Are you considering retiring nearby or do you want to go further afield? Kiplinger recently published rankings that reveal the best states to live in when it comes to retirement finances. Some of the results may surprise you.
The states are ranked according to the cost of living for retirees. The retirement costs that are considered include taxes for retirees, the cost of healthcare, living expenses, household incomes, population health in the state, poverty rates, and the general economic wellness of each state.
To get the retirement cost rankings, taxes for retirees are broken down into five categories ranging from most friendly to least friendly. The cost of living includes housing, food, transportation, utilities, and miscellaneous expenses. As for healthcare prices, they include out-of-pocket expenses, as well as Medicare, supplemental insurance, and dental insurance costs.
So, what were the rankings?
The list starts with South Dakota, home of Mount Rushmore, which gets 1st place for being extremely affordable.
- Hawaii is in 2nd place for low health care costs and a high average income for retired households.
- Georgia ranks at 3rd for being tax-friendly as well as having generally affordable retirement costs.
- North Dakota is number four with below average healthcare costs, extremely low income taxes, and affordable living.
- Tennessee is 5th for being tax-friendly with lower healthcare costs.
- Alabama comes in 6th with a cost of living that is 13 percent below the national average.
- Virginia is number 7 with high household incomes and below average healthcare costs.
- Florida, despite being a popular retirement destination, is 8th on the list.
- New Hampshire is number 9 for being tax-friendly with great senior health.
- Utah is 10th. The taxes are not friendly, but everything else is.
- Idaho is number 11, partly because your social security benefits will not be taxed by the state if you live there.
- South Carolina is 12th with its mild weather. It has below average health care and living expenses.
- Iowa ranks as the 13th state on the list with a low cost of living as well as affordable healthcare.
- Pennsylvania is 14th with one of the friendliest tax situations as well as reasonable healthcare.
- Delaware is 15th with the advantage of being a tax-friendly location.
Was your state missing from the list? That doesn’t necessarily mean it is a bad place to retire. It simply may require some extra thought and effort to put all the pieces together when planning for a great retirement in the location that is perfect for you.
We can Help! Our local advisors can help your family make a confident decision about senior living.