CALIFORNIA — As the cost of living skyrockets, many Californians are falling short in terms of their retirement savings, according to a report from financial resource Mutual Fund.
In a study of city’s nationwide, California communities made up 18 of the 25 worst cities for saving for retirement, about 72 percent of the list, according to the study. No California city made the list of 25 best places to save for retirement.
The report analyzed the best and worst places to save for retirement and, according to their findings, 52 percent of households nationwide may not be able to cover essential expenses after retirement. The ranking looked at 170 of the most populous cities in the country to determine where the best “nest egg” cities are.
Find out what's happening in Across Californiawith free, real-time updates from Patch.
Probably unsurprisingly, Los Angeles topped the list. With a median yearly income of just over $76,000 and a monthly housing cost of more than $3,200, the city is burdened by an enormous number of cost-burdened homeowners, the study concluded.
“The money can’t be made up in other ways, especially with a cost of living above the national average and a sky-high state income tax rate of 13.3%. Add to this a 16.8% city-wide poverty rate, and it’s easy to see how nest eggs are going untended in Tinseltown,” researchers said.
Find out what's happening in Across Californiawith free, real-time updates from Patch.
Anaheim followed directly behind LA, ranking second on the list. Researchers said the median household income in the most populous city in Orange County is $85,133, which could lead to financial strain with the median home price being almost $850,000.
A little further south, Oceanside earned the fourth spot on the list with about 44 percent of the city being classified as cost-burdened homeowners. The median income in Oceanside is $83,271 and the median home price is $823,249, according to the study.
Rounding out the top five worst cities to save for retirement, San Diego sports the highest median home price among the top five at $960,202. Its median income is also the highest at $100,010 and almost 38 percent of homeowners are considered cost-burdened, the study said.
New York City was the only non-Californian city in the top five, ranking third on the list.
The other California cities that made the list of 25 hardest places to save for retirement include:
To determine the ranking, Mutual Fund compared the cities across 12 weighted variables that include:
The study also analyzed the best places to build a retirement nest egg and unfortunately no cities in the Golden State made the top 25 list.
The top five best places to save for retirement were:
Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.
Click Here: west tigers rugby league jersey