1/2: Connecticut / Illinois
3: Rhode Island
4: Vermont
5: Massachusetts
6: New Jersey
7: Minnesota
8: New York
9: Maine
10: Wisconsin
Too bad about Minnesota and Wisconsin. Even I was surprised. It takes a lot of work to get on this list -- mostly longevity as a state (CT, VT, MA, NJ, NY, ME) and union politics (IL, NJ, NY, WI).
So where does that leave us? Essentially, with a list dominated by states in the Northeast and Midwest. What’s important to note is that this year’s list is slightly different from last year’s list. New to the list are Vermont, Minnesota and Maine. States lucky enough to leave the list are Ohio, Nevada and California, which Brady says is more a reflection of changes to the TopRetirements.com rating system.
Sounds like this is something of an "upper middle class income retirement they are basing the ratings on. If you have an average pension and added average Social Security Minnesota has a number of tax breaks. I have an above average pension but no SS yet. Half my property tax is currently refunded, with the $70K for a couple with SS this would not be the case.
ReplyDeleteOverall, Minnesota has a highly efficient health care system. I read once in the NY Times that Twin Cities medicare costs are half of South Florida per comparable person costs.
There is a lot of union politics in Minnesota but it seems to be on the decline. Rental housing costs tend to be high in most larger Minnesota cities.
MY MNPERA.org did a study and found that 90% of pension payments went out to Minnesota zip codes. The border zips matched the still working people in the pension plan. (You pay income tax in the State why you work and make the money).
I'm surprised California and Nevada left the list. California for the obvious reasons and Nevada has the highest foreclosure rates.
Reading the "fine print" they deduct "a point" for states above the Mason-Dixon Line with cold climates. Winter isn't so bad in Minnesota cities, to give an example if you are retired and have money for a snow service and have one four-wheel drive. Minneapolis averages five "snow emergencies" per year with a major snow storm once every two years. If your retired you can stay home for a few days. Same with very bitter cold episodes. There are a lot of big-box stores if you want to take a long safe winter walk.
ReplyDeleteBruce:
ReplyDeleteLooks like there are quite a few "Blue States" on that list, including my own which is showing up on other lists like: highest unfunded pension liability...largest budget deficit...most jobs lost...
From Illinois.
I’m not surprised by Minnesota’s listing. The state has been living off the fat of the past and the return becomes less each year. The reluctance to be attractive to business is taking a terrible toll. Somehow the state became so impressed with its self that they could tax and over regulate and businesses would accept it because Minnesota was such a utopia land. The result today is an aging population and a decline in business vitality.
ReplyDeleteMinnesota became use to the migration of young people from North and South Dakota looking for opportunity for years. That was supposed to be the order of things. That all started to change when the former Governor of South Dakota landed Citcorp in Sioux Falls in the late 70s. By changing their usury laws on interest rates, no corporate tax, low workman’s compensation cost or income tax South Dakota became very attractive for doing business and the result was Citcorp. That started the state on a path of diversify its economy from being less reliant on agriculture and tourism. That Governor was Bill Janklow who just passed away from brain cancer.
The economic development teams from South Dakota started paying visits to Minnesota companies selling the advantage of doing business in South Dakota. That started a battle between Janklow and them Minnesota Governor Rudy Perpich. Minnesota was offended a neighboring state would do that. Rather than compete Minnesota was arrogantly offended. Minnesota still hasn’t learned its lesson; and the contrast couldn’t be more glaringly apparent today. Sioux Falls and other border cities in South Dakota are economic hot spots that have hardly been touched by the recession. Janklow is credited with changing South Dakota’s economy around. Minnesota is too stubborn to change so its decline continues. It may change someday but the political climate just isn’t there now.
The pro-business model is the same one North Dakota has implemented. Former Governors Shafer and Hoven seen what could happen and their leadership is the results we see today. Minnesota today has a trust fund baby for a Governor in Mark Dayton. He has never own or ran a business and has never been involve with Dayton’s or Target. He is so obsessed with the progressive liberal worldview he is totally useless. He was one of Minnesota’s worst senators yet the state voted him in as Governor. Go figure.
You have unlocked keys to success North and South Dakota, cherish it and never throw the baby out with bathwater. You have a good example not follow in Minnesota.
I've written often about businesses in Minnesota moving to North or South Dakota.
DeleteA long time ago I posted this:
http://milliondollarway.blogspot.com/2011/01/minnesota-and-dakotas-what-washington.html
If you go to that site, you need to scroll down to the "original posting."
Fargo is the best North Dakota example; similar to Sioux Falls vis a vis Minnesota.
Thank you for a great post.
My hunch is that energy costs to heat homes and businesses will become the #1 issue in Minnesota in the not too distant future. For those who do not pay federal income tax, heating expenses may become one of their largest expenses.
Energy costs are a major "wildcard" in Minnesota. With the nuke and coal base electricity cost is rising but not really high (consumer around a dime a KWH.)Most of the population is in cities which have natural gas. I just got my
ReplyDeleteDecember 10 to January 10 natural gas bill. $70 with all the taxes and fees.
Another effect of Minnesota's "Progressive" politics is the highest welfare burden in the USA, according to the Census Bureau.
ReplyDeleteCensus numbers, just in time for today's talking points, say MN welfare spending at 37% (updated) http://www.startribune.com/politics/blogs/112933714.html
Just as a debate on Minnesota health care spending rushes in at the Capitol, the Census Bureau offered some numbers to prime the pump.
"State government spending on public welfare was greater than 30 percent of general expenditures in 11 states, led by Minnesota (37.5 percent)," the government numbers bureau said in a news release Wednesday.
The numbers come from the Census' report on State Government Finances. Dig in to the numbers here.
Worth noting: Although the Capitol debate Wednesday will focus on DFL Gov. Mark Dayton, Republican Gov. Tim Pawlenty was in charge when the numbers rose.
(This post has been corrected to reflect that the 37.5 percent is a total percentage of spending. The state department of human services also says: "there are health care costs included in the definition of public welfare used by the Census Bureau that we don't account for in the same way in the state budget.")
"State government spending on public welfare was greater than 30 percent of general expenditures in 11 states, led by Minnesota (37.5 percent)," the government numbers bureau said in a news release Wednesday."
DeleteThat is an interesting way of saying what I think it is saying.