Key Metrics at a Glance
25
States Ranked
16
No SS Tax
$180K-$830K
Home Price Range
/30
Scoring System
What Retirees Actually Care About
After talking to hundreds of retirees and pre-retirees, the same five factors come up every time -- and they are not what the glossy "best places to retire" listicles emphasize.
1. Tax Burden
The difference between a high-tax and zero-tax state can be $10,000-30,000 per year. Over a 25-year retirement, that is $250,000-750,000. Nine states have no income tax at all. Many others exempt Social Security.
2. Healthcare Access
The #1 factor that becomes non-negotiable after 70. Proximity to quality hospitals, specialists, and emergency care matters more every year. States with academic medical centers (Duke, Mayo, Cleveland Clinic) have a structural advantage.
3. Climate
Warm weather reduces heating costs, enables year-round outdoor activity, and is medically beneficial for arthritis and joint pain. But "warm" does not have to mean Florida -- Arizona, New Mexico, and even Tennessee offer excellent retirement climates.
4. Cost of Living
Housing alone varies from $180K (Mississippi) to $830K (Hawaii). A dollar in Alabama buys nearly twice what it does in Washington. Your retirement savings last dramatically longer in affordable states.
5. Proximity to Family
The most common reason retirees move back from their "dream state" is distance from grandchildren. No spreadsheet captures how much it hurts to be 1,500 miles away when your grandkid takes their first steps. Factor in flight costs and frequency before making a purely financial decision.
The Rankings
25 states. 3 ratings each. Scored by someone who chose Miami Beach and has no regrets.
Florida
27/30SouthNotable Retirement Cities
Miami Beach, Naples, Sarasota, The Villages, St. Petersburg, Fort Myers, Jacksonville
Overview
Florida dominates retirement rankings for a reason: zero state income tax, zero tax on Social Security, zero estate tax, and year-round warmth. The state has the highest percentage of residents 65+ in the continental US and has built an entire infrastructure around retirees -- world-class healthcare systems (Mayo Clinic Jacksonville, Cleveland Clinic Weston), 55+ communities at every price point, and more golf courses than any state in America. The cost of living varies wildly: inland and panhandle areas are genuinely affordable, while coastal cities like Miami Beach and Naples carry premium price tags. But even in pricier areas, the tax savings alone can be worth $10,000-30,000 per year compared to high-tax states.
Climate
Subtropical -- warm winters, hot summers, occasional hurricanes. 230+ days of sunshine per year.
Glen's Take
I live in Miami Beach and I am biased, but the bias is earned. There is no income tax, no tax on my Social Security when I get there, no estate tax for my heirs, and I get 230 days of sunshine. My healthcare access is phenomenal -- Cleveland Clinic is 20 minutes away. The tradeoff is hurricane season and the fact that summers are brutal. But retirees have the luxury of snowbirding north for July and August. If you have the means, coastal Florida is paradise. If you are on a tighter budget, the Gulf Coast from Fort Myers to Panama City is shockingly affordable with the same tax advantages.
Tennessee
26/30SouthNotable Retirement Cities
Nashville, Knoxville, Chattanooga, Franklin, Gatlinburg, Memphis
Overview
Tennessee is a retirement powerhouse. Zero state income tax (the Hall Tax on investment income was fully repealed in 2021), no tax on Social Security, and a cost of living 10-12% below the national average. Nashville's healthcare corridor includes Vanderbilt University Medical Center and HCA Healthcare's global headquarters -- the largest for-profit hospital operator in the world. Knoxville and Chattanooga offer mountain living with mild four-season climates, thriving downtown scenes, and home prices that remain reasonable despite significant growth. Tennessee also has no estate or inheritance tax.
Climate
Four mild seasons. Cool winters (rarely below 20F in middle/west TN), warm summers. Smoky Mountains offer cooler elevation.
Glen's Take
Tennessee is probably the single best value proposition for retirees in America right now. You get zero income tax like Florida, but you also get actual seasons, mountains, and a lower cost of living. Nashville has become a legitimate tier-one city with world-class healthcare, and Chattanooga is one of the most underrated small cities in the country. If I were not a beach person, I would seriously consider Knoxville -- Smoky Mountains in your backyard, SEC football, no income tax, and a $315K average home price. The only knock is that healthcare quality outside of Nashville drops off.
South Carolina
25/30SouthNotable Retirement Cities
Charleston, Hilton Head, Greenville, Myrtle Beach, Beaufort, Bluffton
Overview
South Carolina exempts Social Security from state income tax and offers a generous $15,000 retirement income deduction for those 65+. Property taxes are among the lowest in the nation thanks to the homestead exemption for seniors. Charleston consistently ranks as one of the best cities in America for food, culture, and walkability. Hilton Head and Bluffton have become premier retirement destinations with resort-level amenities. Greenville in the upstate has transformed into a thriving small city with an award-winning downtown. Healthcare includes MUSC in Charleston, one of the top academic medical centers in the Southeast.
Climate
Mild winters, warm-to-hot summers. Coastal areas are subtropical. Upstate has four seasons with moderate snowfall.
Glen's Take
I have friends who retired to Hilton Head and they are insufferably happy about it. Charleston is one of the best food cities in America (I put it top 5 personally), and you can actually afford to live there unlike the food capitals of NYC and San Francisco. The tax picture is strong -- Social Security is exempt, and the senior deduction covers a meaningful chunk of retirement income. Greenville has had a stunning renaissance and offers mountain-adjacent living at prices that would make Colorado residents weep. South Carolina is the Goldilocks state: not too hot, not too cold, not too expensive, not too boring.
