How Much Savings Do You Need to Retire in 2026?

Since its development in the 1990s, the 4% rule has become one of the most commonly cited rules of thumb in retirement planning. Using historical data, financial planner William Bengen found that a portfolio could sustain an initial annual withdrawal of 4%, followed by inflation-adjusted withdrawals, for at least 30 years without being depleted.

While Bengen’s later research supports a 4.7% initial withdrawal rate, how much the average retiree needs to save still depends heavily on where they live. Housing costs, everyday expenses and local prices vary substantially from place to place. As a result, retirees in lower-cost areas may need less in savings to support their lifestyle, while those in more expensive places may need considerably more.

Using a 4.7% initial withdrawal rate, SmartAsset calculated the retirement savings needed to cover essential expenses for an average retiree in 55 of the nation’s largest counties. We also calculated the savings needed to cover both essential expenses and typical discretionary spending. Expenses listed are for a single person who retires in their county of residence in 2026. Two-person households will incur greater expenses and may require proportionally greater retirement savings.

Key Findings

In none of the 55 counties studied can a renter afford to live on Social Security benefits alone. Even with Social Security benefits, non-homeowners must have some retirement savings in all 55 counties examined just for subsistence living, assuming no discretionary spending.
New York City and Northern California are the most expensive regions for retirees who rent. Without Social Security benefits, Santa Clara and San Francisco counties require the most retirement savings for renters, at $1.30 million and $1.23 million, respectively. After accounting for Social Security benefits, Brooklyn and Queens rank No. 1 and No. 2, requiring $736,897 and $719,612, respectively.
The Raleigh and Phoenix areas are the most affordable places for retired homeowners. With Social Security benefits, homeowners with no mortgage in Wake County, North Carolina (Raleigh), need $59,908 in retirement savings to cover essential and normal discretionary expenses. Maricopa County, Arizona (Phoenix), follows at $73,004.
The Tulsa area is the most affordable location studied for retired renters. With Social Security benefits, a renter in Tulsa County, Oklahoma, needs $176,389 in savings to cover essential expenses and typical discretionary spending.
Without Social Security benefits, a single renter needs more than $1 million in retirement savings in 17 of the 55 counties studied. This estimate assumes rent for a one-bedroom apartment along with essential expenses and modest discretionary spending.
In 16 counties, a frugal retiree could theoretically cover essential expenses without retirement savings. This scenario assumes mortgage-free homeownership, average Social Security benefits and no discretionary spending.

Frequently Asked Questions

Where is the most expensive place in the United States to retire?

Among the 55 counties studied, Kings County, New York, which includes Brooklyn, is the most expensive for a single renter after accounting for average Social Security benefits. A renter would need an estimated $736,897 in savings to cover essential and normal discretionary expenses. A homeowner with no mortgage would need $389,408. Two-person households may face higher expenses and require additional retirement savings.

If Social Security is eliminated, how much savings will be needed to live in retirement?

Without Social Security benefits, a single renter in Santa Clara County, California, would need an estimated $1.30 million in savings to cover essential and normal discretionary expenses in retirement. In Kanawha County, West Virginia, one of the least expensive places studied, the corresponding requirement is $722,073. Entering retirement as a homeowner with no mortgage or reducing discretionary spending can substantially reduce the amount required.

What is the most affordable place in the United States to retire in?

Among the 55 counties studied, Wake County, North Carolina, has the lowest retirement-savings requirement for a mortgage-free homeowner after accounting for average Social Security benefits. An estimated $59,908 in savings would be needed to cover essential and normal discretionary expenses.

Is it possible to live only on Social Security in retirement?

In 16 of the 55 counties studied, a mortgage-free homeowner receiving average Social Security benefits could theoretically cover essential expenses without retirement savings. This scenario assumes no discretionary spending.

Should I use the 4% rule for retirement?

