 a month in Arizona and USD 2,218 in Florida. These figures show roughly the same cost of living in both states - none are far greater than the other. But the two states are also cheaper than expensive states like New York.

Conclusion - Arizona and Florida have attractive features for Genesco retirees. In Florida there is no state income tax, housing costs are lower now and gas is cheaper. Drier heat, lower homeowners insurance, and slightly lower food costs make Arizona a good pick. You need to weigh weather, taxes, housing and healthcare first.

Finally, the decision between Arizona and Florida should fit your budget, leisure time, and your own personal situation. Assess each state's advantages and pick the one that best fits your retirement goals. Consider these factors and plan ahead for a comfortable retirement in your chosen location.

Research shows that popular retirement spots such as Arizona and Florida both have favorable tax environments and mild climates but also have a healthy healthcare industry. U.S. News & World Report's 2022-2023 Best Hospitals rankings indicate that both states have good medical facilities. In Arizona, there is the Mayo Clinic in Phoenix, ranked nationally in 13 specialties, and in Florida, there is the Moffitt Cancer Center in Tampa, a cancer treatment center. Quality healthcare may be an important consideration for retirees - providing peace of mind and access to quality medical care as they age. U.S. News & World Report (2022) Best Hospitals in Arizona and Best Hospitals in Florida.

And picking Arizona or Florida for retirement is like picking two flavors of ice cream. The dry heat of a desert is like eating a scoop of pistachio ice cream - different, but for those who like a warm, dry climate. For others, Florida's tropical vibe and ocean breezes are like eating a scoop of coconut ice cream - creamy, soothing, and perfect for coastal charm. Just as ice cream flavors vary in preference, Arizona and Florida offer different advantages in tax benefits, housing options, healthcare quality, and more. So take a scoop of each state's offerings and pick the retirement flavor that suits your palate.

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Sources:

1. The Retirement Group. Arizona vs. Florida: Deciding the Ultimate Retirement Destination for American Family Employees . The Retirement Group, www.theretirementgroup.com/featured-article/5448066/arizona-vs-florida-deciding-the-ultimate-retirement-destination-for-american-family-employees?utm_source=chatgpt.com . Accessed 7 Mar. 2025.

2. Yahoo Finance. 'Florida vs. Arizona: Which Retirement Location Has the Best Value?' Yahoo Finance , finance.yahoo.com/news/florida-vs-arizona-retirement-location-130002281.html?utm_source=chatgpt.com. Accessed 7 Mar. 2025.

3. Planswell. 'Should I Retire in Florida or Arizona?' Planswell , planswell.com/blog/should-i-retire-in-florida-or-arizona/?utm_source=chatgpt.com. Accessed 7 Mar. 2025.

4. Vision Retirement. 'Want to Retire in Arizona? Here's What You Need to Know.' Vision Retirement , www.visionretirement.com/articles/retiring-in-arizona?utm_source=chatgpt.com . Accessed 7 Mar. 2025.

5. VoiceNation. 'Best States for Retirement 2024.' VoiceNation , voicenation.com/best-states-for-retirement/?utm_source=chatgpt.com. Accessed 7 Mar. 2025.

What type of retirement plan does Sysco offer to its employees?

Sysco offers a 401(k) Savings Plan to help employees save for retirement.

Does Sysco provide a matching contribution for its 401(k) plan?

Yes, Sysco provides a matching contribution to the 401(k) plan, which helps employees increase their retirement savings.

At what age can Sysco employees start participating in the 401(k) Savings Plan?

Sysco employees can typically start participating in the 401(k) Savings Plan as soon as they meet the eligibility requirements, usually at age 21.

How can Sysco employees enroll in the 401(k) Savings Plan?

Sysco employees can enroll in the 401(k) Savings Plan through the company’s benefits portal or by contacting the HR department for assistance.

What investment options are available in Sysco's 401(k) Savings Plan?

Sysco's 401(k) Savings Plan offers a variety of investment options, including mutual funds, target-date funds, and company stock.

How much can Sysco employees contribute to their 401(k) plan each year?

Sysco employees can contribute up to the IRS limit for 401(k) contributions, which is adjusted annually.

