Best Places to Retire for Seniors in 2024 (2024)

Best Places to Retire: Key Takeaways

• Several factors will help you determine where you should retire, including your budget, lifestyle, health, climate, and location.
• Some tax-friendly states with a low cost of living attract retirees from around the country,making them among the most popular places to retire.
• Cost is often the main factor to consider, but be sure to consider other things as well. It’s best to plan, research, and discuss your ideas with family and friends. Read our guide to retirement housing to make sure you’re not missing any other considerations.
• We hope this guide on the best places to retire will help you begin your search for the best states, cities, locations abroad, and military sites for your retirement.

Where you retire is so important, but how do you choose a location? What factors should you think about before making a decision? What are the best places and why? This handy guide should help you as you navigate your options.

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This comprehensive guide can help you focus on the overall best places to retire. We have compiled the best places to retire, including the best cities, states, countries, and locations for military retirement.

Because so many Americans preparing for retirement are worried about finances, we’ve compiled another section on the cheapest places to retire. This section includes the most affordable states, cities, and locations abroad — including fantastic places you can live for $1,000 to $1,500 per month — so you can spend your retirement years living comfortably.

There are many best-of lists to choose from when you’re deciding where to retire, and it’s amazing how different their results are. That’s because the criteria and methodologies for choosing locations differ for every source. One list may rank a city lower because it’s not walkable, while another may rank the same city highly because a lot of seniors live there. Keep in mind that criteria can vary widely when you review lists. We cover the criteria used to evaluate each place on our lists below.

At the end of the guide, you’ll find information on factors to consider when choosing a place to retire. It can help you think more deeply about your search and better meet your long-term needs for your desired lifestyle.

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Cost may be a major consideration, but you’re probably also considering lifestyle, crime, access to health care, and other factors when choosing your retirement location. (We’ll cover those factors in more detail at the end of this guide.)

Maybe you want walkability and prize being near a forest. Retiring to a small, Midwest suburb probably isn’t the right fit for you, but a small Northwestern town may be perfect. Maybe quality of life means being close to certain ethnic communities, sports, or cultural activities. You may be better off in a midsize city. We’ll dive into some of the best places to retire below.

What is the No. 1 best place to retire? It’s the Sunshine State. Florida, Colorado, and Virginia rank as the top three states for retiring seniors, according to WalletHub.1 In a recent study, they compared all states based on 46 indicators in three key categories:

• Affordability, which includes tax benefits, cost of living, and more.
• Quality of life, which looks at the weather, size of the over-65 population, and more.
• Health care, which analyzes metrics about doctors, public hospitals, and more.

Here are the top 10 best states for retirement:

1. Florida
2. Colorado
3. Virginia
4. Delaware
5. Wyoming
6. Idaho
7. New Hampshire
8. Minnesota
9. Montana
10. Pennsylvania

Florida, which landed first overall in the ranking, didn’t score equally high in everything. It remains attractive because of its weather, lifestyle, and lack of taxation. With no income tax, seniors’ pensions and retirement income go a lot further. Yet Florida scored lower in health care and affordability. Living in Florida has become expensive due to inflation and the recent increase in rental and housing prices.

» Helpful Tool: Pension Calculator

Colorado was ranked second. It has low property taxes and a high number of seniors who are active outdoors and in good health. The state also has a low rate of social isolation among its older adults and few seniors over age 65 living in poverty. It is home to top-notch geriatric hospitals to care for its seniors.

Virginia ranked third. It’s on the expensive side, but it has no state or inheritance tax. It also ranks highly due to its beautiful shoreline, high-quality health care, the best protections from elder abuse in the U.S., and its low violent-crime rate.

A research team at Consumer Affairs developed a robust list that included the best and worst cities.4 The team’s assessments were based on the following factors:

• Financial: Rent, food, utilities, and transportation costs
• Quality of life: Weather, access to green spaces, and walkability
• Other: 65 and older population, crime rates, physical and cultural activities, and health-care access

Keep in mind the methodology Consumer Affairs used to compile the list. It compared every city to the city with the highest score in the same category. Because finances usually dominate decisions about retirement, researchers gave cost of living three times the weight of other factors. All other factors shared equal consideration.

Here’s the ranking of the top 10 best cities for retirement.

1. Lincoln, Nebraska
2. St. Louis, Missouri
3. Champaign, Illinois
4. Des Moines, Iowa
5. El Paso, Texas
6. McAllen, Texas
7. Green Bay, Wisconsin
8. Jackson, Mississippi
9. Akron, Ohio
10. Great Falls, Montana

Lincoln, Nebraska, comes out on top because of its access to many parks, low cost of living, and high quality of life. It’s an inclusive city, scoring high on livability with a healthy older adult population.

» You Might Like: Best Assisted Living in Lincoln, Nebraska

U.S. News & World Report’s list of the best cities to retire in is entirely different.5 It compared 150 of the largest metropolitan areas and surveyed 3,500 people on what mattered most to them in a retirement city. Its top five retirement places? Harrisburg, Reading, Lancaster, Scranton, and Allentown, Pennsylvania, in that order.