Retirement experts often refer to the 4% rule as a starting point, rather than a hard and fast rule. Spending levels in retirement often change throughout retirement and may require a more flexible and dynamic approach. This guideline offers an initial estimate of how much a retiree could withdraw annually, but further personalization may be needed.

How can a retiree whose necessary annual expenses exceed their Social Security and investment income afford to live?

Retirees whose necessary annual expenses exceed their Social Security and investment income may need to work part-time or rely on familial support. Low-income retirees may also be able to reduce their food expenses through social services such as the Supplemental Nutrition Assistance Program (SNAP), Meals on Wheels and food pantries; housing and utilities outlays through the Housing Choice Voucher Program and Low Income Home Energy Assistance Program; and transportation costs through free and subsidized public transit offered by some local governments to senior citizens. Some programs have long waiting lists or limited geographic coverage.

Annual Expenses and Income by Location

Alameda County, California
· Minimum essential retirement expenses (homeowner): $28,296
· Minimum essential and discretionary expenses (homeowner): $35,556
· Minimum essential retirement expenses (renter): $44,124
· Minimum essential and discretionary expenses (renter): $51,384
· Average Social Security benefits: $26,503

Allegheny County, Pennsylvania
· Minimum essential retirement expenses (homeowner): $24,864
· Minimum essential and discretionary expenses (homeowner): $31,265
· Minimum essential retirement expenses (renter): $29,796
· Minimum essential and discretionary expenses (renter): $36,197
· Average Social Security benefits: $26,481

Bergen County, New Jersey
· Minimum essential retirement expenses (homeowner): $35,664
· Minimum essential and discretionary expenses (homeowner): $42,799
· Minimum essential retirement expenses (renter): $40,296
· Minimum essential and discretionary expenses (renter): $47,431
· Average Social Security benefits: $28,606

Bexar County, Texas
· Minimum essential retirement expenses (homeowner): $23,856
· Minimum essential and discretionary expenses (homeowner): $30,224
· Minimum essential retirement expenses (renter): $31,488
· Minimum essential and discretionary expenses (renter): $37,856
· Average Social Security benefits: $22,878

Broward County, Florida
· Minimum essential retirement expenses (homeowner): $25,392
· Minimum essential and discretionary expenses (homeowner): $32,173
· Minimum essential retirement expenses (renter): $39,120
· Minimum essential and discretionary expenses (renter): $45,901
· Average Social Security benefits: $23,425

Clark County, Nevada
· Minimum essential retirement expenses (homeowner): $22,236
· Minimum essential and discretionary expenses (homeowner): $28,794
· Minimum essential retirement expenses (renter): $33,288
· Minimum essential and discretionary expenses (renter): $39,846
· Average Social Security benefits: $24,004

Cook County, Illinois
· Minimum essential retirement expenses (homeowner): $28,344
· Minimum essential and discretionary expenses (homeowner): $34,902
· Minimum essential retirement expenses (renter): $36,144
· Minimum essential and discretionary expenses (renter): $42,702
· Average Social Security benefits: $24,764

Cuyahoga County, Ohio
· Minimum essential retirement expenses (homeowner): $24,552
· Minimum essential and discretionary expenses (homeowner): $30,638
· Minimum essential retirement expenses (renter): $28,908
· Minimum essential and discretionary expenses (renter): $34,994
· Average Social Security benefits: $24,455

Dallas County, Texas
· Minimum essential retirement expenses (homeowner): $26,412
· Minimum essential and discretionary expenses (homeowner): $32,780
· Minimum essential retirement expenses (renter): $36,696
· Minimum essential and discretionary expenses (renter): $43,064
· Average Social Security benefits: $24,802

Denver County, Colorado
· Minimum essential retirement expenses (homeowner): $26,220
· Minimum essential and discretionary expenses (homeowner): $32,975
· Minimum essential retirement expenses (renter): $39,228
· Minimum essential and discretionary expenses (renter): $45,983
· Average Social Security benefits: $25,731