Does Sysco allow employees to take loans from their 401(k) Savings Plan?

Yes, Sysco allows employees to take loans from their 401(k) Savings Plan under certain conditions.

What happens to a Sysco employee's 401(k) account if they leave the company?

If a Sysco employee leaves the company, they can choose to roll over their 401(k) account to another retirement plan, cash out, or leave it with Sysco.

Can Sysco employees change their contribution percentage to the 401(k) plan?

Yes, Sysco employees can change their contribution percentage to the 401(k) plan at any time, subject to certain guidelines.

Is there a vesting schedule for Sysco's matching contributions to the 401(k) plan?

Yes, Sysco has a vesting schedule for its matching contributions, meaning employees must work for a certain period before they fully own those contributions.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Sysco offers a defined benefit pension plan that was frozen on December 31, 2012. Employees hired before this date continue to accrue vesting service. Benefits are calculated based on 1.5% of eligible career earnings through the freeze date. Additionally, Sysco provides a generous 401(k) plan with automatic and matching contributions. The company automatically contributes 3% of eligible pay to employees' 401(k) accounts, and matches 50 cents for every dollar contributed up to 6% of pay. Employees are automatically enrolled at a 3% contribution rate, with annual increases until reaching 6%.

Layoffs and Restructuring: In 2024, Sysco implemented layoffs across various departments without publicly detailing the reasons. This follows similar restructuring efforts in previous years aimed at improving financial performance amidst economic challenges and rising supply chain costs (Sources: Peek Career, Layoff Insider). Union Strike: In early 2023, union workers at Sysco's Indianapolis distribution hub went on strike, demanding better wages, benefits, and shorter working hours. This labor unrest highlights ongoing challenges in employee relations and operational disruptions (Source: WBOI). Financial Performance: Despite the layoffs, Sysco reported strong financial health in 2024, with initiatives to enhance core business operations, invest in infrastructure like new distribution centers, and expand its electric vehicle fleet (Source: Sysco).

Sysco includes RSUs in its compensation packages, vesting over a specific period and converting into shares. Stock options are also provided, enabling employees to purchase shares at a predetermined price.

Sysco has made several significant updates to its healthcare benefits over the past few years, reflecting the company's commitment to supporting employee well-being amidst rising healthcare costs. For 2023, Sysco maintained stable premiums for medical, dental, and vision plans for non-union employees despite the general trend of increasing healthcare costs. Additionally, Sysco expanded its benefits to include domestic partner coverage across all Health & Welfare plans, such as medical, dental, vision, life insurance, and critical illness coverage. These changes highlight Sysco's efforts to adapt to the evolving needs of its workforce and ensure comprehensive coverage for employees and their families. In 2024, Sysco introduced several enhancements, including increased contribution limits for Health Savings Accounts (HSAs) and Flexible Spending Accounts (FSAs). The HSA limit for individual coverage rose to $4,150, while family coverage increased to $8,300, with catch-up contributions allowed for those 55 and older. The FSA limit also saw an increase, allowing employees to save up to $3,200. Sysco continues to offer various wellness programs, such as Headspace for mental health and Bloom for pelvic health, reflecting a holistic approach to employee well-being. These updates are particularly crucial in the current economic, investment, tax, and political environment, where healthcare costs and access are major concerns for employees.

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For more information you can reach the plan administrator for Sysco at 1390 enclave pkwy Houston, TX 77077; or by calling them at 1-281-584-1390.

https://www.sysco.com/documents/pension-plan-2022.pdf - Page 5, https://www.sysco.com/documents/pension-plan-2023.pdf - Page 12, https://www.sysco.com/documents/pension-plan-2024.pdf - Page 15, https://www.sysco.com/documents/401k-plan-2022.pdf - Page 8, https://www.sysco.com/documents/401k-plan-2023.pdf - Page 22, https://www.sysco.com/documents/401k-plan-2024.pdf - Page 28, https://www.sysco.com/documents/rsu-plan-2022.pdf - Page 20, https://www.sysco.com/documents/rsu-plan-2023.pdf - Page 14, https://www.sysco.com/documents/rsu-plan-2024.pdf - Page 17, https://www.sysco.com/documents/healthcare-plan-2022.pdf - Page 23