Discover Why This Charming New Jersey Town Became the Ultimate Retirement Destination!

As reported by The Motley Fool, the average retirement savings for individuals in the U.S. stands at $87,000. Merely 9 percent of those approaching or recently retiring indicated having $1 million in their retirement funds, according to a survey by the Pew Research Center. Thus, possessing three commas in your retirement account places you significantly above average when considering retirement in America. Furthermore, if your account boasts $2 million, congratulate yourself for your lifetime of savings, and then explore all the prime locations for retirees with $2 million in savings.

In September, GoBankingRates.com disclosed its rankings of the ideal locations for retirement for those with $2 million in their retirement savings — and Fort Lee, New Jersey, topped the list.

The borough, positioned on the border of Bergen County along the Hudson River, achieved a rating of 88 out of 100 on the livability index and has a monthly living cost of $7,505. Moreover, 25 percent of the population in the city is aged 65 and above, making it an excellent environment to socialize with fellow retirees, while the total yearly living expenses with Social Security benefits amount to $67,642, and the 15-year living costs with Social Security benefits equal $1,014,632, affording you ample spending potential with your $2 million savings.

GoBankingRates.com established its rankings by initially pinpointing “retirement hotspots” by identifying cities with a populace of no less than 20,000. Following that, it selected the top 100 cities with the highest ratio of residents aged 65 and older. For these cities, it incorporated factors such as the overall population, those aged 65 and older, total households, and household median income, drawing from sources like the U.S. Census American Community Survey, the Zillow Home Value Index, Federal Reserve Economic Data, Sperling’s BestPlaces, and insights from the Bureau of Labor Statistics Consumer Expenditure Survey.

The total cost of living was then calculated based on the assumption that an individual retires at 65 and lives until 80, utilizing the Social Security Administration data to ascertain the average Social Security benefits, and calculated the living costs for each of those 15 years. Any cities with a 15-year living cost exceeding $2 million were excluded, and the remaining cities were sorted to highlight those with the highest livability scores, representing “the best retirement cities to reside in with $2 million in savings.”

Other prominent locations following Fort Lee include Rocky River, Ohio, which claimed the second spot and also received a livability score of 88 out of 100, and Sunny Isles Beach, Florida, in third place, with a score of 85 out of 100.

Explore all retirement locations if you fall within this financial category at gobankingrates.com.