This article looks at the 15 best places in Massachusetts for a couple to live on only a Social Security. If you wish to skip our detailed analysis on the essential role of Social Security in the lives of retirees, you may go to 5 Best Places in Massachusetts For A Couple To Live On Only Social Security.
Rethinking Retirement: The Essential Role of Social Security
If you haven’t retired yet, you may be underestimating the extent to which you will depend on Social Security once you do. That’s according to findings from the 34th Annual Retirement Confidence Survey (RCS) by the Employee Benefit Research Institute (EBRI), which surveyed 2,521 Americans aged 25 years or older. According to the survey, 88% of workers expect Social Security to be a source of income in retirement. However, twice as many retirees (62%) report that it is a major source of income in retirement than the share of workers (35%) who expect it to be.
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Despite the unavoidable dependency of retirees on Social Security, Americans today are trying their best to save as much as they can for their golden years. One major reason they may be becoming more proactive with their savings is that Social Security funds are expected to deplete in the next decade. Shocking as this may sound for those contributing, retirees will be receiving only 83% of their scheduled benefits after 2033. Moreover, the combined fund for retiree and disability benefits will run dry by 2035, one year later than originally projected.
“This year’s report is a measure of good news for the millions of Americans who depend on Social Security, including the roughly 50% of seniors for whom Social Security is the difference between poverty and living in dignity – any potential benefit reduction event has been pushed off from 2034 to 2035”.
-Martin O’Malley, Commissioner of Social Security.
According to the SSA, the two major factors that improved the projected long-term finances of the program were “upward revision to the level of labor productivity over the projection period” and a “lower assumed long-term disability incidence rate”. According to O’Malley, if Americans continue to work across the country, Social Security will continue paying benefits to retirees.
With that said, even Social Security benefits are not quite enough to help individuals retire comfortably. After all, the program wasn’t designed to completely replace an individual’s income but to supplement it. While many individuals flock to states in order to battle the rising costs of living and manage life on these checks, not every senior has the heart or the resources to move. Massachusetts is one such state, where 18% of the population is aged 65 and older. The state of Massachusetts may not be the best state to live on Social Security alone like Mississippi or Wyoming, but it is certainly home to a senior population who is not moving. Despite being one of the most expensive states to live in, many seniors continue to call it home due to lifelong roots, close ties to family and friends, homeownership, or other personal reasons. For such readers, we have compiled a list of the best places in Massachusetts for a couple to live on only Social Security.
In the face of these challenges that are compelling retirees to manage life in states with higher cost of living, some positive signs are emerging as well. According to a Bank of America Corporation (NYSE:BAC) report, the percentage of plan participants who increased their 401(k) contribution doubled in Q4 2023, whereas year-end 2023 Health Savings Account balances also saw an increase of 11% from the prior year.
“We were encouraged to see more plan participants taking positive actions in their accounts in the fourth quarter. These insights offer signs that people are prioritizing their retirement savings, with more employees increasing their contribution rates and fewer taking hardship distributions”.
– Lorna Sabbia, Head of Retirement and Personal Wealth Solutions at Bank of America.
Bank of America Corporation (NYSE:BAC) is an American multinational investment bank and financial services holding company providing global perspectives, comprehensive solutions, and strategic guidance to clients. Having recently made its way to our list of 20 largest financial services companies in the US, Bank of America serves millions of consumers and small business clients with approximately 3,800 retail financial centers and 15,000 ATMs. The company has a trailing twelve-month revenue of $98.32 billion as of June 30, 2024. The company reported stronger-than-expected Q2 results, earning $13.9 billion in net interest income despite a $300 million decrease from the previous quarter. The bank projects a $600 million increase in net interest income for 2024, even with anticipated interest rate cuts. Investment banking fees surged 29% year-over-year, further boosting profitability. The bank’s stock remains attractive with a positive outlook. Even Jim Cramer thinks “This company is selling very inexpensively and it’s a good one”.
