Cork and Dublin ranked amongst the best European cities for retirement in a new study.
When retirement approaches, some people yearn for a change of scenery and a different pace of life, with many retirees planning to escape to a whole new country. But have you ever wondered just how much it costs to retire comfortably abroad?
A new study from Shepherd's Friendly's Over 50s Life Insurance team has revealed how much it costs to live in the happiest cities around the world throughout your retirement years, as well as the best cities in Europe for retirement overall.
The researchers looked at 48 of the happiest cities around the world, ranking them by a range of factors including average life expectancy, monthly cost of living and happiness rating.
Cork ranked as the second best European city to retire in, with an average life expectancy of 84 and an average monthly cost of living at €930. The study found you'd need an estimated €187,548 to retire there.
Meanwhile, Dublin, Ireland's capital, ranked as the ninth best European city to retire with an average life expectancy of 82.8 and an average monthly cost of living at €1042.
According to the top 10 research, Dublin is the second most expensive city in Europe to live in during your retirement years with an estimated total of €210,073.
To determine the average length of retirement, the study compared the average retirement age of 66 for both men and women against each country's life expectancy. Looking at average monthly living costs, the researchers then calculated just how much it costs to live in the top happiest cities during these years.
Madrid ranked as the best city in Europe for retirees with an affordable monthly cost of living rate of €677 per person.
The study also found that it would cost €205,047 to retire in Helsinki, reported to be the happiest city in the world.
Derence Lee, Shepherds Friendly Chief Finance Officer says: “Whilst retirement can seem like a long way off for some, it’s never too early to start planning ahead. Saving into a pension scheme is important for this, however it's also beneficial to consider how your personal savings outside of this can be used to achieve a comfortable retirement.
“Making use of your yearly ISA allowance is a great way to help you grow your personal savings for the future without having to pay tax on returns. For example, stocks and shares ISAs are especially useful for helping you to build your savings up over time through investment, so you can retire with an even healthier nest egg.”
Top 10 cities in Europe for retirement:
1. Madrid, Spain
2. Cork, Ireland
3. Bergen, Norway
4. Barcelona, Spain
5. Helsinki, Finland
6. Vienna, Austria
7. Brussels, Belgium
8. Stockholm, Sweden
9. Dublin, Ireland
10. Copenhagen, Denmark
For more information on the happiest cities to retire in, see the full results here.