Yahoo Finance Retirement in San Antonio: 4 Reasons It Costs You Less Than $50,000 a Year
If your retirement location is flexible but your retirement funds are not, you may want to consider moving to a place where you can stretch your budget further. Texas has a large list of options, but one of the better cities for your buck is San Antonio. You can retire here for less than $50,000 a year.
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To get to the bottom of where you can retire for less than $50,000 a year, GOBankingRates recently conducted a study evaluating the cost of living for retirees in many major metropolitan areas. Though Texas is home to some big cities, that doesn’t mean they come with big price tags. San Antonio offers plenty of opportunities for retirees to live comfortably within their budgets. Here are some key takeaways:
Total population: 1,445,662
Population of people aged 65 and up: 185,125
Average home value: $262,090
Average monthly mortgage payments: $1,572
Average monthly costs of expenditures: $1,790
Average monthly needed after Social Security: $1,498
San Antonio is emerging as a prime retirement spot, offering a unique blend of vibrant culture, rich history, modern amenities and small-town hospitality. From the cost of living to seeing how far your Social Security benefits will go, here are four reasons it’s entirely possible to enjoy a fulfilling retirement for less than $50,000 a year in Alamo City.
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Realistically Priced Real Estate
San Antonio’s housing market is one of the most affordable among large U.S. cities. The average home value is $262,090 which is lower than the national average, making it easier for retirees to purchase a home without depleting their savings.
GOBankingRates estimates the average mortgage payment to be just over $1,500. Additionally, property taxes in Texas are relatively moderate, and homestead exemptions are available for seniors, further reducing housing costs.
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Lower Cost of Living
San Antonio boasts a lower cost of living compared to many other metropolitan areas. Groceries, utilities and transportation costs are all below the national average, allowing retirees to stretch their dollars further. The total estimated annual cost of living after Social Security is factored in is around $17,979.
Dining out and entertainment are also reasonably priced, ensuring that you can enjoy the city’s rich culinary scene and cultural offerings without breaking the bank. Many businesses and services in San Antonio offer discounts and benefits specifically for seniors. From reduced rates on public transportation to discounts at local attractions and restaurants, these perks can add up to substantial savings over time.
No State Income Tax
Texas is one of the few states that does not levy a state income tax, which can be a significant financial advantage for retirees. Without state income tax, your retirement income — whether it’s from Social Security, pensions or withdrawals from retirement accounts — goes further. This could be one of the biggest reasons 12.8% of the San Antonio population is over the age of 65.
Abundant Retirement Community and Support Services
San Antonio offers a plethora of low-cost or free recreational activities. From the scenic River Walk and historic missions to numerous parks and cultural festivals, there’s always something to do that doesn’t require spending a lot of money. The mild climate also means that outdoor activities are enjoyable year round, further enhancing your retirement experience without added expenses, which are estimated to be about $1,790 a month.
San Antonio is also known for its friendly and welcoming community. The city’s diverse population and warm hospitality create an environment where retirees can easily make new friends and feel at home. This sense of community is invaluable and enhances the overall quality of life, making San Antonio a desirable and affordable retirement destination.
Final Take
The bottom line is that San Antonio offers retirees the perfect blend of affordability, amenities, and quality of life. With its low cost of living, tax advantages, accessible healthcare, and vibrant cultural scene, it’s entirely possible to enjoy a comfortable retirement here for less than $50,000 a year. If you’re looking for a place to retire that offers both financial benefits and a high standard of living, San Antonio should be at the top of your list.
Methodology: GOBankingRates analyzed major cities to find the places where you can afford to retire on less than $50,000 a year. First GOBankingRates found the most populated cities as sourced from the US Census American Community Survey. For each city, a number of factors were found, including the total population, the population aged 65 and over (both sourced from the US Census American Community Survey), the average home value from April 2024 as sourced from Zillow Home Value Index, the average Social Security benefits as sourced from the Social Security Administration, the cost-of-living indexes as sourced from Sperling’s BestPlaces, and the livability index as sourced from AreaVibes. All cities with a livability of 75 or below were removed from this study as they represent cities with a low quality of life. The average national expenditure costs for residents aged 65 and over were sourced from the Bureau of Labor Statistics Consumer Expenditure Survey and used to calculate the average expenditure cost for each city. The average home value was used, and by assuming a 10% down payment and using the national 30-year fixed mortgage rate, as sourced from the Federal Reserve Economic Data, the average mortgage costs were calculated. The mortgage and expenditures were used to find the total cost of living for each city. Assuming a retired resident received Social Security benefits, the total cost of living after Social Security benefits was calculated. The cities with an annual cost of living above $50,000 were removed for this study. The top 100 cities by population and the remaining cities were sorted by their total cost of living. All data was collected on and is up to date as of May 17, 2024.
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This article originally appeared on GOBankingRates.com: Retirement in San Antonio: 4 Reasons It Costs You Less Than $50,000 a Year
