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The Street
The Street
Samanda Dorger

How Long $1 Million in Retirement Savings Will Last in 50 U.S. Cities

How much do you need to retire? One rule is that by age 60, you should have 7-9 times your desired income saved, and by age 65, you should have 8-11 times that income. That means if you want $100,000 a year, you'll need $1 million.

In 2021, workplace retirement plan manager Fidelity Investments reported an all-time high in its number of 401(k)s and IRAs that had a $1 million balance, in about a third of the accounts.

But in the most recent 2019 Survey of Consumer Finances, the median household retirement savings for ages 55-64 is just $134,000, and for ages 65-74 is $164,000. And only about half of all American families even have retirement accounts, according to Federal Reserve data from 2019.

The commonly cited 4% rule -- albeit one that many retirement advisers say is outdated -- says if you have $1 million, you can withdraw 4% every year and not run out of money. That’s $40,000 a year, before taxes, plus hopefully you’re getting Social Security. Is that enough? It depends on many factors, including where you live.

This list takes a look at how long a cool million will last in the 50 most populated U.S. cities. To calculate it, GOBankingRates multiplied the annual expenditures for someone 65 and older by each city’s overall cost of living index. This annual expenditure figure then was reduced by the average annual Social Security benefits a retiree would receive. The final annual expenditure minus the Social Security benefits total was divided it into 1 million to get the years, months and days that $1 million would last in retirement for each city. The data come from the Bureau of Labor Statistics’ 2018 Consumer Expenditure Survey, the Social Security Administration, and Sperling’s Best Places.

Life expectancy in the U.S. was 78.8 years in 2019, according to the CDC. (It dropped to 77 in 2020.) But many retirement advisers recommend planning to live well into your 90s. After all, do you really want to be 95 and suddenly run out of money?

Based on the data from GoBankingRates, here’s how long $1 million will last in 50 U.S. cities. 

The Most Expensive Cities:

San Francisco

  • How long $1 million would last: 8.3 years
  • Cost-of-living Index: 269.3
  • Annual expenditures, after using annual Social Security: $120,355

The cost of living index scores are in relation to a national average of 100. If a place’s COL index is below 100, it’s cheaper than the national average. If it’s over 100, it’s more expensive than the national average, according to Sperlings. So San Francisco costs about 169% more than the national average.

San Jose, Calif.

  • How long $1 million would last: 10.8 years
  • Cost-of-living index: 214.5
  • Annual expenditures, after using annual Social Security: $92,484

New York City

  • How long $1 million would last: 12.7 years
  • Cost-of-living index: 187.2
  • Annual expenditures, after using annual Social Security: $78,599

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Oakland, Calif.

  • How long $1 million would last: 13.8 years
  • Cost-of-living index: 174.4
  • Annual expenditures, after using annual Social Security: $72,089

Los Angeles

  • How long $1 million would last: 13.9 years
  • Cost-of-living index: 173.3
  • Annual expenditures, after using annual Social Security: $71,530

Seattle

  • How long $1 million would last: 14.0 years
  • Cost-of-living index: 172.3
  • Annual expenditures, after using annual Social Security: $71,021

Boston

  • How long $1 million would last: 15.1 years
  • Cost-of-living index: 162.4
  • Annual expenditures, after using annual Social Security: $65,986

Jay Yuan / Shutterstock

Long Beach, Calif.

  • How long $1 million would last: 15.3 years
  • Cost-of-living index: 160.4
  • Annual expenditures, after using annual Social Security: $64,969

San Diego

  • How long $1 million would last: 15.4 years
  • Cost-of-living index: 160.1
  • Annual expenditures, after using annual Social Security: $64,816

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Washington, D.C.

  • How long $1 million would last: 16.4 years
  • Cost-of-living index: 152.1
  • Annual expenditures, after using annual Social Security: $60,747

Portland, Ore.

  • How long $1 million would last: 20.0 years
  • Cost-of-living index: 130.8
  • Annual expenditures, after using annual Social Security: $49,914

Denver

  • How long $1 million would last: 20.4 years
  • Cost-of-living index: 128.7
  • Annual expenditures, after using annual Social Security: $48,846

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Miami

  • How long $1 million would last: 21.7 years
  • Cost-of-living index: 123.1
  • Annual expenditures, after using annual Social Security: $45,998

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Austin, Texas

  • How long $1 million would last: 22.7 years
  • Cost-of-living index: 119.3
  • Annual expenditures, after using annual Social Security: $44,065

Sacramento, Calif.

  • How long $1 million would last: 22.9 years
  • Cost-of-living index: 118.2
  • Annual expenditures, after using annual Social Security: $43,506

Las Vegas

  • How long $1 million would last: 24.8 years
  • Cost-of-living index: 111.6
  • Annual expenditures, after using annual Social Security: $40,149

20 Cities Closest to the National Average Cost of Living:

Atlanta

  • How long $1 million would last: 26.3 years
  • Cost-of-living index: 107.5
  • Annual expenditures, after using annual Social Security: $38,064

Photo: Sean Pavone / Shutterstock

Chicago

  • How long $1 million would last: 26.4 years
  • Cost-of-living index: 106.9
  • Annual expenditures, after using annual Social Security: $37,759

Minneapolis

  • How long $1 million would last: 26.6 years
  • Cost-of-living index: 106.5
  • Annual expenditures, after using annual Social Security: $37,555

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Virginia Beach, Va.

  • How long $1 million would last: 26.9 years
  • Cost-of-living index: 105.6
  • Annual expenditures, after using annual Social Security: $37,097

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Colorado Springs, Colo.