Texas
24/30SouthNotable Retirement Cities
San Antonio, Austin, Houston (medical center), Fredericksburg, Georgetown, Corpus Christi
Overview
Texas offers zero state income tax and no tax on any retirement income including Social Security, pensions, and 401(k) withdrawals. The Texas Medical Center in Houston is the largest medical complex in the world -- 60+ institutions on a single campus. San Antonio and the Hill Country have become retirement magnets with affordable homes, military healthcare (BAMC), and a relaxed pace. The catch is property taxes: Texas compensates for no income tax with property tax rates of 1.6-2.5%, which can sting on higher-value homes. Also, summers are genuinely oppressive -- 100F for weeks at a stretch in most of the state.
Climate
Varies dramatically. South Texas is subtropical, central is hot and dry, panhandle has cold winters. Summers are brutally hot statewide.
Glen's Take
Texas is phenomenal if you buy a modest home and devastating if you buy a McMansion. The zero income tax saves you a fortune on retirement withdrawals, but the 2% property tax on a $500K home is $10,000 a year. Do the math on your specific situation. San Antonio is the sweet spot for retirees -- USAA headquarters, military base healthcare, incredible Tex-Mex, and it is genuinely affordable. Austin has gotten expensive and honestly overrated for retirees (it is a young person's city). The Hill Country around Fredericksburg and Wimberley is stunning. Just budget for AC bills that will make you question your life choices from June through September.
Arizona
24/30WestNotable Retirement Cities
Scottsdale, Tucson, Prescott, Sedona, Mesa, Sun City, Green Valley
Overview
Arizona practically invented the modern retirement community -- Sun City opened in 1960 and changed American retirement forever. The state does not tax Social Security benefits and recently moved to a flat 2.5% income tax rate, one of the lowest in the nation. The dry climate is a genuine medical benefit for people with arthritis, respiratory issues, and joint pain. Scottsdale and the Phoenix metro have world-class healthcare (Mayo Clinic Scottsdale, Banner Health, HonorHealth). Tucson offers a more affordable alternative with the University of Arizona medical system. Prescott and Sedona provide mountain escapes from the desert heat.
Climate
Desert -- dry heat, 300+ days of sunshine, mild winters, scorching summers (Phoenix regularly hits 115F). Flagstaff and Prescott offer cooler mountain climates.
Glen's Take
Arizona is the state where I tell people: pick your elevation carefully. Phoenix and Scottsdale at 1,100 feet are 115F in summer and that is not an exaggeration. Prescott at 5,400 feet is 85F max in summer with cool nights. Flagstaff at 7,000 feet has actual snow. Same state, completely different climates. The dry heat genuinely does feel better than humidity -- my friends with arthritis swear by it. Mayo Clinic Scottsdale alone is worth considering Arizona. But home prices in Scottsdale have gotten ridiculous. Tucson is the value play -- great food scene, lower prices, University of Arizona hospital, and you are 90 minutes from the Mexican border for cheap dental and prescriptions.
North Carolina
24/30SouthNotable Retirement Cities
Asheville, Wilmington, Durham, Chapel Hill, Charlotte, Pinehurst, Brevard
Overview
North Carolina exempts Social Security from state tax and has a flat 4.5% income tax rate on other retirement income. But the real draw is healthcare: Duke University Hospital, UNC Hospitals, and Wake Forest Baptist are all ranked among the best in the nation, forming the Research Triangle healthcare corridor. Asheville has become a premier mountain retirement destination with a vibrant arts and food scene. The Outer Banks and Wilmington offer coastal living. Pinehurst is golf paradise. The state offers mountains, piedmont, and coast within a 4-hour drive. Cost of living is 5-8% below the national average outside of Charlotte and Raleigh.
Climate
Three distinct regions. Coastal is mild and humid, Piedmont has four seasons, mountains have cool summers and snowy winters.
Glen's Take
North Carolina has arguably the best healthcare access for retirees of any state on this list. Duke, UNC, and Wake Forest within driving distance of each other means you have three world-class hospital systems competing for your business. Asheville is magical if you like craft beer, art galleries, and mountains -- but it has gotten pricey and the vibe is very specific (think Portland meets Appalachia). For my money, the sweet spot is somewhere in the Piedmont -- places like Brevard or Hendersonville give you mountain living at a fraction of Asheville prices. Just know that North Carolina does tax pension income and 401(k) withdrawals, so the tax picture is not as clean as Florida or Tennessee.
Georgia
23/30SouthNotable Retirement Cities
Savannah, Athens, Augusta, St. Simons Island, Blue Ridge, Dahlonega
Overview
Georgia excludes Social Security from state income tax and offers a generous retirement income exclusion of $65,000 per person for those 62-64, increasing to $130,000 per person at 65+. This effectively makes most retirees' income tax-free. Savannah is one of America's most beautiful cities with a remarkably low cost of living for a coastal destination. The North Georgia mountains around Blue Ridge and Dahlonega offer Appalachian mountain living at a fraction of western North Carolina prices. Augusta has the Medical College of Georgia. Atlanta (for those who want big city access) has Emory University Hospital, one of the top-ranked systems in the Southeast.
Climate
Humid subtropical. Mild winters (rarely below freezing in central/south), hot summers. North Georgia mountains offer cooler temperatures.
Glen's Take
Georgia is sneaky good for retirees and most people overlook it. That $130,000 per person retirement income exclusion at 65+ is enormous -- a retired couple can have $260,000 in retirement income and pay zero Georgia income tax on it. That is functionally as good as Florida or Tennessee for most retirees. Savannah is one of my favorite cities in America -- Spanish moss, walkable historic district, incredible food, and median home prices well below Charleston despite being equally charming. Blue Ridge in North Georgia is what Asheville was 15 years ago: mountain town, artsy, affordable, before the influencers discovered it. Get in before they do.
