Why Arizonans should create a detailed retirement plan (2025)

Are you worried about saving enough money for retirement? Do you want the peace of mind you should have after your working days are done?

Well, the best time to plan for the future is now.

At Bright Wealth Management, a financial advisor can help you create a personalized retirement from the ground up.From determining a savings goal to accessing the housing market, there are many factors you must consider when forming your retirement plan.

Plus, retiring in Arizona — namely in Scottsdale — has its own tax perks.

Saving for retirement

“There’s no one-size-fits-all, so needing X amount in retirement is going to be specific to you,” Bright Wealth Management president and founder Matt Dages said. “Because everybody had different lifestyles, everybody has different debts, everybody has different retirement expectations or goals.”

Dages added that if you want to retire before turning 65, you need to ink “a massive, really detailed plan.”

Why? Retiring before 65 may mean you aren’t receiving Social Security or Medicare benefits yet, and covering these health payments can be difficult.

For many, Social Security will be their “only guaranteed source of retirement income,” according to Dages. That means it is important to incorporate projected benefits into your retirement plan before activating it as early as age 62.

Also, a sudden economic downturn may force you to return to the workforce, which is not always the kindest to those in a higher age bracket.

Dages said he recently started working with a 58-year-old woman who has been “saving, saving, saving” but had never drafted a written retirement plan.

“It’s incredibly crucial that you start (one) as soon as possible, whether you want to retire at 65 or whether you think, hey, ‘I just want to retire at some point,'” Dages said.

Accessing the housing market with retirement in mind

Whether you are going to make Arizona your permanent state of residence or a winter home, clearly defining your stay will help you maximize tax benefits.

Dages said financial advisors at Bright Wealth Management can generate tax analysis reports tailored for each client, regardless of their residence. A recent example shared by Dages was of a woman from Wisconsin who wanted to move to the Valley permanently rather than just half the year.

“She was like in the 5.5% to 6% tax bracket in the state of Wisconsin, and by moving to the state of Arizona, she’s going to cut her state taxes in half,” Dages said. “So there’s a lot of those benefits that exist just by looking at that analysis.”

Another housing factor to address in retirement planning is the possibility of downsizing and selling. If you have grown children and don’t need a two-story home anymore, jumping into the housing market for the first time in 20-plus years can be unsettling.

“As you become maybe an empty nester, what are you going to do with that excess income? Are you going to reinvest it somewhere? What do you do with it? How do you maximize it? Is it going to go into your retirement plan? These are all different discussions that we have,” Dages said.

Financial consolidation can make answering these questions easier.

Retirement benefits in Scottsdale

Besides tax rates being more affordable compared to others like California or New York, Arizona also doesn’t tax Social Security. For veterans, their pension is free of income tax.

In the case of Scottsdale, roughly 25% of its population is 65 or older. There, senior communities, medical facilities and other developments have risen to the occasion.

Scottsdale was rated the top U.S. city to retire in 2025 by Niche, receiving A grades in the categories “Good for Families,” “Nightlife,” “Outdoor Activities” and “Health & Fitness.”

The city also unsurprisingly got an A+ in “Weather.”

Schedule a complimentary one-hour portfolio reviewonline or call 833-777-4296 to learn more about Bright Wealth Management. With a review, you will also receive a free copy of Dages’ book, “Your Retirement Roadmap.”

The Bright Wealth Management Show with Matt Dages airs Saturdays from 1 p.m. to 2 p.m. and Sundays from 3 p.m. to 4 p.m. on 92.3 FM.