Here's how big your nest egg needs to be in Texas if you want an early retirement. Photo via Pexels

Many working adults have asked themselves whether or not they'll be able to achieve an early retirement, but the reality is: It's not attainable anywhere in the U.S. without a substantial nest egg (and the income to go with it).

In Texas, that nest egg would have to be at least $1 million in the bank, according to a new annual report by personal finance website GoBankingRates.

The report, "Early Retirement: Here’s How Much Savings Is Needed To Retire by 40 in Every State," examined each state's cost of living and Social Security benefits to determine exactly how much money you'd need to have stocked away to achieve an early retirement.

According to the study's findings, the total cost of living expenses for the average Texan adds up to $3,362.63 per month, or $40,351.50 a year.

Based on those numbers, GoBakingRates calculated that a Texas resident retiring by age 40 would need a jaw-dropping $1,278,894.70 saved up if they were to live until they were 80 years old.

If a 40-year-old Texan lived to be 90, that nest egg would have to be $1,458,966.13, and if they lived to be 100, they'd need $1,639,037.55 in their savings for those remaining 60 years.

Texas came in at No. 20 on the list. Texans can breathe a (small) sigh of relief they aren't retiring in Hawaii, which came in at No. 1 on the list, with the highest amount of savings needed to retire early. The annual cost of living in Hawaii is nearly $107,000, which means a 40-year-old Hawaiian would need more than $3.94 million to retire early and enjoy 40 years of retirement.

California came in second, followed by Washington DC, Massachusetts, and Washington state.

The states with the least amount of savings required to retire by 40 are:

  • No. 1 – West Virginia
  • No. 2 – Mississippi
  • No. 3 – Oklahoma
  • No. 4 – Arkansas
  • No. 5 – Kentucky
  • No. 6 – Louisiana
  • No. 7 – Alabama
  • No. 8 – Kansas
  • No. 9 – Iowa
  • No. 10 – Michigan

GOBankingRates sourced cost of living data and national average expenditure data for retired residents from the Missouri Economic and Research Information Center, the Bureau of Labor Statistics Consumer Expenditure for Retired Residents, and Zillow’s Home Value Index. These three data points were combined to determine the average annual cost of living for retired residents, and used the typical retirement age of 65 to factor in the full Social Security benefits, thus calculating the average income to be expected in retirement.

The report echoes national ongoing financial strife in regards to inflation and cost of living increases, where not even Houston is immune.

The full report can be found on gobankingrates.com.

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This article originally ran on CultureMap.

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Here's how much money Houstonians need in case of emergency

get to saving

With nearly 40 percent of Americans living paycheck to paycheck, many Texans are scrambling to afford their basic needs. A new study on how much money you need in your emergency fund should be a wake-up call.

The report, from personal finance website GOBakingRates.com, suggests that residents living in Houston should be stockpiling a minimum of $17,461 to cover six months' worth of expenses in the event of an emergency.

The report analyzed the annual average expenditures and cost of living in the 50 most populous U.S. cities, and ranked them based on the estimated minimum emergency savings needed for three to six months to cover basic living expenses.

According to the study's findings, the average Houstonian's total expenditures add up to $34,828 per year. That includes the average cost of groceries, housing, utilities, transportation, healthcare, and other miscellaneous costs.

The minimum emergency fund estimates in Houston are:

  • For a 3-month emergency fund: $8,707
  • For a 4-month emergency fund: $11,609
  • For a 5-month emergency fund: $14,512
  • For a 6-month emergency fund: $17,414

Houston ranked No. 37 out of all 50 U.S. cities with the highest projected emergency funds, so it could be a lot worse. In San Francisco, for example, which is No. 1 on the list, you'd need to put aside $52,000-plus for a six-month emergency fund.

Since these estimates are "minimum," the actual figures for Houston could tick slightly higher. But even so-called affordable cities present a challenge.

"While the emergency savings you need will vary depending on the cost of living where you live, even in the most affordable major cities in America, $500 won’t be enough to keep you afloat for one month, let alone six," the report said.

In the event of a real emergency, Texans should search 211texas.org, the online database for Texas Health and Human Services, featuring information on food banks, electric bill assistance, domestic violence resources, and more.

Around Texas

The Texas city with the highest six-month emergency fund is, predictably, Austin (No. 13) where annual expenses average $52,052, or $17,224 more than Houston. In Austin, the minimum six-month emergency found would need to be $26,000.

Texans living in Arlington (No. 30), Dallas (No. 31), and Fort Worth (No. 32) would need nearly $19,000 saved up to cover six months of expenses.


In San Antonio (No. 38), the estimated six-month emergency fund adds up to a little more than $17,000. El Paso (No. 48) is the Texas city with the lowest amount of money needed for six months, at $15,005.

California cities dominated the top 10 with the highest annual expenses and highest emergency funds. San Francisco took the No. 1 spot, with average annual expenses at $104,729, and an emergency six-month fund of $52,365.