DuPage County, Illinois
· Minimum essential retirement expenses (homeowner): $29,808
· Minimum essential and discretionary expenses (homeowner): $36,366
· Minimum essential retirement expenses (renter): $36,396
· Minimum essential and discretionary expenses (renter): $42,954
· Average Social Security benefits: $28,709

El Paso County, Texas
· Minimum essential retirement expenses (homeowner): $22,260
· Minimum essential and discretionary expenses (homeowner): $28,628
· Minimum essential retirement expenses (renter): $28,620
· Minimum essential and discretionary expenses (renter): $34,988
· Average Social Security benefits: $18,429

Erie County, New York
· Minimum essential retirement expenses (homeowner): $25,548
· Minimum essential and discretionary expenses (homeowner): $32,624
· Minimum essential retirement expenses (renter): $29,652
· Minimum essential and discretionary expenses (renter): $36,728
· Average Social Security benefits: $25,670

Fairfax County, Virginia
· Minimum essential retirement expenses (homeowner): $30,828
· Minimum essential and discretionary expenses (homeowner): $37,458
· Minimum essential retirement expenses (renter): $43,284
· Minimum essential and discretionary expenses (renter): $49,914
· Average Social Security benefits: $29,318

Franklin County, Ohio
· Minimum essential retirement expenses (homeowner): $26,436
· Minimum essential and discretionary expenses (homeowner): $32,522
· Minimum essential retirement expenses (renter): $32,124
· Minimum essential and discretionary expenses (renter): $38,210
· Average Social Security benefits: $24,645

Fresno County, California
· Minimum essential retirement expenses (homeowner): $24,348
· Minimum essential and discretionary expenses (homeowner): $31,608
· Minimum essential retirement expenses (renter): $30,912
· Minimum essential and discretionary expenses (renter): $38,172
· Average Social Security benefits: $21,685

Hamilton County, Ohio
· Minimum essential retirement expenses (homeowner): $25,356
· Minimum essential and discretionary expenses (homeowner): $31,442
· Minimum essential retirement expenses (renter): $29,088
· Minimum essential and discretionary expenses (renter): $35,174
· Average Social Security benefits: $25,409

Harris County, Texas
· Minimum essential retirement expenses (homeowner): $25,140
· Minimum essential and discretionary expenses (homeowner): $31,508
· Minimum essential retirement expenses (renter): $32,028
· Minimum essential and discretionary expenses (renter): $38,396
· Average Social Security benefits: $25,138

Hennepin County, Minnesota
· Minimum essential retirement expenses (homeowner): $28,140
· Minimum essential and discretionary expenses (homeowner): $34,606
· Minimum essential retirement expenses (renter): $34,980
· Minimum essential and discretionary expenses (renter): $41,446
· Average Social Security benefits: $29,016

Hinds County, Mississippi
· Minimum essential retirement expenses (homeowner): $22,836
· Minimum essential and discretionary expenses (homeowner): $28,541
· Minimum essential retirement expenses (renter): $29,916
· Minimum essential and discretionary expenses (renter): $35,621
· Average Social Security benefits: $22,303

Honolulu County, Hawaii
· Minimum essential retirement expenses (homeowner): $27,144
· Minimum essential and discretionary expenses (homeowner): $34,358
· Minimum essential retirement expenses (renter): $42,756
· Minimum essential and discretionary expenses (renter): $49,970
· Average Social Security benefits: $25,525

Kanawha County, West Virginia
· Minimum essential retirement expenses (homeowner): $22,848
· Minimum essential and discretionary expenses (homeowner): $28,717
· Minimum essential retirement expenses (renter): $28,068
· Minimum essential and discretionary expenses (renter): $33,937
· Average Social Security benefits: $24,784

King County, Washington
· Minimum essential retirement expenses (homeowner): $30,624
· Minimum essential and discretionary expenses (homeowner): $37,641
· Minimum essential retirement expenses (renter): $45,396
· Minimum essential and discretionary expenses (renter): $52,413
· Average Social Security benefits: $28,535