Nevada
23/30WestNotable Retirement Cities
Las Vegas, Henderson, Reno, Mesquite, Boulder City, Pahrump
Overview
Nevada has zero state income tax, zero tax on Social Security, zero tax on pensions, and zero estate tax. It is one of the cleanest tax pictures in the country for retirees. Las Vegas has evolved far beyond casinos into a legitimate metro with world-class entertainment, dining, and surprisingly good healthcare (Cleveland Clinic Lou Ruvo Center for Brain Health). Henderson, just south of Vegas, consistently ranks among the safest and most livable cities in America. Reno offers a completely different vibe -- proximity to Lake Tahoe, four seasons, and a growing tech scene. The cost of living is moderate, though Las Vegas housing has appreciated significantly.
Climate
Desert. Las Vegas is hot and dry (similar to Phoenix). Reno has four seasons with cold, snowy winters. 300+ days of sunshine statewide.
Glen's Take
Las Vegas gets dismissed as a retirement destination because people picture the Strip. Henderson and Summerlin are nothing like the Strip -- they are clean, planned suburban communities with excellent amenities. The entertainment value is unmatched: every major concert, show, and sporting event comes to Vegas. The tax picture is pristine. The downside is healthcare: Nevada's hospital systems are not in the same league as Florida or North Carolina. If you have complex medical needs, that matters. Also, the desert is the desert -- you are living in a place that was not designed for human habitation, and your water bill reflects it. But for healthy, active retirees who want entertainment and zero taxes, it is hard to beat.
Virginia
23/30SouthNotable Retirement Cities
Williamsburg, Charlottesville, Virginia Beach, Roanoke, Fredericksburg, Lexington
Overview
Virginia exempts Social Security from state income tax and offers an age deduction for those 65+. But the real attraction is the quality of life: Charlottesville (University of Virginia), Williamsburg (historic charm, William & Mary), and the Shenandoah Valley offer some of the most culturally rich and scenically beautiful retirement living in America. Virginia has exceptional healthcare -- UVA Health, VCU Medical Center, and Inova Fairfax are all nationally ranked. The cost of living is above average in Northern Virginia but very reasonable in the western and southern parts of the state. Military retirees love the Hampton Roads area with its proximity to bases and VA facilities.
Climate
Four seasons. Mild coastal climate in Tidewater, cooler in the Blue Ridge and Shenandoah Valley. Hot, humid summers; mild winters with occasional snow.
Glen's Take
Virginia is the intellectual retiree's paradise. Charlottesville has UVA, Monticello, a world-class food and wine scene, and the Blue Ridge Parkway in your backyard. Williamsburg is living history with modern amenities. The Shenandoah Valley is drop-dead gorgeous. The tax picture is decent (Social Security exempt, age deduction), but not as clean as the zero-tax states. Where Virginia really shines is healthcare access and cultural richness -- these are things that matter more and more as you age. Just avoid Northern Virginia unless you enjoy sitting in traffic on I-66 and paying DC-adjacent prices for the privilege.
Colorado
22/30WestNotable Retirement Cities
Fort Collins, Colorado Springs, Grand Junction, Durango, Pueblo, Canon City
Overview
Colorado exempts Social Security from state income tax for those 55-64 (up to $20,000) and fully exempts it at 65+. The state also excludes up to $24,000 of pension/annuity income at 65+. Colorado's appeal is lifestyle: 300 days of sunshine, world-class outdoor recreation, low humidity, and a culture of active aging that is unmatched in America. Fort Collins and Colorado Springs offer more affordable alternatives to Denver and Boulder. Healthcare is excellent -- UCHealth, SCL Health, and Centura Health provide comprehensive coverage along the Front Range. The altitude (5,000-6,000 feet) is a genuine health consideration for those with cardiac or respiratory issues.
Climate
300 days of sunshine, dry air, four seasons. Mild Front Range winters, heavy mountain snow. Cool summers at elevation. Low humidity year-round.
Glen's Take
Colorado is the retirement destination for people who refuse to act retired. If your idea of retirement is hiking, skiing, biking, and craft breweries, Colorado is your promised land. Fort Collins is the best college town in America (fight me) and Colorado Springs has become a legitimate metro with lower prices than Denver. The tax picture has gotten much better -- full Social Security exemption at 65 is huge. Two warnings: the altitude is real and some people never adjust (headaches, shortness of breath, sleep issues), and the cost of living along the Front Range has gotten steep. Grand Junction on the Western Slope is the value play -- wine country, red rock desert, 250K population, and prices 30% below Denver.
Delaware
22/30NortheastNotable Retirement Cities
Rehoboth Beach, Lewes, Wilmington, Dover, Bethany Beach, Middletown
Overview
Delaware is a tax haven hiding in plain sight. No state sales tax, Social Security is fully exempt from state income tax, and those 60+ get a $12,500 exclusion on other retirement income. Property taxes are among the lowest in the nation. Rehoboth Beach and Lewes have become premier mid-Atlantic retirement destinations -- charming coastal towns with excellent restaurants, boardwalks, and a relaxed pace. Delaware also has no estate tax under $5.49 million. The state is tiny (you can drive end to end in 2 hours), which means everything is accessible. Christiana Care and Bayhealth provide solid healthcare coverage.
Climate
Four seasons with mild winters and warm summers. Coastal influence moderates temperatures. Beach towns have pleasant summers.
Glen's Take
Delaware is the quiet achiever on this list. No sales tax is something you appreciate every single day -- not just at tax time. Rehoboth Beach is what a beach town should be: walkable, charming, not overrun with chain restaurants, and significantly cheaper than the comparable towns in New Jersey or Maryland. The tradeoff is that Delaware is small and there is not a lot of variety. But for retirees who want beach living, low taxes, proximity to Philadelphia, Baltimore, and DC (all within 2 hours), and a cost of living that is not insane, Delaware checks a lot of boxes. It is the state where accountants retire.