The Annual Global Retirement Index for 2024 gathers information from hundreds of trusted sources living in and experiencing those particular countries around the world.6

Here are its top 10 countries to retire in:

1. Costa Rica
2. Portugal
3. Mexico
4. Panama
5. Spain
6. Ecuador
7. Greece
8. Malaysia
9. France
10. Colombia

Costa Rica, Panama, and Mexico were in the top five last year too. The above countries were selected based on housing, procurement of visas, cost of living, health care, and climate. Other perks, such as senior discounts and entertainment for seniors, were also considered.

A few tips to keep in mind regarding moving to another country: Rent a home before you settle into the locale and put down roots, and request information about senior benefits and discounts. You may be surprised to find that you get more benefits in other countries than you do in the U.S.

Be prepared to deal with government issues in your retirement locale. Is there bureaucracy? Corruption? Research and consult with an attorney to help you process the correct paperwork for visas and the like before you move. That can save you a tremendous amount of trouble after your arrival.

Make sure you don’t overlook the country’s infrastructure. Does it offer clean water, cell phone coverage, and wireless internet? If you’re deciding between Panama and Costa Rica, for example, Panama has outstanding internet connectivity and good roads. Costa Rica, on the other hand, has one of the best health-care systems in the world. Don’t forget about safety in these sunny spots either. If you’re choosing between Mexico and Portugal, you’ll learn it’s less expensive to live in Mexico. Some areas of Mexico have high rates of violent crime though. Do your research and connect with the local expat community to ask about the positives and negatives of life in your chosen paradise.

If you have served in the U.S. military or you’re the spouse of a veteran, you are part of adistinct community. Whether you lived on base or were stationed overseas, chances are you congregated, lived, or worked alongside other members of the military.

If you or your spouse were a distinguished service member, you may have the opportunity to live in a designated military retirement community. Or maybe you just want to live in an area that’s well suited for veterans’ needs.

VA Claims Insider used five key metrics to calculate the best states for military retirees:7 property tax exemptions, income tax waivers, state veterans benefits availability, federal VA expenditures and improvements per veteran, and the overall veteran population.

The five best states for military retirement:

1. Texas
2. Florida
3. Alaska
4. Nevada
5. Illinois

Texas leads the pack because it offers full property tax exemptions for disabled veterans and property tax reductions for disabled vets. It has no state income tax and exempts from taxation military retiree pay, Survivor Benefit Plan (SBP) payments, and VA disability compensation payments. Texas also offers an outstanding veteran benefits program to its retired veterans. As you can see, the financial element was key in these rankings.

WalletHub’s analysis wasn’t focused only on retirees, but the study’s aim was to help military veterans find the best places to live.8 Researchers compared 100 of the largest American cities and used 19 key indicators that involved livability, affordability, and veteran-friendliness.

The five best cities for military living (and retirement) were:

1. Raleigh, North Carolina
2. Austin, Texas
3. Orlando, Florida
4. Tampa, Florida
5. Virginia Beach, Virginia

Raleigh scored well in terms of veteran-friendliness, affordability, and livability. It also boasted the lowest number of homeless veterans per veteran in the entire nation.

» Learn About: Assisted Living in Raleigh, North Carolina

Military and academic experts used factors such as employment, economy, quality of life and health, housing affordability, veteran unemployment, and the number and quality of VA facilities for the rankings.

Maybe you’re already taking advantage of free and discounted senior stuff and tightening your belt as much as you can. As you decide where to retire, cost is very important. If you’re on a budget, you want to find a place that offers the comforts and amenities of retirement at a reasonable price.

» Useful Resource: How to Build a Budget on a Fixed Income

Your concern about finances is understandable. Many seniors now depend on Social Security to survive. About a quarter of senior households rely on Social Security benefits for 90 percent or more of their family income. Around half of seniors rely on Social Security benefits for 50 percent or more of their family income.9

Where are the super affordable places to retire? We’ve done the research for you. Here are the cheapest states, cities, and countries that offer inexpensive retirement. Hopefully this resource will lessen your worry about making ends meet and outliving your money.

Most Affordable States for Retirement

The Motley Fool found the rock-bottom cheapest states to retire.10 The places with the lowest cost of living lie in the Deep South and Midwest. If you’re living on a budget and don’t have much leeway, you might consider these states:

1. Mississippi
2. Oklahoma
3. Kansas
4. Alabama
5. West Virginia
6. Georgia
7. Missouri
8. Iowa
9. Arkansas
10. Tennessee

It’s good to know relocating to Mississippi can ease your worries about money, but almost one-quarter of seniors in Mississippi are poor. The Motley Fool reminds us that half the states listed above — Mississippi, West Virginia, Arkansas, Alabama, and Oklahoma — also feature on another top-10 list: the highest rate of senior poverty in the country. There are still plenty of great places to live in those states, but it’s important to do your due diligence when researching.

