How Your State’s Social Security Check Measures Up Against the National Average

About 75 million Americans collect Social Security, averaging just over $2,000 each in benefits. The bulk of these Americans are retirees. The amount you get is largely based on your work history and age when you first claimed benefits.

This year, recipients received a 2.8% cost-of-living adjustment, which should bump up these average figures.

Your location doesn’t directly affect your benefit amount, but average payments vary by state, largely because of income differences. The bigger question: Are these benefits enough to support retirement anywhere?

States With the Highest Social Security Retirement Benefits

The states with the highest monthly Social Security benefits check for retired workers are all in the Northeast or mid-Atlantic:

• Connecticut: $2,196
• Delaware: $2,171
• Maryland: $2,140
• New Jersey: $2,190
• New Hampshire: $2,184

All of these states have above-average household incomes, as well as above-average costs of living. 

For example, Connecticut’s average Social Security payment for a retiree is only $221 more per month than the national average. Looking at the average rent alone, the average in Connecticut ($2,121), which is $384 more than the national average, consumes almost the entire average Social Security benefit in the state.

Other notable states that have very high costs of living but relatively low Social Security benefits include New York, which ranks 21st with an average benefit of $2,018, and California, which ranks 34th with an average benefit of $1,935. 

Even for couples combining checks, additional costs like utilities, groceries, and health care can be hard to manage. 

States With the Lowest Social Security Retirement Benefits

The states with the lowest average monthly Social Security benefits include the following:

• Arkansas: $1,852
• Louisiana: $1,818
• Mississippi: $1,814
• Kentucky: $1,866
• New Mexico: $1,865

All five states have below-average household incomes, but they also have below-average costs of living.

For example, the average Social Security benefit for retired workers in Mississippi is only $198 below the national average, while the average rent is $1,305, about $432 below the national average. In other words, your Social Security check here goes much further proportionally than it does in high-cost states like Connecticut.

Other more affordable states with higher Social Security benefits include Minnesota, which ranks seventh with an average benefit of $2,095, and Michigan, which ranks ninth with an average benefit of $2,066.

Can You Retire on Just Social Security?

For most people, retiring on Social Security benefits alone is difficult, but not impossible. The Senior Citizens League found that about two-thirds of older adults rely on Social Security for more than half of their retirement income, including 27% who rely on it as their only source of income. The same study found that 62% are worried that their income won’t be able to cover essentials like rent and food.

Ideally, you would use Social Security benefits to supplement your income from retirement savings, not the other way around. 

That means investing enough in retirement accounts like a 401(k) that you can later draw from. The exact amount needed depends on your intended retirement age, desired monthly income, and inflation, but one rule of thumb is to save 10 times your annual retirement income by the time you’re 67.

For example, if you earn $80,000 per year, you’d want to save at least $800,000 by age 67. If you’re 37 with no savings, you could hit that target by investing 10% of your income, about $667 a month, for 30 years at an 8% average return. But if you’re 57 with nothing saved, you’d need to sock away 58% of your salary, which isn’t realistic for most people.

If you’re already near retirement age and can’t invest your way to retirement security, other options include working part-time in retirement or turning existing assets into income streams. 

If you’re close to retirement and can’t invest your way there, other options exist: working part-time, renting out a spare room, downsizing and putting the proceeds into your savings, or withdrawing strategically from invested savings. A financial advisor can help you map out what’s realistic.