The top 10 U.S. cities with the highest estimated minimum six-month emergency funds are:

  • No. 1 – San Francisco, California ($52,365)
  • No. 2 – San Jose, California ($46,258)
  • No. 3 – Oakland, California ($38,106)
  • No. 4 – Los Angeles, California ($35,160)
  • No. 5 – Seattle, Washington ($34,455)
  • No. 6 – San Diego, California ($34,396)
  • No. 7 – New York, New York ($32,363)
  • No. 8 – Washington, D.C. ($32,132)
  • No. 9 – Long Beach, California ($31,528)
  • No. 10 – Boston, Massachusetts ($31,297)

GOBankingRates.com collected its data from the U.S. Census American Community Survey, cost of living indexes from Sperlings BestPlaces, and the Bureau of Labor Statistics Consumer Expenditure Survey.

The report and its methodology can be found on gobakingrates.com.

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This article originally ran on CultureMap.

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Houston space companies win NASA funding to build Mars exploration robots

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Two Houston-area spacetech companies have landed a portion of a $17 million award from NASA to develop robots for exploring the surface of Mars, the agency announced this month.

Houston-based Inuitive Machines and Webster, Texas-based MEI Technologies, which does business as Aegis Aerospace, were among the seven companies selected to receive the funding from NASA's Science Transport and Robotic Innovation for Deployment and Exploration (STRIDE) initiative.

According to the release from NASA, the companies are tasked with creating "innovative mobility systems" that would allow future Mars missions to access more challenging terrain and difficult-to-reach regions of the planet, and to travel farther distances. NASA estimated that the work will begin this fall.

NASA solicited proposals for participants in the STRIDE initiative in January. The seven named companies are the first selected to participate in the program.

The additional five companies to receive STRIDE funding include:

"STRIDE demonstrates NASA’s commitment to strong public-private partnerships, allowing the agency to explore new approaches for Mars surface exploration while identifying key capability gaps and development needs for commercial systems that could operate and traverse realistic Martian environments," NASA shared in the announcement.

Last month, Intuitive Machines was awarded $148.3 million to deliver its Nova-C lander to the moon. The funding was part of $600 million the space agency awarded to three companies as part of its Moon Base Program and was Intuitive Machines' sixth task order under NASA's Commercial Lunar Payload Services (CLPS) program. Astrobotic was also one of the companies to land funding for the Moon Base program, as well as Austin-based Firefly Aerospace.

Around the same time, Firefly Aerospace was awarded a $13 million subcontract from NASA’s Jet Propulsion Laboratory to develop technology for NASA’s SkyFall mission to Mars. The mission aims to deploy three Mars helicopters to "perform science and demonstrate airborne subsurface mapping and resource prospecting on the planet." Read more here.

University of Houston debuts UH Health, expanding collaborative health care and research efforts

health care hub

The University of Houston has announced its cross-disciplinary academic venture, UH Health.

It will align UH’s efforts in education, research and clinical partnerships to create new opportunities to advance research and innovation, community impact, and education, according to a news release.

“From opening the state’s first college of optometry to developing groundbreaking vaccines, improving the health of all Texans has been a UH priority for decades,” UH President Renu Khator said in the release. “Now, with the launch of UH Health, we are bringing together the full strength of our health enterprise to expand our reach, advance research and transform the future of health for our communities.”

UH is adopting a fully collaborative model, with health professionals from various concentrations to help better understand overall patient care, which includes factors like clinical, behavioral and social factors that can influence health outcomes.

UH Health will also have partnerships with HCA Healthcare, Memorial Hermann Hospital, Baylor College of Medicine, MD Anderson Cancer Center and other Texas Medical Center facilities. In addition, UH Health will work with DHR Health in the Rio Grande Valley to create new opportunities for health care education, workforce development and research in one of Texas' medically underserved regions.

As part of UH Health, UH Health Family Care Center will provide integrated primary care and mental health services to the University and its surrounding communities at affordable prices to serve the Third Ward, East End and South Houston. The Household-Centered Care program will give students opportunities to work directly with community caregivers through patient home visits, while the 3rd Ward Place of Wellness offers health screenings, preventive services, education and other resources designed to support long-term health and well-being, according to UH. The College of Optometry will continue to see children and families via outreach programs and clinics across the community.

UH Health also aims to address shortages in health care professionals, providing a pipeline from the university to the workforce. According to the Texas Hospital Association, 64 percent of hospitals in the state are operating with reduced services and fewer beds due to staff shortages.

“Preparing the next generation of health care leaders is one of the most important investments we can make in the future of our state,” Jonathan McCullers, vice president for health affairs at UH and dean of the Tilman J. Fertitta Family College of Medicine at UH, added in the release. “UH Health is ensuring our graduates are equipped to work effectively in today’s complex healthcare environment.”

Additionally, UH shared it is investing $77 million into a 55,000-square-foot medical research facility aimed at boosting interdisciplinary research and scientific discovery.

“Healthcare is no longer delivered in isolation, and complex health challenges require coordinated solutions,” McCullers added. “UH Health allows us to work across disciplines to tackle health challenges, advance research and improve outcomes for patients and our community.”