New Hampshire
22/30NortheastNotable Retirement Cities
Portsmouth, Hanover, Concord, Keene, Laconia, Wolfeboro
Overview
New Hampshire has no state income tax (the interest and dividends tax was fully repealed in 2025), no sales tax, and no tax on Social Security or retirement income of any kind. It is one of only two states (along with Montana in some areas) with both no income tax and no sales tax. Healthcare is excellent for a small state -- Dartmouth-Hitchcock Medical Center is nationally ranked. The Lakes Region around Winnipesaukee and the Upper Valley around Hanover offer stunning natural beauty. The catch is obvious: winters are harsh, home prices have surged, and the cost of living is above average for everything except taxes. But for retirees prioritizing tax efficiency, New Hampshire is a fortress.
Climate
Four distinct seasons. Cold, snowy winters (especially north). Beautiful fall foliage. Mild summers. Lakes and mountains.
Glen's Take
New Hampshire is the libertarian retiree's dream: no income tax, no sales tax, live free or die. And with the interest/dividends tax gone as of 2025, it is truly zero tax on all income for retirees. The problem is that everything else costs more -- housing, heating oil (budget $3,000-5,000 per winter), and groceries are all above average. If you have a robust retirement portfolio and are optimizing for tax efficiency, New Hampshire is mathematically compelling. Portsmouth is one of New England's best small cities -- walkable, historic, incredible food scene. But I would not recommend it to anyone who hates shoveling snow or whose bones ache below 30 degrees. That eliminates a lot of retirees.
Alabama
22/30SouthNotable Retirement Cities
Huntsville, Fairhope, Mobile, Gulf Shores, Auburn, Birmingham
Overview
Alabama exempts Social Security and most public pension income from state tax, and it has one of the lowest costs of living in America. The average home price of $230,000 is the second lowest on this list. Fairhope on Mobile Bay has been called one of America's best small towns -- charming downtown, bayfront living, and a surprisingly sophisticated culture. Huntsville has NASA and the defense corridor with excellent infrastructure and a growing tech scene. Gulf Shores offers beach living at prices that would make Florida coastal towns blush. The healthcare is the weakness -- Alabama ranks in the bottom quartile nationally for hospital quality, though UAB in Birmingham is a notable exception.
Climate
Mild winters, hot and humid summers. Gulf Coast is subtropical. Northern Alabama has four mild seasons.
Glen's Take
Alabama is the pure value play. A $230K average home price means your retirement dollars stretch further here than almost anywhere. Fairhope is genuinely one of the most charming small towns I have visited -- it sits on Mobile Bay with stunning sunsets, a walkable downtown, and a culture that punches way above its weight class. The Gulf Shores beaches are beautiful and the seafood is incredible. The honest downside is healthcare: outside of UAB in Birmingham, the hospital systems are not where you want them to be for aging. If you are healthy and want maximum purchasing power, Alabama is outstanding. If you have significant medical needs, factor in travel to Birmingham or consider a state with stronger healthcare.
Pennsylvania
21/30NortheastNotable Retirement Cities
Lancaster, State College, Gettysburg, Pittsburgh, Jim Thorpe, Bucks County
Overview
Pennsylvania fully exempts all retirement income from state income tax -- Social Security, pensions, 401(k) distributions, and IRA withdrawals are all tax-free at the state level. This is one of the most generous retirement tax policies in the nation. The healthcare infrastructure is world-class: UPMC (Pittsburgh), Penn Medicine and Jefferson (Philadelphia), and Geisinger spread throughout central PA. Lancaster County offers pastoral beauty, farm-to-table culture, and a cost of living well below the state average. Pittsburgh has reinvented itself as a healthcare and tech hub with genuinely affordable housing. The Poconos and Bucks County provide scenic retreats within reach of major metros.
Climate
Four distinct seasons. Cold winters with snow, warm summers. Western PA gets lake-effect snow. Southeast has milder winters.
Glen's Take
Pennsylvania is hugely underrated for retirement because people associate it with Philadelphia and Pittsburgh and forget about everything in between. The tax exemption on ALL retirement income is extraordinary -- that includes your 401(k) and IRA withdrawals, not just Social Security. Lancaster is a hidden gem: gorgeous countryside, incredible food (the farmers markets are life-changing), a vibrant arts scene, and home prices that are absurdly reasonable for the quality of life. Pittsburgh is the best value big city in America and the healthcare at UPMC is genuinely top-tier. The winter is real (plan for November through March), but if you can handle cold weather, the financial math is hard to beat.
Mississippi
21/30SouthNotable Retirement Cities
Oxford, Ocean Springs, Natchez, Madison, Hattiesburg, Bay St. Louis
Overview
Mississippi exempts Social Security from state income tax and has the lowest cost of living in America. The average home price of $180,000 is the cheapest on this list by a significant margin. Oxford (home of Ole Miss) is a cultured college town with William Faulkner's legacy, a legendary Square, and a food scene anchored by City Grocery. Ocean Springs and Bay St. Louis on the Gulf Coast offer artsy, laid-back beach living at prices that seem like a misprint. The unavoidable reality: Mississippi ranks last or near-last in healthcare quality, education, and infrastructure. You are trading amenities and healthcare access for maximum purchasing power.
Climate
Mild winters, hot and humid summers. Gulf Coast has subtropical climate with hurricane exposure. Long growing season statewide.