Most Affordable Cities for Retirement

If you’re interested in moving to a different, less expensive city — perhaps in your home state or a neighboring state — start with the list below. Comparing the 150 largest metropolitan areas in the country, the U.S. News study used data on housing affordability, as well as happiness, retiree taxes, the job market, access to quality health care, and more.11

The top 10 cheapest cities for retirement:

1. Youngstown, Ohio
2. Hickory, North Carolina
3. Springfield, Missouri
4. Brownsville, Texas
5. Huntington, West Virginia, and Ashland, Kentucky
6. Fort Wayne, Indiana
7. Winston-Salem, North Carolina
8. Mobile, Alabama
9. Toledo, Ohio
10. South Bend, Indiana

The cities above ranked well because of their low housing costs. In Youngstown, Ohio, for example, the median home price is about $138,000, the median mortgage cost is about $650 per month, and the median rent for an apartment is just over $700 per month.

If you want to sell the home you owned for 40 years and move somewhere more affordable, check out the list above. Researchers included cities that also scored well in theirranking of the best places to retire, which is even more reason to consider them.

You can travel during retirement even if you’re cash-strapped — especially if you choose to live in an affordable country. Many countries around the world offer high quality of living at an unbelievable price. Consider the type of environment you’re interested in and see which country best suits you.

So many baby boomers have not saved or have not been able to save for retirement, but they still want to travel and enjoy their lives. U.S. News and World Report identified the cheapest places to retire around the globe.12 Many are in stunning places with wonderful cultures.

Top countries where you can live on $1,000 per month (in alphabetical order):

• Malaysia
• Mexico
• Panama
• Philippines
• Portugal
• Thailand
• Vietnam

International Living came up with 13 great cities and islands to retire to that will meet your budget and cost only $1,500 per month:13

• Penang and Kuching, Malaysia
• Queretaro, Isla Mujeres, and Cozumel, Mexico
• Alicante and Granada, Spain
• Chiang Mai, Thailand
• Phnom Penh, Cambodia
• Hoi An, Vietnam
• Armenia, Colombia
• Arenal, Costa Rica
• Bergerac, France

Note that Malaysia, Mexico, Thailand, and Vietnam are represented on both lists.

Of the 13 cities above, you may notice five are in Southeast Asia, which is an affordable location for retirees. Lease a condo with sea views in Penang for less than $400 per month or find a place in Phnom Penh’s downtown for less than $500 per month.

You might also notice that three cities are in Mexico. The historic city of Querétaro andthe islands of Isla Mujeres and Cozumelalso offer housing for as low as $500 a month. If you didn’t think you could live in Europe cheaply, have a look at the above locations — two in Spain and one in France.

Keep in mind that although you are able to save a fortune by living in these countries and cities, other factors are important for your well-being. Check into security, health care, visa requirements, senior services, and other matters before you finalize your destination. Whatever you choose, you’re on your way to retiring in the best places!

That question has as many answers as there are people asking. Some factors will weigh more heavily than others. Here are important factors that experts and everyday people alike strongly advise you consider before you narrow down your search.

Cost of Living

For most seniors, affordability is the most important factor when deciding where to live. What is the median home price? What is the total state and local tax burden? Does the state tax IRAs and pensions? What is the median income? What is the state’s overall cost of living? What part-time jobs can you get there? Is the unemployment rate low?

Family and Friends

How important is it to live near family and friends? Do you want to live within driving distance of your grandkids? Do you want to have built-in friends around? Are you comfortable making new friends to add to your network? Are you aging alone and without family?

Climate

Are you tired of cold, wet winters? Consider the South or Southwest. Don’t like long, hot summers? Try the Northeast or Upper Midwest. Does the humidity bother your arthritis? Consider a state like Arizona orNew Mexicoin the dry Southwest.

Coastal areas in states such asFlorida, Alabama, Georgia,Mississippi, andLouisianacan experience frequent tropical storms and hurricanes. Are you prepared to deal with potential evacuations, ready to board up your home’s windows, and conduct other safety measures? Insurance costs in hurricane zones can be astronomical. If you sacrifice your retirement dream of sunshine and beaches, remember the drawbacks of long and cold winters that come with high heating costs.

Transportation and Safety

Does the place you want to retire to have trolleys or buses so it’s easy to get around? Have you checked whether there are high levels of burglaries, car thefts, and other crimes in the area you want to live? Determine how important it is to live in a city that’s ranked lower because of its crime rate.

Activities

When you retire, you’ll probably have lots more free time. What activities do you plan to do? Golfing? Gambling? Fishing? Hiking? Maybe you’re working to add to your retirement savings and have hobbies such as quilting or volunteering at a local history museum you’d like to continue in your retirement location. Do you want to travel and stay in mobile home parks? Get a feel for the lifestyle and community you desire by going online. Check out local clubs and associations too.

Living in a college-affiliated retirement community may be perfect if you’re a lifelong learner. Do you value a world-class arts location? Consider being close to a large city. If you’re a traveler, make sure you live close to a major airport.

Health Care

As you age, you may need more frequent or urgent medical attention. Is there quality care nearby? If you have specific medical needs, are there physicians and facilities close by that specialize in your particular condition? Although you may value country living and the call of the wild, perhaps you’ll want to choose an area closer to a better-rated medical center that can address your specific condition.