  • How long $1 million would last: 27.3 years
  • Cost-of-living index: 104.5
  • Annual expenditures, after using annual Social Security: $36,538

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Mesa, Ariz.

  • How long $1 million would last: 27.4 years
  • Cost-of-living index: 104.2
  • Annual expenditures, after using annual Social Security: $36,385

Phoenix

  • How long $1 million would last: 27.6 years
  • Cost-of-living index: 103.7
  • Annual expenditures, after using annual Social Security: $36,131

Fresno, Calif.

  • How long $1 million would last: 28.1 years
  • Cost-of-living index: 102.6
  • Annual expenditures, after using annual Social Security: $35,572

Raleigh, N.C.

  • How long $1 million would last: 28.2 years
  • Cost-of-living index: 102.3
  • Annual expenditures, after using annual Social Security: $35,419

Dallas

  • How long $1 million would last: 28.4 years
  • Cost-of-living index: 101.6
  • Annual expenditures, after using annual Social Security: $35,063

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Nashville, Tenn.

  • How long $1 million would last: 28.5 years
  • Cost-of-living index: 101.4
  • Annual expenditures, after using annual Social Security: $34,961

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Philadelphia

  • How long $1 million would last: 28.6 years
  • Cost-of-living index: 101.2
  • Annual expenditures, after using annual Social Security: $34,860

CEW / Shutterstock

Arlington, Texas

  • How long $1 million would last: 28.8 years
  • 100.6 (closest to national average of 100)
  • Annual expenditures, after using annual Social Security: $34,554

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Forth Worth, Texas

  • How long $1 million would last: 29.3 years
  • Cost-of-living index: 99.8 (closest to national average of 100)
  • Annual expenditures, after using annual Social Security: $34,148

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Charlotte, N.C.

  • How long $1 million would last: 29.6 years
  • Cost-of-living index: 98.9
  • Annual expenditures, after using annual Social Security: $33,690

Shutterstock

Houston

  • How long $1 million would last: 30.8 years
  • Cost-of-living index: 96.5
  • Annual expenditures, after using annual Social Security: $32,469

Photo: Shutterstock

New Orleans

  • How long $1 million would last: 30.8 years
  • Cost-of-living index: 96.3
  • Annual expenditures, after using annual Social Security: $32,367

Ancha Chiangmai / Shutterstock

Jacksonville, Fla.

  • How long $1 million would last: 32.3 years
  • Cost-of-living index: 93.5
  • Annual expenditures, after using annual Social Security: $30,943

Tucson, Ariz.

  • How long $1 million would last: 33.3 years
  • Cost-of-living index: 91.6
  • Annual expenditures, after using annual Social Security: $29,977

Albuquerque

  • How long $1 million would last: 33.6 years
  • Cost-of-living index: 91.1
  • Annual expenditures, after using annual Social Security: $29,723

Sean Pavone / Shutterstock

13 Cities 10% or More Below the National Average Cost of Living:

Omaha, Neb.

  • How long $1 million would last: 34.3 years
  • Cost-of-living index: 89.8
  • Annual expenditures, after using annual Social Security: $29,062

San Antonio, Texas

  • How long $1 million would last: 34.4 years
  • Cost-of-living index: 89.7
  • Annual expenditures, after using annual Social Security: $29,011

Baltimore

  • How long $1 million would last: 35.3 years
  • Cost-of-living index: 88.2
  • Annual expenditures, after using annual Social Security: $28,248

Louisville, Ky.

  • How long $1 million would last: 35.3 years
  • Cost-of-living index: 88.4
  • Annual expenditures, after using annual Social Security: $28,349

4kclips / Shutterstock

Detroit

  • How long $1 million would last: 35.8 years
  • Cost-of-living index: 87.6
  • Annual expenditures, after using annual Social Security: $27,943

Kansas City, Mo.

  • How long $1 million would last: 36.7 years
  • Cost-of-living index: 86.2
  • Annual expenditures, after using annual Social Security: $27,231

Columbus, Ohio

  • How long $1 million would last: 37.2 years
  • Cost-of-living index: 85.5
  • Annual expenditures, after using annual Social Security: $26,875

aceshot1 / Shutterstock

Oklahoma City

  • How long $1 million would last: 37.3 years
  • Cost-of-living index: 85.4
  • Annual expenditures, after using annual Social Security: $26,824

Milwaukee

  • How long $1 million would last: 37.6 years
  • Cost-of-living index: 84.9
  • Annual expenditures, after using annual Social Security: $26,569

Indianapolis

  • How long $1 million would last: 38.6 years
  • Cost-of-living index: 83.5
  • Annual expenditures, after using annual Social Security: $25,857

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Tulsa, Okla.

  • How long $1 million would last: 38.8 years
  • Cost-of-living index: 83.2
  • Annual expenditures, after using annual Social Security: $25,705

Wichita, Kan.

  • How long $1 million would last: 39.7 years
  • Cost-of-living index: 82.1
  • Annual expenditures, after using annual Social Security: $25,145

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El Paso, Texas

  • How long $1 million would last: 40.3 years
  • Cost-of-living index: 81.4
  • Annual expenditures, after using annual Social Security: $24,789

Memphis, Tenn.

  • How long $1 million would last: 45.3 years
  • Cost-of-living index: 76
  • Annual expenditures, after using annual Social Security: $22,043

See the detailed methodology for this study at GoBankingRates.com.

f11 photo / Shutterstock

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