Glen's Take
Mississippi is a polarizing pick and I am going to be honest about it. The cost of living is unbeatable -- you can buy a nice house for what a down payment costs in most coastal cities. Oxford is legitimately wonderful: great food, college town energy, literary culture, SEC football. Ocean Springs is an artsy Gulf Coast town that feels like it should cost twice what it does. But the healthcare situation gives me pause for retirees. When you are 70 and need a cardiologist, you do not want to drive 3 hours to find a good one. Mississippi is a great choice if you are healthy, active, and not dependent on proximity to top-tier hospitals. Know the tradeoff going in.
Wyoming
21/30WestNotable Retirement Cities
Sheridan, Cody, Lander, Thermopolis, Cheyenne, Jackson (expensive)
Overview
Wyoming has zero state income tax, zero tax on retirement income, no estate tax, and no inheritance tax. The tax picture is immaculate. The state is stunningly beautiful -- Yellowstone, Grand Teton, Devils Tower, and the Bighorn Mountains are all within its borders. Sheridan and Cody offer charming Western town living with reasonable costs. Thermopolis has natural hot springs and a welcoming small-town atmosphere. The tradeoffs are real: Wyoming is remote, healthcare options are extremely limited (no major academic medical centers), winters are severe, and the population density is the second-lowest in the nation. It is retirement for people who crave space, independence, and natural beauty above all else.
Climate
High-altitude semi-arid. Cold winters with significant snow, mild summers, very low humidity. Extreme wind in many areas. 300+ days of sunshine.
Glen's Take
Wyoming is the retirement state for rugged individualists. If your ideal day involves zero interaction with crowds, stunning mountain views, and the freedom that comes from genuinely no taxes, Wyoming delivers. Sheridan is arguably the best small town in the American West -- 18,000 people, Bighorn Mountains as a backdrop, craft breweries, and a Main Street that looks like a movie set. But I need to be real: if you have a medical emergency in Cody, you are getting helicoptered to Billings, Montana. The healthcare infrastructure is not built for aging populations with complex needs. Wyoming is a phenomenal retirement state for healthy, self-sufficient people who love the outdoors. It is a concerning choice if you need regular specialist appointments.
Idaho
20/30WestNotable Retirement Cities
Boise, Coeur d'Alene, Sun Valley, Twin Falls, McCall, Sandpoint
Overview
Idaho exempts Social Security from state income tax and has a flat 5.8% rate on other income. The state has exploded in popularity with retirees fleeing California and the Pacific Northwest, drawn by lower taxes, lower cost of living, and a more conservative political climate. Boise offers genuine city amenities with a small-town feel. Coeur d'Alene and Sandpoint in the panhandle have world-class lake and mountain scenery. The Boise metro has solid healthcare through St. Luke's and Saint Alphonsus systems. Home prices have surged due to the influx, particularly in Boise and Coeur d'Alene, making the value proposition less compelling than five years ago.
Climate
Four seasons. Cold winters with good snow (especially in mountains), warm dry summers. Southern Idaho is high desert. Northern Idaho is greener and wetter.
Glen's Take
Idaho was one of the best-kept retirement secrets in America until about 2020, when California refugees discovered it and bid up home prices by 50-60%. Boise is still a great city -- clean, safe, four seasons, excellent river system for outdoor recreation -- but a $450K average home price takes some of the shine off. Coeur d'Alene is breathtakingly beautiful and genuinely feels like a vacation every day. The value play is Twin Falls or Pocatello -- still very affordable, still Idaho quality of life, without the Boise premium. Healthcare is adequate but not exceptional. If you can afford the new Idaho prices and want a lifestyle-first retirement in one of America's most beautiful states, it delivers.
Montana
20/30WestNotable Retirement Cities
Bozeman, Missoula, Helena, Kalispell, Billings, Whitefish
Overview
Montana exempts Social Security from state tax and recently reduced its top income tax rate. There is no sales tax -- one of only five states without one. Glacier National Park, Yellowstone (north entrance), and the Rocky Mountain Front make Montana one of the most scenically spectacular states in America. Bozeman has boomed into a legitimate small city with great restaurants, outdoor recreation, and Montana State University. Missoula offers a similar vibe with a more liberal, university-town culture. The challenges are similar to Wyoming: harsh winters, limited healthcare (though Billings and Bozeman have improved), remote locations, and home prices that have surged dramatically since 2020.
Climate
Northern mountain climate. Cold, snowy winters (especially west of the Divide). Beautiful, mild summers. Very low humidity. Big sky country is not just a slogan.
Glen's Take
Montana is what happens when the rest of America discovers a beautiful place with no sales tax: prices skyrocket. Bozeman was a $250K-average-home town five years ago and now it is pushing $600K in many neighborhoods. That said, if you can afford it, the quality of life is extraordinary. The summers in Montana might be the best in America -- 80 degrees, zero humidity, 16 hours of daylight, mountains everywhere. Winters are the filter that keeps Montana from being overrun (it hits -20F and stays there). Kalispell near Glacier is the retiree sweet spot: slightly more affordable than Bozeman, close to Flathead Lake, and Glacier National Park is in your backyard. Healthcare is the Achilles heel -- plan for travel to larger facilities when needed.
New Mexico
20/30WestNotable Retirement Cities
Santa Fe, Las Cruces, Albuquerque, Taos, Silver City, Truth or Consequences
Overview
New Mexico exempts Social Security from state income tax for individuals earning under $100,000 ($150,000 for couples) and offers additional retirement income deductions. The state has a unique cultural richness -- Native American, Spanish, and Anglo traditions create a distinctive arts, food, and architectural scene found nowhere else in America. Santa Fe is a world-class cultural destination with opera, galleries, and James Beard-level restaurants. Las Cruces in the south offers warm winters and a cost of living well below the national average. The downsides: healthcare ranks in the bottom quartile, infrastructure is uneven, and the economy is heavily dependent on government and military spending.
