Retirement Cost in Tacoma, WA: 2026 Budget Guide
A comfortable retirement in Tacoma costs approximately $63,440/year — 22% above the national average of $52,000. Here's the full breakdown.
$63,440
Annual retirement cost
$5,287
Per month
$1,586,000
Nest egg needed (25× rule)
Direct Answer
Retiring in Tacoma, WA costs about $63,440 per year, or $5,287 per month. That is 22% above the national retirement budget benchmark, with an estimated $1,586,000 nest egg using the 4% rule.
Annual budget
$63,440
Range: $41,236-$91,988
Monthly budget
$5,287
Housing, healthcare, food, transport, utilities, and lifestyle
Portfolio target
$1,586,000
25x annual spending, before personalized tax planning
Tax note
Tax-friendly
Washington has no state income tax
Tacoma is an above-average-cost retirement destination. Washington has no state income tax, which can save retirees thousands annually on pension and 401(k) withdrawals.
Annual Retirement Budget in Tacoma
Based on BLS Consumer Expenditure Survey (65+ households), adjusted for Tacoma's cost index (120). Range: $41,236–$91,988.
How Much Do You Need to Retire in Tacoma?
Standard
$1,586,000
4% Rule (25×)
Most common retirement planning benchmark
Conservative
$1,903,200
3.3% Rule (30×)
Conservative approach for longer retirements
After SS
$42,440
Savings needed/year
After avg Social Security (~$21,000/yr)
How Tacoma Compares
Tacoma Annual Cost
$63,440
National Average
$52,000
Difference
+$11,440/yr
22% more expensive
Retirement Planning Tips for Tacoma
✓Washington has no state income tax — a significant benefit for retirees drawing from 401(k)s, IRAs, or pensions.
✓Housing in Tacoma accounts for roughly $22,204/year of retirement costs — consider whether renting or owning makes more sense given your timeline.
✓Healthcare costs here run approximately $11,419/year. Compare Medicare Advantage plans by ZIP code — coverage and premiums vary significantly.
✓The estimated nest egg needed to retire in Tacoma is $1,586,000 using the 4% withdrawal rule.
✓Tacoma is more expensive than average — if flexibility allows, nearby metros may offer significant savings.
Retirement Decision Checklist
Compare housing at $1,850/month against your rent, mortgage, HOA, and property tax plan.
Budget healthcare at about $952/month before Medicare supplement, dental, and long-term care choices.
Stress test the plan with the conservative $1,903,200 portfolio target if you want a lower withdrawal rate.
Use $42,440/year as the rough portfolio-funded gap after average Social Security assumptions.
More for Tacoma
Frequently Asked Questions
How much does it cost to retire in Tacoma?
A comfortable retirement in Tacoma costs approximately $63,440 per year ($5,287/month). This includes $22,204 for housing, $11,419 for healthcare, and $9,516 for transportation. Actual costs range from $41,236 to $91,988 depending on lifestyle.
How much money do I need to retire in Tacoma?
Using the 4% withdrawal rule, you need approximately $1,586,000 in savings to retire in Tacoma. For a more conservative 3.3% withdrawal rate (30× rule), the target is $1,903,200. If you expect average Social Security benefits (~$21,000/year), your portfolio needs to cover the remaining $42,440/year.
Is Tacoma a good place to retire?
Tacoma has above-average retirement costs at $63,440/year — 22% more than the national average. Higher costs may be justified by amenities, climate, or family proximity. The absence of state income tax is a notable advantage for retirees in Washington.
What is the biggest retirement expense in Tacoma?
Housing is the largest retirement expense in Tacoma, accounting for approximately 35% of the budget at $22,204/year ($1,850/month). Healthcare is the second-largest at $11,419/year, followed by transportation at $9,516/year.