Retirement comes with plenty of questions. Do I have enough saved for the future? What will I do with all my free time? Will I have the best health care available at my fingertips? And it turns out, if you move to the right state, you can have all that and more.
To help people figure out which state is the absolute best to live in for retirement, WalletHub compared every state across 46 indicators of “retirement-friendliness,” including financial aspects like tax rates and the cost of living to health care access and quality of life measurements like public transportation options, the share of the population at retirement age (65 and older), and even the mildness of local weather.
After looking at all the data, perhaps unsurprisingly, Florida came out on top.
"Florida isn’t known as a retirement paradise for nothing — it ranks as the best state to retire due to its relatively low taxes for retired people, including no estate, inheritance, or income taxes,” WalletHub wrote in its findings. “The cost of adult day health care (health services for seniors who don’t need around-the-clock care) and homemaker services are also lower than in most other states.”
It additionally noted that beyond the spectacular tax benefits, Florida also boasts some rather impressive lifestyle perks, too, including having the “second-most shoreline miles of any state” and for ranking among the top states for volunteer opportunities. Its only downfall, WallethHub noted, is an increasing cost of living, which could prove too much for some.
The second-place state may come as more of a surprise. WalletHub named Colorado its No. 2 pick as it offers “similarly taxpayer-friendly conditions, with no estate or inheritance taxes.” It’s also a great state for seniors looking to take care of both their physical and mental health and is home to “some of the best geriatrics hospitals in the country,” according to WalletHub.
Joining these states in the top 10 is Virginia in third, followed by, Delaware, Wyoming, Idaho, New Hampshire, Minnesota, Montana, and Pennsylvania.
As for how you can prepare to retire no matter where you want to live, WalletHub expert Karen Magruder, an assistant professor of practice, at the University of Texas at Arlington, shared in the findings that it’s all about preparation.
“The biggest mistake would be not to make a plan. While everyone approaches retirement planning differently, a common oversight is underestimating expenses, especially healthcare costs,” Magruder said. “This is especially true if someone outlives their savings or needs long-term care. Familiarize yourself with what Medicare and/or your health insurance does and does not cover. It is also important to ensure that your post-retirement lifestyle does not outpace your retirement savings.”
See all the findings and more expert advice at wallethub.com.
FAQs
Florida. Once again, Florida leads our list of best states to retire, as it's one of the most affordable places for retirees. Why? Florida is a “very tax-friendly state” with no state income tax and no tax on pension income — which is great for people who want to enjoy their retirement fund to its fullest potential.
Where is the best place in the US to retire? ›
Here are the top five places in the U.S. to retire if you have little to no savings, according to GOBankingRates.
- Foley, Alabama. Percentage of population 65 and older: 31% ...
- Mountain Home, Arkansas. Percentage of population 65 and older: 28% ...
- Hot Springs Village, Arkansas. ...
- The Villages, Florida. ...
- Bella Vista, Arkansas.
Florida has regained its status as the best state for retirees in 2024. That's according to WalletHub's latest “Best and Worst States to Retire” study. In 2023, Virginia took the top spot and knocked Florida down to No. 2.
Which state is known as the retirement state? ›
TALLAHASSEE, Fla. — Today, Governor Ron DeSantis highlighted Florida has been ranked as the number one state to retire according to a study by WalletHub. The study also ranked Florida number one for quality of life for seniors among all 50 states.
Where is the best place to retire in the US in 2024? ›
As such, some of the best states to retire in 2024 include the Carolinas, Mississippi, and Iowa. Revered for their tax-friendly environment and low cost of living, these states are ideal for retirees on a budget. However, not all the places in these states may be the most ideal for living.
What is the number 1 place to retire in the United States? ›
Harrisburg ranked as the best place to retire in the U.S. in 2024, according to U.S. News and World Report. Harrisburg, Pennsylvania's capital, ranked as the best place to retire in the U.S. The city is ideally situated at only a few hours' drive from New York City, Philadelphia, Baltimore and Washington, D.C.
Where do the happiest seniors live? ›
Barnstable, MA is the happiest city to retire to, ranking #1 of all 200 cities we analyzed. It has the highest ranking overall for community well-being, and one of the highest percentages of residents who are 65-plus. The other cities at the top of the list: Naples, FL at #2, and Ann Arbor, MI at #3.
What is the cheapest state for seniors to live in? ›
According to the Missouri Economic Research and Information Center, the lowest overall costs of living were found in Mississippi, Oklahoma, Kansas, Alabama, and West Virginia: Cheapest states to retire.
What is the best state for seniors on Social Security? ›
“Florida has no state income tax, including no taxes on Social Security benefits or pensions. Its affordability, combined with a warm climate, makes it a top choice for retirees,” said Zhong.
Where can I retire on $2000 a month in the United States? ›
5 US Cities Where You Can Retire on $2,000 a Month
- Chiang Mai, Thailand. Advantages: Very inexpensive. ...
- San Juan, Puerto Rico. Advantage: In the United States. ...
- Claremont, New Hampshire. A couple who found a place to retire on $2,000 per month. ...
- Decatur, Indiana. Advantages: Potentially low rent. ...
- El Paso, Texas.
By Total: California has the highest number of seniors in the U.S. with a total of 5,148,448 residents ages 65 and older. But that is likely because California also has the highest population out of the states. Second in line is Florida, with a total number of 3,926,889 seniors.
What state has the most seniors? ›
In 2021, there were 5,964,526 adults aged 65 and older living in California, the most out of all U.S. states, followed by Florida with almost 4.6 million adults aged 65 and older.
Where is the best place to retire with low taxes? ›
This Midwestern U.S. State Is the Best Place to Retire for Affordable Cost of Living and No Income Tax. South Dakota recently topped a list of the best retirement states in 2024.
Where is the cheapest warm place to retire? ›
Methodology
- Corozal, Belize. ...
- Panama City, Panama. ...
- San Miguel de Allende, Mexico. ...
- Santiago, Dominican Republic. ...
- Lake Chapala, Mexico. ...
- La Serena, Chile. Average Monthly Cost of Living: $1,640. ...
- Cuenca, Ecuador. Average Monthly Cost of Living: $1,500. ...
- Da Nang, Vietnam. Average Monthly Cost of Living: $1,500.
Consider these affordable cities for retirement.
- Mobile, Alabama.
- Winston-Salem, North Carolina.
- Fort Wayne, Indiana.
- Huntington, West Virginia & Ashland, Kentucky-Ohio.
- Brownsville, Texas.
- Springfield, Missouri.
- Hickory, North Carolina.
- Youngstown, Ohio.
7 of the most-affordable places to retire abroad
- Malaysia.
- Mexico.
- Panama.
- Philippines.
- Portugal.
- Thailand.
- Vietnam.
According to the Missouri Economic Research and Information Center, the lowest overall costs of living were found in Mississippi, Oklahoma, Kansas, Alabama, and West Virginia: Cheapest states to retire.
Where is the cheapest place in the US to retire? ›
Consider these affordable cities for retirement.
- Mobile, Alabama.
- Winston-Salem, North Carolina.
- Fort Wayne, Indiana.
- Huntington, West Virginia & Ashland, Kentucky-Ohio.
- Brownsville, Texas.
- Springfield, Missouri.
- Hickory, North Carolina.
- Youngstown, Ohio.
The cheapest places to retire abroad include Panama, the Philippines, Portugal, Malaysia, Mexico, Thailand and Vietnam. Before making the move, consider expenses such as travel costs, taxes and visas, which can vary significantly from one country to another.