Kings County, New York
· Minimum essential retirement expenses (homeowner): $32,052
· Minimum essential and discretionary expenses (homeowner): $39,128
· Minimum essential retirement expenses (renter): $48,384
· Minimum essential and discretionary expenses (renter): $55,460
· Average Social Security benefits: $20,826

Los Angeles County, California
· Minimum essential retirement expenses (homeowner): $25,416
· Minimum essential and discretionary expenses (homeowner): $32,676
· Minimum essential retirement expenses (renter): $40,812
· Minimum essential and discretionary expenses (renter): $48,072
· Average Social Security benefits: $23,062

Maricopa County, Arizona
· Minimum essential retirement expenses (homeowner): $23,304
· Minimum essential and discretionary expenses (homeowner): $29,908
· Minimum essential retirement expenses (renter): $36,636
· Minimum essential and discretionary expenses (renter): $43,240
· Average Social Security benefits: $26,477

Marion County, Indiana
· Minimum essential retirement expenses (homeowner): $23,400
· Minimum essential and discretionary expenses (homeowner): $29,519
· Minimum essential retirement expenses (renter): $30,084
· Minimum essential and discretionary expenses (renter): $36,203
· Average Social Security benefits: $25,420

Mecklenburg County, North Carolina
· Minimum essential retirement expenses (homeowner): $23,952
· Minimum essential and discretionary expenses (homeowner): $30,136
· Minimum essential retirement expenses (renter): $36,456
· Minimum essential and discretionary expenses (renter): $42,640
· Average Social Security benefits: $26,502

Miami-Dade County, Florida
· Minimum essential retirement expenses (homeowner): $24,396
· Minimum essential and discretionary expenses (homeowner): $31,177
· Minimum essential retirement expenses (renter): $38,292
· Minimum essential and discretionary expenses (renter): $45,073
· Average Social Security benefits: $19,782

Middlesex County, Massachusetts
· Minimum essential retirement expenses (homeowner): $33,456
· Minimum essential and discretionary expenses (homeowner): $40,381
· Minimum essential retirement expenses (renter): $46,776
· Minimum essential and discretionary expenses (renter): $53,701
· Average Social Security benefits: $28,948

Milwaukee County, Wisconsin
· Minimum essential retirement expenses (homeowner): $26,088
· Minimum essential and discretionary expenses (homeowner): $32,259
· Minimum essential retirement expenses (renter): $30,132
· Minimum essential and discretionary expenses (renter): $36,303
· Average Social Security benefits: $24,971

Montgomery County, Pennsylvania
· Minimum essential retirement expenses (homeowner): $28,104
· Minimum essential and discretionary expenses (homeowner): $34,505
· Minimum essential retirement expenses (renter): $35,448
· Minimum essential and discretionary expenses (renter): $41,849
· Average Social Security benefits: $29,960

Multnomah County, Oregon
· Minimum essential retirement expenses (homeowner): $27,192
· Minimum essential and discretionary expenses (homeowner): $33,973
· Minimum essential retirement expenses (renter): $38,100
· Minimum essential and discretionary expenses (renter): $44,881
· Average Social Security benefits: $25,902

Nassau County, New York
· Minimum essential retirement expenses (homeowner): $38,352
· Minimum essential and discretionary expenses (homeowner): $45,428
· Minimum essential retirement expenses (renter): $46,752
· Minimum essential and discretionary expenses (renter): $53,828
· Average Social Security benefits: $29,163

New York County, New York
· Minimum essential retirement expenses (homeowner): $35,040
· Minimum essential and discretionary expenses (homeowner): $42,116
· Minimum essential retirement expenses (renter): $49,128
· Minimum essential and discretionary expenses (renter): $56,204
· Average Social Security benefits: $26,686

