When retirement draws near, it’s time to decide where you’ll call home during your golden years. For many retirees, heading to a new state is the best option for achieving their preferred lifestyle. If you are considering heading to Nevada, here is everything you need to know to make sure you can retire well in Nevada.
Cost of Living
When you’re trying to choose a state for your retirement, taking a close look at its cost of living scores is wise. It lets you estimate an area’s affordability in comparison to the national average (which is always 100) and other states.
Overall, Nevada has a cost of living score of 108.8, making it a bit more expensive than the national average. While the Silver State does offer some savings in the utilities arena, giving it a category score of 91.8, every other category score crosses the 100 mark. Groceries come in at 108.3, while transportation and healthcare are 118.2 and 104.0, respectively.
When it comes to housing, Nevada has a score of 118.0. This is mirrored by the average home value. While the national average is $272,446, the Silver State comes in at $338,426, a $65,980 difference.
Tax Considerations
Looking at what you’d have to pay in taxes is also a good idea before you choose a destination for retirement. That way, you can determine how much cash you’ll have to send to cover your taxes, allowing you to estimate how long your savings may last.
In Nevada, there isn’t any income tax. That means you won’t owe anything extra on your Social Security, retirement plan withdrawals, or income from working part-time.
However, the Silver State does have a sales tax. The rates vary a bit between different municipalities, though they typically come in somewhere between 6.85 and 8.375 percent.
Overall, property taxes in Nevada tend to be fairly low. There aren’t senior-specific programs that can reduce property taxes, though there are other exemptions that may help.
Part-Time Job Opportunities
At times, unemployment rates can help you determine the availability of part-time jobs in an area. High unemployment is usually problematic, as there are more people competing for positions, while low unemployment means easier access to jobs, in most cases.
It is important to note that COVID-19 has altered the employment landscape in many areas. Pre-COVID, Nevada had an unemployment rate of 3.7 percent. At the height of the pandemic, it skyrocketed to 29.5 percent, largely due to the economic impact of significantly declining tourism.
Unemployment rates have since recovered a bit, coming back down to 8.1 percent. However, it could still take months or years to reach pre-pandemic levels, depending on how quickly tourism comes back into the equation.
Generally, seniors should expect that finding certain kinds of part-time jobs may be harder in Nevada, at least for a while. However, as time passes, that likely won’t continue to be the case.
Best Cities for Retirees in Nevada
If you’re thinking about retiring in the Silver State, selecting the right city is a must. That way, you can have your preferred lifestyle, making your golden years more enjoyable.
For cost-conscious retirees, Gardnerville might be a great choice. It has a lower tax burden, a plethora of retirement communities, and plenty of amenities.
If you’re hoping for a waterfront retirement, Laughlin is a great choice. It’s right near the Colorado River and next to the California border. It’s a popular town for seniors, so you won’t feel alone here. Plus, there is a reasonable selection of amenities and entertainment opportunities.
For active seniors, Mesquite could be an excellent option. There are golf courses and casinos, as well as plenty of opportunities for outdoor recreation.
If you’d like to be near Las Vegas, try Boulder City. It’s a short drive to Sin City from there. Plus, there are enough amenities to keep you comfortable without having to leave town.
How Much Money You Need to Retire Well in Nevada
With a slightly higher cost of living, it does take a bit more cash to retire well in Nevada. Usually, if you can get access to about $68,968 a year, you should be in decent shape. Covering your needs shouldn’t be an issue, and you’ll be able to pay for some wants, too, ensuring your retirement is comfortable and enjoyable.
Can you think of any other tips or details that might help seniors retire well in Nevada? Share your thoughts in the comments below.
Read More:
- How to Retire Well in Montana
- Ready for Retirement? Here’s How to Retire Well in Washington
- How to Retire Well in South Dakota
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Tamila McDonald is a U.S. Army veteran with 20 years of service, including five years as a military financial advisor. After retiring from the Army, she spent eight years as an AFCPE-certified personal financial advisor for wounded warriors and their families. Now she writes about personal finance and benefits programs for numerous financial websites.
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