The Most Important Retirement Paper You Will Ever Read(Part 2)

In the last episode we talked about how retirees today are wealthier and healthier but unfortunately those significant improvements is leading to bad behavior.   Retirees are watching HUGE amounts more TV than ever. And because TV is so sensationalized, read "if it bleeds it leads", many retirees are being affected by their news consumption. They are not as happy, and are more worried about things out of their control AND which will not ever affect them.  It's sad actually.  The liklihood of you being shot in the streets is so remote it's not even worth discussing.  The same goes for being the victim of a terrorist attack.   Could these things happen? Of course, but to focus your energy on these most unlikely events is energy lost.  Don't do it! In this episode, though, I focus on the amazing aspect of where people actually retire.  One would think most retirees are moving to warmer states with low crime and low taxes right?   Actually, that is not true. In fact, only 1% of retirees actually move INTER-state.  If retirees move at all, it's within the same county! Absolutely amazing when you think about it.   In fact, this goes even further to confirm this video I did about people being happier if they have a strong sense of community. https://www.youtube.com/watch?v=VVoDBGeAV2A&t=136s Where are you going to have the strongest sense of community? Well, the community you're in, now.  Thus if you have roots laid down, you're probably going to stay right where you are...taxes, weather, crime rates, are secondary considerations.  We've been told there is this mass exodus from cold, high tax states. The numbers simply don't bear that out.  New York and PA are in the top 5 of ALL states with retirees as a percentage of their population.  Texas, Florida and CA are the other states in the top 5.  Now, one might ask, maybe people moved BEFORE they retired and are going to settle in where they moved? Well, only 2% of US households even move INTER state each year!  Incredible isn't it.  Lastly, this paper confirms what many of us financial planners have been stressing for years; you are likely to spend LESS in retirement than you've been trained to believe.  In fact, this paper says you'll probably spend 2% less EACH year. Again, incredible. And goes against all conventional wisdom when it comes to retirement planning.  https://unitedincome.com/documents/papers/UnitedIncomeStateOfRetirees.pdf