Climate
High desert. Sunny, dry, and mild at elevation. Santa Fe at 7,000 feet has four seasons. Southern NM is warm year-round. 300+ days of sunshine.
Glen's Take
New Mexico is the most culturally interesting state in America and I will die on that hill. Santa Fe is unlike any other city in the US -- the light, the art, the food, the architecture. It feels like another country in the best possible way. The climate at elevation is genuinely perfect: 300 days of sunshine, low humidity, cool nights. Green chile on everything. The problem is the same as always with beautiful, affordable states: the healthcare is not great and the infrastructure outside of the I-25 corridor is rough. Santa Fe itself has good enough medical care for routine needs, but for serious procedures you are going to Albuquerque or beyond. If cultural richness and natural beauty matter more to you than a hospital ranking, New Mexico is unbeatable.
Utah
20/30WestNotable Retirement Cities
St. George, Cedar City, Park City, Logan, Provo, Moab
Overview
Utah taxes Social Security and retirement income at a flat 4.65%, but offers a retirement tax credit that reduces or eliminates the burden for moderate-income retirees. The state's appeal is lifestyle and healthcare: Intermountain Health is one of the most respected health systems in America, and the outdoor recreation is world-class (5 national parks, 14 ski resorts, endless hiking). St. George has become a premier retirement destination with warm winters, red rock scenery, and proximity to Zion National Park. Utah has the lowest percentage of seniors on this list (11.8%), which means less retirement-specific infrastructure but also fewer crowds at popular destinations.
Climate
Four seasons. Dry with excellent snow (Greatest Snow on Earth). Hot summers in valleys, cool at elevation. St. George in south is warm year-round.
Glen's Take
Utah is the state where the scenery is so spectacular that you overlook the mediocre tax picture. Five national parks in one state -- Zion, Bryce Canyon, Arches, Canyonlands, and Capitol Reef -- plus the best skiing in America. St. George is the retiree magnet: warm winters, golf, hiking, and Zion is 45 minutes away. Intermountain Health is genuinely excellent, which matters enormously when you are choosing where to age. The tax situation is not ideal (they do tax Social Security, though the credit helps), and home prices along the Wasatch Front have gotten aggressive. Cedar City is the value play: Southern Utah scenery, Utah Shakespeare Festival, Cedar Breaks National Monument, and prices 30-40% below St. George.
Oregon
19/30WestNotable Retirement Cities
Bend, Ashland, Hood River, Eugene, Medford, Newport
Overview
Oregon has no sales tax and exempts Social Security from state income tax. However, the state income tax rate is steep -- up to 9.9% on other retirement income, one of the highest in the nation. Bend has become the poster child for active retirement in the Pacific Northwest: craft breweries, skiing at Mt. Bachelor, world-class fly fishing, and 300 days of sunshine (east of the Cascades). Ashland offers the Oregon Shakespeare Festival and a vibrant cultural scene. The Oregon coast is hauntingly beautiful if you can handle the grey. Healthcare is solid through OHSU, Providence, and Legacy systems. The cost of living has risen sharply, particularly in Bend and the Willamette Valley.
Climate
Varies dramatically. Western Oregon is mild and rainy (Portland gets 155 rainy days/year). Central and Eastern Oregon are dry and sunny. Coast is cool and windy year-round.
Glen's Take
Oregon is a tale of two states divided by the Cascade Range. West of the Cascades is green, rainy, and liberal (Portland). East of the Cascades is dry, sunny, and more moderate (Bend). For retirement, I think Bend is the play -- it has the sunshine that Portland lacks, the outdoor recreation is insane, and the brewery-to-person ratio might be the highest in America. The no-sales-tax benefit is meaningful for daily spending. But that 9.9% income tax on non-Social-Security income is a gut punch for retirees with significant pension or 401(k) withdrawals. Do the math carefully: if your retirement income is mostly Social Security, Oregon looks great. If you are pulling $100K+ from a 401(k), the tax bill will sting.
Washington
19/30WestNotable Retirement Cities
Sequim, Port Townsend, Walla Walla, Bellingham, San Juan Islands, Leavenworth
Overview
Washington has no state income tax, meaning zero tax on Social Security, pensions, and all retirement income. However, a new capital gains tax (7% on gains over $250,000) was upheld by the state supreme court in 2023. The cost of living is the highest on this list outside of Hawaii, driven primarily by Seattle-area housing. But retirees can find value: Sequim on the Olympic Peninsula sits in a rain shadow and gets less rainfall than Los Angeles. Walla Walla is wine country with a charming downtown. Port Townsend is a Victorian seaport town with a thriving arts community. Healthcare is strong through UW Medicine and Virginia Mason.
Climate
Western WA is mild and cloudy (Seattle gets 150+ cloudy days). Eastern WA is dry and sunny with cold winters. San Juan Islands have a rain shadow effect.
Glen's Take
Washington is a stealth retirement destination if you know where to look. Everyone thinks Seattle (too expensive, too rainy) and misses the gems. Sequim gets 16 inches of rain per year -- less than Los Angeles -- because the Olympic Mountains block the Pacific moisture. It is full of retirees for exactly that reason. Port Townsend is one of the most charming small towns in America. Walla Walla has gone from a farming town to a world-class wine destination. The no-income-tax advantage is massive, but you pay for it in housing and general cost of living. The value proposition works best for retirees with significant retirement income (the tax savings outweigh the higher living costs) living outside the Seattle metro.