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Methodology
To compile the list of best places in Massachusetts for a couple to live on only a Social Security, we began by identifying the most affordable locations in the state using cost of living indexes. These locations were then evaluated based on key metrics, including median home price, average rent, and overall livability score, to assess their suitability for retirement living. We calculated a total Insider Monkey score for each location and ranked them in ascending order based on this score. The median home prices were sourced from Redfin, rental data was obtained from Zumper, and livability scores were derived from AreaVibes.
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15. Leominster
Insider Monkey Score: 16
IM Cost of Living Index: 112
Average Rent (2-bedroom): $1,803
Median Home Price: $527,000
Livability: 68
Number 15 on our list of best places to live in Massachusetts on only a Social Security check is Leominster, the second-largest city in Worcester County. Boasting a friendly community atmosphere, convenient access to healthcare, and a comparatively affordable cost of living, this city is a good choice for those on fixed incomes. The town center is nicely designed and is buzzing with coffee shops, restaurants, and lots of things to do. Attractions such as Leominster State Forest, the Doyle Community Park and Center, and Monument Square further add to its appeal as a retirement spot.
14. Lenox
Insider Monkey Score: 17
IM Cost of Living Index: 103
Average Rent (2-bedroom): $1,942
Median Home Price: $795,000
Livability: 67
Retirees who are too afraid to cross state lines can choose Lenox as their retirement retreat instead. A town in Berkshire County, Massachusetts, Lenox is a vibrant mix of scenery, arts, and recreation. Resting amidst the majestic Berkshire Mountains, it also offers retirees hiking trails and natural surroundings that contribute to a peaceful yet active lifestyle.
13. New Bedford
Insider Monkey Score: 19
IM Cost of Living Index: 111.9
Average Rent (2-bedroom): $1,792
Median Home Price: $420,000
Livability: 65
Retirees longing for a coastal lifestyle amidst a rich historical backdrop should look no further than New Bedford. Lying in the heart of South Eastern Massachusetts on the shores of Buzzards Bay, New Bedford woos retirees with its distinctive cultural heritage, lively waterfront, and attractions such as the New Bedford Whaling National Historical Park, Buttonwood Park Zoo, and more.
12. Gardner
Insider Monkey Score: 23
IM Cost of Living Index: 114
Average Rent (2-bedroom): $1,949
Median Home Price: $356,000
Livability: 75
The charming community-oriented city of Gardner is another affordable option for retirees living in Massachusetts. Once known as “Chair City” due to its history in furniture manufacturing, Gardner is now rebranding itself as a retirement destination owing to its small-town charm, friendly community, and easy access to amenities.
11. Deerfield
Insider Monkey Score: 24
IM Cost of Living Index: 104.5
Average Rent (2-bedroom): $1,675
Median Home Price: $485,000
Livability: 67
Nestled along the Connecticut River, Deerfield is known for its picturesque landscapes, featuring rolling hills and scenic farmland that capture the area’s natural beauty. Retirees get to enjoy a tranquil retirement period here, enjoying a close-knit community atmosphere, farmers markets, and access to outdoor activities. Living expenses are 4.5% higher than the national average, making it much more affordable than other areas in the state.
10. Fitchburg
Insider Monkey Score: 25
IM Cost of Living Index: 113.3
Average Rent (2-bedroom): $1,666
Median Home Price: $390,000
Livability: 68
Fitchburg lands on the tenth spot on our list of best places in Massachusetts for a couple to live on only Social Security. Situated in Worcester County, this small city is a good place to live or retire owing to its affordable living expenses, access to parks and hiking trails, and proximity to nearby recreational areas. Closely connected to the Nashua River, retirees also have the opportunity to engage in water-based recreation living here.
9. Athol
Insider Monkey Score: 33
IM Cost of Living Index: 104.8
Average Rent (2-bedroom): $1,753
Median Home Price: $330,000
Livability: 72
Another town in Worcester County, living expenses in Athol are 5% higher than the national average, but 12.5% lower than the state average. This makes living in town much more affordable than other areas in the state. Athol is worth pondering over for retirement for its small-town charm, surrounding natural landscapes, and close-knit community.
