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Navigating Retirement: A Guide for State Street Employees

'State Street employees should carefully evaluate how state-to-state cost differences can reshape their retirement goals, as geographic decisions play a major role in long-term planning,' – Patrick Ray, a representative of The Retirement Group, a division of Wealth Enhancement Group.

'State Street employees can benefit from comparing state and international living costs to align their retirement plans with locations that support their long-term financial goals,' – Michael Corgiat, a representative of The Retirement Group, a division of Wealth Enhancement Group.

In this article, we will discuss:

The financial requirements for a comfortable retirement across different U.S. states— How location impacts the savings needed for retirement.
Affordable and expensive retirement destinations— A comparison of high-cost states like Hawaii versus budget-friendly states such as Arkansas.
Alternative retirement options, including international living— Exploring cost-effective retirement choices abroad.

Many State Street employees will retire after decades of service and careful financial planning. What is needed to retire comfortably varies greatly state by state, and some places require much larger reserves.

What Does Your Retirement Need?

GoBankingRates recently researched the amount needed to retire comfortably and found it to be fairly conservative. It uses data from the Federal Reserve Economic Data, the Zillow Home Value Index and the Social Security Administration.

The report examines savings needed for each age bracket assuming retirement at 65 and age 85. That assumes average Social Security payments of around USD 1,876 per month per person, which accounts for the required 20-year savings.

Cost Variations by State

For State Street workers in New Jersey, Colorado and Maryland, more than USD 1 million may be needed to live comfortably after retirement. The most expensive state is Hawaii, which requires more than USD 3 million in estimated savings to cover retirement costs including Social Security benefits.

Conversely, states like Arkansas and Mississippi have more modest retirement scenarios with estimated savings needs of less than USD 500,000. Such areas might attract retirees who want affordability with a desirable lifestyle.

Considering International Retirement?

Those open to living abroad find Mexico and Portugal an economical but fulfilling retirement option. Lower living costs, tax incentives and structured residency programs may all help with financial security in retirement.

Choosing the Right Location

State Street professionals need to consider geographic options and how they affect long-term financial security. For more on state-specific retirement affordability, visit GoBankingRates (link).

It also names top U.S. cities for retirement - Naples, Florida, or Sun City, Arizona. There is affordability, quality healthcare and a strong community life in these locations - factors that are becoming more important for retirement planning.

Final Thoughts

State Street workers may want to read the latest GoBankingRates findings about what retirement savings are needed. This analysis details financial considerations for a secure retirement - whether in West Virginia or Hawaii - a high-cost financial destination.

Planning for retirement is preparing for an extended voyage. As sailors map their routes and anticipate changes in the sea, so must retirees navigate financial landscapes to create a structured retirement plan. All states have their advantages and disadvantages, like the conditions that mariners face.

Articles you may find interesting:

Source:

1. Kiplinger Staff. The Minimum Savings You Need To Retire in All 50 States . Kiplinger, Nov. 2024, www.kiplinger.com/retirement/social-security/minimum-savings-to-retire-by-state . Accessed 15 Apr. 2025.

2. International Living Staff. Best Places to Retire in 2025: The Annual Global Retirement Index . International Living, 28 Nov. 2024, internationalliving.com/the-best-places-to-retire/. Accessed 15 Apr. 2025.

3. AARP Staff. “9 Great Affordable Places to Retire Abroad.” AARP , Feb. 2025, www.aarp.org/retirement/planning-for-retirement/info-2025/places-to-retire-abroad-cheap.html . Accessed 15 Apr. 2025.

4. Csiszar, John. “15 Most Affordable Places To Retire Abroad.” Nasdaq , 25 Aug. 2024, www.nasdaq.com/articles/15-most-affordable-places-retire-abroad . Accessed 15 Apr. 2025.

4. Investopedia Staff. Retirement Living Costs: These 6 States Will Drain Your Savings the Fastest . Investopedia, Nov. 2024, www.investopedia.com/most-expensive-states-to-retire-8729918 . Accessed 15 Apr. 2025.

What is the 401(k) plan offered by State Street?

The 401(k) plan at State Street is a retirement savings plan that allows employees to save a portion of their salary before taxes are deducted.

How can I enroll in State Street's 401(k) plan?

Employees can enroll in State Street's 401(k) plan by accessing the enrollment portal through the company’s HR website or by contacting the HR department for assistance.

What is the company match for State Street's 401(k) plan?

State Street offers a company match for contributions made to the 401(k) plan, typically matching a percentage of employee contributions up to a certain limit.

Are there any eligibility requirements for State Street's 401(k) plan?

Yes, employees must meet specific eligibility criteria, such as length of service and employment status, to participate in State Street's 401(k) plan.

What investment options are available in State Street's 401(k) plan?

State Street's 401(k) plan offers a range of investment options, including mutual funds, target-date funds, and other investment vehicles tailored to different risk tolerances.

Can I change my contribution rate to State Street's 401(k) plan?

Yes, employees can change their contribution rates to State Street's 401(k) plan at any time, subject to the plan's guidelines.

How often can I change my investment choices in State Street's 401(k) plan?

Employees can typically change their investment choices in State Street's 401(k) plan on a regular basis, often quarterly or as specified in the plan documents.

What happens to my 401(k) plan if I leave State Street?

If you leave State Street, you can choose to roll over your 401(k) balance to another retirement account, leave it in the State Street plan, or cash it out, subject to tax implications.

Does State Street offer financial education regarding the 401(k) plan?

Yes, State Street provides resources and educational sessions to help employees understand their 401(k) plan options and make informed investment decisions.

What is the vesting schedule for State Street's 401(k) plan?

The vesting schedule for State Street's 401(k) plan determines how long you must work at the company to fully own the employer contributions, which may vary based on tenure.