Maine
19/30NortheastNotable Retirement Cities
Portland, Camden, Bar Harbor, Kennebunkport, Brunswick, Belfast
Overview
Maine exempts Social Security from state income tax and offers a pension income deduction of $25,000. The state has the second-highest percentage of seniors in the nation (21.2%), which means retirement infrastructure is well-developed. Portland has become one of America's best food cities -- pound for pound, the restaurant scene rivals cities ten times its size. The Maine coast from Kennebunkport to Bar Harbor is arguably the most beautiful coastline in the eastern US. Acadia National Park is a jewel. Healthcare is solid through MaineHealth and Northern Light Health systems. The tradeoff is obvious: winters are long, dark, and cold, and the cost of living is above average.
Climate
Four seasons with cold, snowy winters and mild, beautiful summers. Coastal areas moderated by the ocean. Fall foliage is spectacular. Short but glorious summers.
Glen's Take
Maine is for retirees who prioritize natural beauty and food over warmth and tax efficiency. Portland is a revelation -- I had some of the best meals of my life there, and it is a walkable, safe, genuinely charming city. The coast is stunningly beautiful in a way that is completely different from Florida or California -- rocky shores, lighthouses, lobster shacks, harbor towns where time moves slowly. But I cannot sugarcoat the winter: it is November through April of cold, dark, snowy reality. If that sounds cozy to you (wood stove, good books, hearty soups), Maine is paradise. If it sounds depressing, look south. Also, the cost of heating a Maine home all winter is a genuine budget line item that surprises people.
Vermont
18/30NortheastNotable Retirement Cities
Burlington, Stowe, Woodstock, Bennington, Manchester, Brattleboro
Overview
Vermont taxes Social Security for higher earners (AGI above $50,000 single / $65,000 joint) but exempts it for moderate-income retirees. The income tax rate is relatively high (up to 8.75%). What Vermont offers is intangible: it is the most beautiful small state in America, with covered bridges, sugar maples, dairy farms, ski villages, and a pace of life that actively resists modernity. Burlington on Lake Champlain is a vibrant small city. Woodstock and Stowe are picture-perfect New England villages. Vermont's healthcare is strong for its size, anchored by UVM Medical Center. The cost of living is above average, and the population is small (645,000), which means fewer amenities and services than larger states.
Climate
Four seasons. Cold, snowy winters (great for skiing). Stunning fall foliage. Mild summers. Green mountains and pastoral valleys.
Glen's Take
Vermont is retirement for people who want to live inside a postcard. Woodstock might be the most beautiful small town in America. The fall foliage is genuinely life-changing if you have never experienced it. Burlington has a food and craft beer scene that has no business being as good as it is for a city of 45,000. But Vermont is expensive for what you get in terms of practical amenities, the tax picture is not great for higher-income retirees, and the winters make Maine look mild. I love visiting Vermont in September and October. Living there year-round requires a specific personality: you need to genuinely love winter, solitude, and small-town life. If that is you, Vermont will make you deeply happy. If it is not, you will be climbing the walls by February.
Hawaii
18/30WestNotable Retirement Cities
Kailua-Kona, Hilo, Maui (Kihei, Lahaina), Kauai, Oahu North Shore
Overview
Hawaii exempts Social Security from state income tax but taxes other retirement income at rates up to 11% -- one of the highest in the nation. The cost of living is 80-90% above the national average, and the median home price is the highest on this list at $830,000. So why is Hawaii here? Because it might be the most beautiful place on Earth, the climate is medically ideal (stable temperatures, clean air, low allergens), and the aloha culture creates a quality of life that transcends financial metrics. The Big Island (Kona side) offers the most affordable Hawaiian living. Healthcare is adequate through Queens Medical Center and Straub, though specialized care may require travel to the mainland.
Climate
Tropical paradise. Year-round 75-85F, trade winds, minimal seasonal variation. Each island has microclimates from dry to rainforest.
Glen's Take
Hawaii is on this list because paradise deserves a spot, even if the math does not make sense for most people. If you have the retirement portfolio to support it ($1.5M+ realistically), the Big Island is the play -- Kailua-Kona has the best weather in the world (I am not exaggerating: 350 days of sunshine, 75-85F, trade winds), good snorkeling, affordable-by-Hawaii-standards housing, and a laid-back vibe that melts stress. Maui is more expensive but more amenity-rich. Oahu is the most mainland-like with the best healthcare. The honest truth: most retirees who move to Hawaii come back within 3-5 years because of island fever, cost, and distance from family. But the ones who stay are the happiest retirees I have ever met.
States That Don't Tax Social Security
As of 2026, 41 states exempt Social Security from state income tax. Among the 25 states on this list, here is how the tax picture breaks down:
Zero Income Tax (best for retirees)
Florida, Tennessee, Texas, Nevada, Wyoming, New Hampshire, Washington -- these states tax nothing. No income tax of any kind on any retirement source.
SS Exempt + Low/Moderate Income Tax
South Carolina, North Carolina, Georgia, Arizona, Virginia, Colorado, Delaware, Alabama, Mississippi, Idaho, Montana, Oregon, Pennsylvania, Maine -- exempt Social Security but tax other retirement income at varying rates.
States With the Best Healthcare Systems
Healthcare access becomes the dominant factor after age 70. These states on our list have the strongest hospital systems for retirees:
North Carolina
Duke University Hospital, UNC Hospitals, Wake Forest Baptist
Virginia
UVA Health, VCU Medical Center, Inova Fairfax
Florida
Cleveland Clinic (Weston), Mayo Clinic (Jacksonville), Moffitt Cancer Center
Arizona
Mayo Clinic (Scottsdale), Banner Health, HonorHealth
Colorado
UCHealth, SCL Health, National Jewish Health (respiratory)
Pennsylvania
UPMC, Penn Medicine, Geisinger, Jefferson Health
Utah
Intermountain Health -- one of the most respected systems nationally
New Hampshire
Dartmouth-Hitchcock Medical Center -- nationally ranked academic center
Glen's Take from Miami Beach
I moved to Miami Beach and it was one of the best financial decisions I have ever made. Zero state income tax means every dollar I earn, invest, or withdraw from retirement accounts is mine. No estate tax means my heirs keep more of what I build. Cleveland Clinic is 20 minutes away. I walk on the beach every morning.
