What age will YOU retire? Fascinating study reveals when workers can afford to give up work in every state

Many Americans dream of the day they can give up work for good. But for many that dream is stretching further and further away.

The average retirement age was 61 in 2022, up from 57 in 1991, according to a poll by research firm Gallup. 

But a new study has exposed just how much retirement ages can vary state by state. Personal finance website GoBankingRates analyzed the median income by age in every state, using data from the US Census Bureau.

Researchers then identified an ideal savings target for workers based on the average living costs in each area.

The firm's calculations are based on the assumption workers began collecting paychecks at 22 and followed the golden 50/30/20 rule by which they allocated 50 percent of their income to necessities, 30 percent to wants and 20 percent to savings. 

Personal finance website GoBankingRates analyzed the median income by age in every state, using data from the US Census Bureau.

The findings spell bad news for workers in Hawaii who have a 'realistic retirement age' of 75 plus. Residents in the Aloha State would need $2,485,329 in savings to retire comfortably.

On average, the study estimates the average worker would have $2,33,542 saved up by the time they reach 74. 

On the other end of the spectrum, workers in Kansas benefit from the youngest retirement age of 52. GoBankingRates estimates residents of the Sunflower State need $808,127 in savings to retire comfortably.

If they follow the 50/30/20 rule, Kansans should exceed this savings goal by the time they're 52, wracking up $843,700. 

It was followed by Nebraska, Illinois and Iowa where residents can afford to retire by 53, according to the study.  

Across the board 29 states had a retirement age of under 60. A further 20 had average retirement ages of 60 and above.

Only Hawaii workers would have to work past 70, the study suggested. District of Columbia was not included in the analysis.

It comes as experts repeatedly sound the alarm over America's so-called 'retirement crisis.'

A survey by Bankrate last month found that more than half of workers felt they were 'behind' on their retirement savings. Some 25 percent said they had not made any retirement contributions in a year.

The trend is being driven by both inflation and higher interest rates which are putting unprecedented pressure on budgets and leaving workers unable to save.

And many are even dipping into their later life savings to make their current ends meet. 

Figures from Bank of America in August show the number of people taking 'hardship withdrawals' from their 401(K)s had shot up by 36 percent in the last year.