Oakland County, Michigan
· Minimum essential retirement expenses (homeowner): $27,156
· Minimum essential and discretionary expenses (homeowner): $33,465
· Minimum essential retirement expenses (renter): $31,080
· Minimum essential and discretionary expenses (renter): $37,389
· Average Social Security benefits: $28,891

Orange County, California
· Minimum essential retirement expenses (homeowner): $25,704
· Minimum essential and discretionary expenses (homeowner): $32,964
· Minimum essential retirement expenses (renter): $45,276
· Minimum essential and discretionary expenses (renter): $52,536
· Average Social Security benefits: $26,227

Palm Beach County, Florida
· Minimum essential retirement expenses (homeowner): $27,408
· Minimum essential and discretionary expenses (homeowner): $34,189
· Minimum essential retirement expenses (renter): $38,772
· Minimum essential and discretionary expenses (renter): $45,553
· Average Social Security benefits: $27,028

Philadelphia County, Pennsylvania
· Minimum essential retirement expenses (homeowner): $23,700
· Minimum essential and discretionary expenses (homeowner): $30,101
· Minimum essential retirement expenses (renter): $34,572
· Minimum essential and discretionary expenses (renter): $40,973
· Average Social Security benefits: $22,522

Queens County, New York
· Minimum essential retirement expenses (homeowner): $31,632
· Minimum essential and discretionary expenses (homeowner): $38,708
· Minimum essential retirement expenses (renter): $48,336
· Minimum essential and discretionary expenses (renter): $55,412
· Average Social Security benefits: $21,590

Riverside County, California
· Minimum essential retirement expenses (homeowner): $24,720
· Minimum essential and discretionary expenses (homeowner): $31,980
· Minimum essential retirement expenses (renter): $37,992
· Minimum essential and discretionary expenses (renter): $45,252
· Average Social Security benefits: $23,602

Salt Lake County, Utah
· Minimum essential retirement expenses (homeowner): $24,240
· Minimum essential and discretionary expenses (homeowner): $30,726
· Minimum essential retirement expenses (renter): $34,620
· Minimum essential and discretionary expenses (renter): $41,106
· Average Social Security benefits: $26,738

San Bernardino County, California
· Minimum essential retirement expenses (homeowner): $23,604
· Minimum essential and discretionary expenses (homeowner): $30,864
· Minimum essential retirement expenses (renter): $37,812
· Minimum essential and discretionary expenses (renter): $45,072
· Average Social Security benefits: $22,099

San Diego County, California
· Minimum essential retirement expenses (homeowner): $26,400
· Minimum essential and discretionary expenses (homeowner): $33,660
· Minimum essential retirement expenses (renter): $44,352
· Minimum essential and discretionary expenses (renter): $51,612
· Average Social Security benefits: $24,919

San Francisco County, California
· Minimum essential retirement expenses (homeowner): $27,660
· Minimum essential and discretionary expenses (homeowner): $34,920
· Minimum essential retirement expenses (renter): $50,340
· Minimum essential and discretionary expenses (renter): $57,600
· Average Social Security benefits: $24,139

Santa Clara County, California
· Minimum essential retirement expenses (homeowner): $29,568
· Minimum essential and discretionary expenses (homeowner): $36,828
· Minimum essential retirement expenses (renter): $53,712
· Minimum essential and discretionary expenses (renter): $60,972
· Average Social Security benefits: $27,932

St. Louis County, Missouri
· Minimum essential retirement expenses (homeowner): $23,100
· Minimum essential and discretionary expenses (homeowner): $29,055
· Minimum essential retirement expenses (renter): $28,236
· Minimum essential and discretionary expenses (renter): $34,191
· Average Social Security benefits: $22,402

Suffolk County, Massachusetts
· Minimum essential retirement expenses (homeowner): $31,776
· Minimum essential and discretionary expenses (homeowner): $38,701
· Minimum essential retirement expenses (renter): $47,352
· Minimum essential and discretionary expenses (renter): $54,277
· Average Social Security benefits: $23,482