But I am not going to pretend Florida is the right answer for everyone. If you hate heat and humidity, you will be miserable here from June through September. If you love mountains and skiing, Arizona or Colorado will make you happier. If you are on a tight budget, Alabama or Mississippi will stretch your money twice as far.
The honest framework is this: pick your top 2 priorities from the five factors above (taxes, healthcare, climate, cost, family), then find the state that maximizes those two. Do not try to optimize all five -- you will end up paralyzed or in a state that is mediocre at everything. Nail your top two and accept the tradeoffs on the rest.
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Frequently Asked Questions
What is the best state to retire in 2026?
Florida ranks #1 overall due to its combination of zero state income tax, no tax on Social Security or retirement income, excellent healthcare access (Cleveland Clinic, Mayo Clinic), year-round warm weather, and extensive retirement community infrastructure. However, the best state for you depends on your specific priorities: Tennessee and South Carolina offer similar tax advantages with lower costs, while North Carolina and Virginia provide superior healthcare access. Colorado and Arizona are better for active, outdoor-focused retirees.
Which states do not tax Social Security benefits?
As of 2026, 41 states do not tax Social Security benefits. The 9 states that still tax Social Security (at least partially) are: Colorado (exempt at 65+), Connecticut, Kansas, Minnesota, Missouri, Montana, New Mexico (exempt under income thresholds), Rhode Island, and Vermont (exempt under income thresholds). Additionally, 9 states have no income tax at all (Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, Wyoming), making Social Security completely tax-free. Every state on this top 25 list either fully exempts Social Security or provides substantial exemptions.
How much money do I need to retire comfortably in the cheapest states?
In the most affordable states on this list (Mississippi, Alabama, Georgia), a comfortable retirement for a couple requires roughly $45,000-60,000 per year, which translates to a portfolio of approximately $1.1-1.5 million using the 4% rule. In mid-range states (Tennessee, South Carolina, Arizona), budget $55,000-75,000 per year ($1.4-1.9M portfolio). In more expensive states (Colorado, Hawaii, Washington), you will need $75,000-120,000+ per year ($1.9-3M+ portfolio). These estimates include housing, healthcare, food, transportation, and a modest entertainment budget. Social Security covers $20,000-40,000 of this for most couples.
Is it better to retire in a state with no income tax or low cost of living?
It depends on your income level. If your retirement income exceeds $100,000 per year, a no-income-tax state (Florida, Tennessee, Texas, Nevada, Wyoming, New Hampshire, Washington) saves you $5,000-15,000+ annually in state taxes, which usually outweighs cost-of-living differences. If your retirement income is under $60,000, cost of living matters more than taxes because the tax savings are smaller and daily expenses consume a larger share of your budget. The ideal is both: Tennessee and Florida offer zero income tax with moderate-to-low costs. The worst combination is high taxes with high cost of living (California, New York, New Jersey).
What should retirees prioritize when choosing a state?
Based on research and interviews with financial planners, the priority order should be: (1) Healthcare access -- this becomes more important every year as you age, and proximity to quality hospitals is not negotiable once you have chronic conditions. (2) Tax burden -- the difference between a high-tax and low-tax state can be $10,000-30,000 per year, compounding over a 20-30 year retirement. (3) Cost of living -- housing, food, and utilities vary 40-80% between cheap and expensive states. (4) Climate and lifestyle -- weather affects health, mood, and activity levels. (5) Proximity to family -- the most common reason retirees move back is to be near grandchildren.
Are states with no income tax always better for retirees?
Not always. States with no income tax often compensate with higher property taxes (Texas averages 1.8%), higher sales taxes (Tennessee has 9.55% combined rate), or higher costs in other areas. A Texas retiree with a $400,000 home pays roughly $7,200 in property taxes -- that could exceed the income tax they would have paid in a moderate-tax state. Washington has no income tax but a 10.25% sales tax in Seattle and high housing costs. New Hampshire has no income or sales tax but above-average property taxes and heating costs. The math is specific to your situation: calculate total tax burden (income + property + sales), not just income tax.
What are the worst states to retire in?
States that combine high taxes with high cost of living and mediocre weather are generally the worst for retirees: New York (high income tax up to 10.9%, high property taxes, high cost of living), California (income tax up to 13.3%, extremely high housing costs), Illinois (high property taxes averaging 2.1%, flat income tax, fiscal instability), Connecticut (taxes Social Security above income thresholds, very high cost of living), and New Jersey (highest property taxes in the nation at 2.2% average, high income tax). These states lose retirees to Florida, the Carolinas, Tennessee, and Arizona every year -- the migration data is overwhelming.
How important is healthcare access when choosing a retirement state?
Critically important and frequently underweighted in retirement planning. The average 65-year-old couple will spend $315,000 on healthcare in retirement (Fidelity 2025 estimate). Proximity to quality hospitals reduces emergency response times, provides access to specialists without travel, and lowers the friction of managing chronic conditions. States like North Carolina (Duke, UNC, Wake Forest), Virginia (UVA, VCU), Pennsylvania (UPMC, Penn Medicine), and Florida (Cleveland Clinic, Mayo) offer multiple world-class systems. States like Wyoming, Mississippi, and Montana may save you money on taxes but require significant travel for specialized care. After age 75, healthcare access should arguably be the #1 factor.
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