8. Westfield
Insider Monkey Score: 34
IM Cost of Living Index: 104.1
Average Rent (2-bedroom): $1,756
Median Home Price: $356,000
Livability: 73
Set in Hampden County in the Pioneer Valley of western Massachusetts, Westfield is a good place to retire featuring abundant nature and a strong community spirit that’s hard to ignore. Its location in the foothills of the Berkshire Mountains makes it a great city to retire for an active lifestyle, with retirees enjoying activities year-round.
7. Wilbraham
Insider Monkey Score: 36
IM Cost of Living Index: 101.1
Average Rent (2-bedroom): $1,629
Median Home Price: $475,000
Livability: 72
Next on our list of best places to live in Massachusetts is Wilbraham, a town in Hampden County. From the beautiful Fountain Park with its open green spaces and walking trails to the popular hiking spot Minnechaug Mountain, there’s lots to do to keep busy. This city isn’t short on local amenities either, and retirees get to enjoy a comfortable life here.
6. Easthampton
Insider Monkey Score: 39
IM Cost of Living Index: 106.4
Average Rent (2-bedroom): $1,650
Median Home Price: $395,000
Livability: 83
Part of the Pioneer Valley, Easthampton is one of the most affordable places to retire in the state. Located at the foothills of the Mount Tom Range, the town offers a wealth of hiking trails, nature views, and wildlife. The town also boasts a thriving cultural scene, a vibrant downtown, and a peaceful living environment.
5. Holyoke
Insider Monkey Score: 42
IM Cost of Living Index: 101.1
Average Rent (2-bedroom): $1,447
Median Home Price: $320,000
Livability: 64
Holyoke lies at the base of the Mount Tom Range, blessing it with natural beauty that’s hard to ignore. Its affordability as a retirement destination is certainly a plus for seniors, with living expenses only 1.1% higher than the national average. The city is also home to the Connecticut River, setting the tone for a harmonious mix of urban and natural environments.
4. Agawam
Insider Monkey Score: 51
IM Cost of Living Index: 100.6
Average Rent (2-bedroom): $1,548
Median Home Price: $326,000
Livability: 75
Sitting on the Connecticut River, Agawam offers more than just picturesque views and opportunities for water-based fun. The entire city is the epitome of a peaceful retirement, home to parks, picnic areas, and scenic woodlands. Springfield is a short drive away, offering access to additional amenities.
3. Pittsfield
Insider Monkey Score: 52
IM Cost of Living Index: 103
Average Rent (2-bedroom): $1,262
Median Home Price: $308,000
Livability: 74
Taking the third spot on our list of best places in Massachusetts for a couple to live on only Social Security is Pittsfield, the largest city and the county seat of Berkshire County. This charming city is best suited for active retirees who don’t want a dull day in their life. From skiing in the Bousquet Mountain to hiking in October Mountain State Park and visiting the Colonial Theatre, there is something to suit every taste.
2. Springfield
Insider Monkey Score: 56
IM Cost of Living Index: 99.1
Average Rent (2-bedroom): $1,586
Median Home Price: $300,000
Livability: 75
Springfield, the only place on our list with living expenses below the national average, takes on the number two spot on our list of best places. The median price of a home is well below the national average here, rents are pretty affordable, and the city also flaunts a solid livability score of 75. This vibrant city offers the best mix of culture, history, and recreational offerings. Home to Home to Six Flags New England, the Dr. Seuss National Memorial Sculpture Garden, and outdoor recreation spots such as Forest Park and Connecticut Riverwalk, there is much here to see and do.
1. Chicopee
Insider Monkey Score: 58
IM Cost of Living Index: 100.6
Average Rent (2-bedroom): $1,548
Median Home Price: $313,000
Livability: 76
Set on the Connecticut River in Hampden County, Chicopee is number one on our list of best places in Massachusetts for a couple to live on only Social Security. This beautiful city epitomizes suburban tranquility and peace. From parks and recreational areas such as Szot Park and Chicopee Memorial State Park to affordable home prices and reasonable costs of living, Chicopee stands out as the ultimate choice for those managing life on their Social Security checks. Its ideal blend of natural beauty, community spirit, and urban convenience makes it a well-rounded retirement destination.
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Disclosure: None. This article was originally published at Insider Monkey.