CareScout Finds $109,000 Retirement Gap for 65-Year-Olds in 41 States
Updated
Updated · USA TODAY · Jun 26
CareScout Finds $109,000 Retirement Gap for 65-Year-Olds in 41 States
1 articles · Updated · USA TODAY · Jun 26
Summary
A new CareScout report says the average American at age 65 faces a $109,000 retirement shortfall, with retirees at risk of outliving savings in 41 states.
Longer life spans and rising living costs drive the gap, as projected retirement income from Social Security, savings and other sources falls short of expected lifetime expenses.
New York shows the biggest projected deficit at $471,000, followed by Washington, D.C. at $432,000 and California at $395,000; Alaska and New Mexico also rank among the highest-risk places.
Only nine states show projected surpluses, led by Washington at $276,000, New Hampshire at $240,000 and Colorado at $188,000, reflecting stronger retirement income or more manageable costs.
CareScout said the findings highlight weak retirement planning and pointed to delaying Social Security claims, saving aggressively and planning for longer retirements as key ways to reduce the risk.
As Social Security cuts loom, how can Americans close a $109,000 retirement gap when their main safety net is also shrinking?
When the median 401(k) is less than a new car, is the $1.46 million retirement target a fantasy for most Americans?
The $100,000+ Retirement Gap: CareScout’s 2026 Report Reveals America’s Looming Long-Term Care Crisis
Overview
CareScout’s annual Cost of Care Survey highlights the growing challenge Americans face as the population ages and people live longer. With 10,000 Baby Boomers turning 65 each day until 2030 and 7 out of 10 expected to need long-term care, understanding these rising costs is more important than ever. Many families are already feeling financial strain from increasing prices, and long-term care expenses add a significant burden that can quickly erode retirement savings. The report emphasizes the urgent need for early planning and informed decisions to help Americans prepare for the high costs of care in retirement.