The Least Favorable U.S. States for Retirees from [Company Name]: What You Need to Know

Healthcare Provider Update: Healthcare Provider for Amgen Amgen provides healthcare coverage primarily through various employer-sponsored plans that include offerings from national insurers. These plans are designed to support employees and their families, ensuring access to necessary medical services and medications. Potential Healthcare Cost Increases in 2026 In 2026, Amgen employees and retirees may face a significant surge in healthcare costs due to anticipated rate hikes in the Affordable Care Act (ACA) marketplace. Several states are expecting premium increases of over 60%, largely driven by the expiration of enhanced federal subsidies. As these subsidies fade, combined with rising medical expenses and aggressive pricing from insurers, many individuals could see their out-of-pocket premiums rise by more than 75%. This perfect storm of factors poses a considerable financial challenge for those relying on ACA coverage, necessitating careful planning and consideration of available options. Click here to learn more

Choosing the ideal place to retire is a critical decision that impacts both financial stability and quality of life. While smaller states are often seen as ideal retirement destinations, Alaska has been ranked the least favorable region for the third consecutive year in  Bankrate's 2024 study  of the best U.S. states for retirement.

To determine the most and least favorable states for retirement, Bankrate employed a comprehensive method that included multiple data sources such as the Council for Community and Economic Research, the U.S. Census Bureau, the Tax Foundation, and the National Oceanic and Atmospheric Administration. The study evaluates each state across five key dimensions with weights assigned that reflect their importance to future retirees: affordability (40%), overall well-being (25%), health quality and costs (20%), weather (10%), and crime (5%).

In terms of affordability, Alaska poses significant challenges, especially for those on fixed incomes like many retirees from Amgen. The cost of living in Alaska is about 30% higher than the national average, according to RentCafe. Specifically, housing expenses exceed the national average by 17%, while energy and healthcare costs are nearly twice as high. Despite these expenses, Alaska offers some financial benefits due to the absence of state income tax, inheritance tax, and it does not tax pensions or Social Security retirement benefits.

However, the country's weather conditions negatively impact its ranking. Summers can be mild with temperatures ranging from 45 to 75 degrees Fahrenheit, while winters are harsh, with temperatures dropping to as low as -10 degrees Fahrenheit. These extreme conditions can be a barrier for those seeking a comfortable and accessible living environment in their later years, including former Amgen employees looking for a peaceful retirement.

Crime rates also play a role in the evaluation, with Alaska considering its rate of property and violent crimes per 100,000 residents. Safety is a paramount concern for retirees, making states with lower crime rates more attractive for those transitioning from careers at Amgen to retirement.

The study highlights not only the least favorable states but also underscores the importance of considering multiple factors beyond just costs when selecting a retirement location. It is crucial to have strong social and community engagement opportunities. Kerry Hannon, a retirement specialist mentioned in the study, emphasizes the importance of community and human connections for healthy aging, advising against isolation and loneliness.

For those facing complex decisions related to retirement planning, tools such as CNBC Make It's  retirement calculator  are indispensable. This tool helps assess the savings needed for retirement based on current age, savings, income, and desired retirement age. It is essential to consider both financial and non-financial aspects when planning for retirement, to ensure a balanced approach that promotes both financial security and a fulfilling life post-career, particularly for Amgen professionals.

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Individuals seeking more information on financial planning and retirement strategies could benefit from resources like CNBC's online course titled 'Achieve Financial Wellness: Be Happier, Wealthier & More Financially Secure.' This course offers tips on managing financial stress, establishing good habits, and optimizing savings and investments to ensure future stability. An introductory discount is available, offering early access benefits until September 2, 2024.

In summary, although Alaska may offer some tax advantages, its high cost of living, challenging weather conditions, and security concerns make it less attractive for retirees. This analysis highlights the importance of a comprehensive approach to selecting a local retirement location, balancing economic factors with lifestyle preferences and community characteristics.

Despite the drawbacks highlighted in states like Alaska, an often-overlooked aspect is the opportunity to enjoy natural beauty and serenity, which can significantly enhance psychological well-being—an essential element for retirees. A  2021 study  by the American Psychological Association noted that natural environments are associated with lower levels of stress hormones, making it an appealing reason for retirees to consider the beauty of their retirement destination alongside other practical aspects.