When it comes to retirement, the Europeans prove once again that they know something the United States doesn’t, according to the recently released Natixis Global Retirement Index.
For the second year in a row, the U.S. barely made it into the top 20 in its capacity to meet retirees’ financial needs and expectations. European nations, meanwhile, took eight of the top 10 spots.
The index, now in its second year, is put together by Natixis Global Asset Management and CoreData, and measures the ability of 150 countries to care for their retirees.
The index examines 20 key performance indicators grouped into four broad categories: health, including life expectancy and access to quality health services; material well-being, or the means to live a comfortable life in retirement; quality of life, including factors like crime rates and air pollution; and finances, including the strength of the nation’s financial system and its tax rates.
We’ve highlighted the 20 highest-ranking countries for retirement, according to the index.
Quality of life: 8.1/10
Material well-being: 7.0/10
Rounding out the top 20, Israel scores high on quality of life but dropped eight spots from last year, weighed down by its comparatively low financial score. A recent report by the IMF found that the Israeli economy is dealing with significant challenges, such as high risk in the real estate market and a high fiscal deficit.
19. United States
Quality of life: 8.0/10
Material well-being: 6.8/10
The U.S. placed 19th out of the 150 nations analyzed for the second year in a row, though it scored higher year over year in all four broad categories. Despite ranking sixth highest in per capita income and first in per capita health care expenditures, the U.S. ranks 33rd for life expectancy and relatively low (81st) for income inequality.
18. United Kingdom
Quality of life: 8.7/10
Material well-being: 7.2/10
The U.K. hopped two places this year and managed to improve its quality of life despite experiencing its wettest January since 1766, thanks to massive flooding in the Thames Valley west of London.