Suffolk County, New York
· Minimum essential retirement expenses (homeowner): $38,292
· Minimum essential and discretionary expenses (homeowner): $45,368
· Minimum essential retirement expenses (renter): $48,108
· Minimum essential and discretionary expenses (renter): $55,184
· Average Social Security benefits: $28,416

Tarrant County, Texas
· Minimum essential retirement expenses (homeowner): $26,712
· Minimum essential and discretionary expenses (homeowner): $33,080
· Minimum essential retirement expenses (renter): $34,932
· Minimum essential and discretionary expenses (renter): $41,300
· Average Social Security benefits: $25,728

Travis County, Texas
· Minimum essential retirement expenses (homeowner): $28,884
· Minimum essential and discretionary expenses (homeowner): $35,252
· Minimum essential retirement expenses (renter): $37,836
· Minimum essential and discretionary expenses (renter): $44,204
· Average Social Security benefits: $27,655

Tulsa County, Oklahoma
· Minimum essential retirement expenses (homeowner): $24,684
· Minimum essential and discretionary expenses (homeowner): $30,442
· Minimum essential retirement expenses (renter): $28,872
· Minimum essential and discretionary expenses (renter): $34,630
· Average Social Security benefits: $26,340

Wake County, North Carolina
· Minimum essential retirement expenses (homeowner): $24,612
· Minimum essential and discretionary expenses (homeowner): $30,796
· Minimum essential retirement expenses (renter): $36,012
· Minimum essential and discretionary expenses (renter): $42,196
· Average Social Security benefits: $27,981

Wayne County, Michigan
· Minimum essential retirement expenses (homeowner): $25,200
· Minimum essential and discretionary expenses (homeowner): $31,509
· Minimum essential retirement expenses (renter): $30,852
· Minimum essential and discretionary expenses (renter): $37,161
· Average Social Security benefits: $25,281

Will County, Illinois
· Minimum essential retirement expenses (homeowner): $28,368
· Minimum essential and discretionary expenses (homeowner): $34,926
· Minimum essential retirement expenses (renter): $36,192
· Minimum essential and discretionary expenses (renter): $42,750
· Average Social Security benefits: $26,682

Methodology

Essential retirement spending was sourced from the University of Massachusetts Boston’s Elder Index for single adults in good health who rent and for single adults in good health who own a home without a mortgage. Essential spending includes housing, healthcare, transportation, food and other basic living expenses; renter housing costs reflect a one-bedroom apartment at the prevailing local market rate. To estimate discretionary spending, SmartAsset used selected categories from the Bureau of Labor Statistics’ 2024 Consumer Expenditure Survey for single people age 65 and older (Table 3600), including entertainment, dining out, gifts and other nonessential expenses, totaling $6,257 annually. This amount was adjusted for inflation through December 2025 using the Consumer Price Index for All Urban Consumers (CPI-U), then adjusted geographically using regional price parities before being added to each county’s essential spending estimate.

Retirement savings requirements were calculated by subtracting applicable annual Social Security income from modeled annual expenses and dividing the remaining annual spending requirement by a 4.7% withdrawal rate. The 4.7% approach assumes subsequent portfolio withdrawals are adjusted for inflation; this calculation does not separately model those annual adjustments. Scenarios with Social Security assume the modeled retiree receives the average annual Old-Age and Survivors Insurance (OASI) benefit per beneficiary in the county, calculated from Social Security Administration data for December 2025 by dividing total monthly benefits paid by the number of beneficiaries and annualizing the resulting average monthly benefit. The analysis covers 55 of the nation’s largest counties by population and is not representative of U.S. counties overall, particularly smaller and rural areas. Results are standardized estimates rather than individualized retirement projections; actual savings needs may vary based on longevity, investment returns, taxes, inflation, healthcare costs, spending patterns, housing circumstances and Social Security benefits. Source data providers are not affiliated with, and do not endorse or sponsor, this study or its findings.