While we strive to provide a wide range offers, Bankrate does not include information about every financial or credit product or service. I have to say, living in central VA, its nice being only two-ish hours from nice, usually calm beaches, and two-ish hours from gorgeous, rolling-green mountains. Elevation is 2,200 feet. Best State vs. Bankrate.com is an independent, advertising-supported publisher and comparison service. Our award-winning editors and reporters create honest and accurate content to help you make the right financial decisions. The 10 Bestand Most AffordablePlaces To Retire in America, 2022 Edition. Connecticut: 6.99% on incomes over $500,000 ($1 million for married filers of joint returns) Nebraska: 6.84% on income over $32,210 ($64,430 for married filers of joint returns) West Virginia: 6.5% on income over $60,000 (for both single filers and married filers of joint returns) Portugal has become one of the most popular retirement destinations in recent years for Europeans and others from around the world. To identify the best places to retire, U.S. News analyzed data for the 150 largest metropolitan areas in the U.S. to assess how well they meet Americans' retirement needs and expectations. It's no surprise that money is such an important consideration when choosing the best place to spend your retirement years. New York #3. !function(e,t,s,i){var n="InfogramEmbeds",o=e.getElementsByTagName("script"),d=o[0],r=/^http:/.test(e.location)? Named for a 17th century ship captain, this Atlantic Ocean barrier island sits near 67 golf courses and affords all kinds of outdoor recreation opportunities on land and water, including hiking, fishing, kayaking and boating. Karen, now 69, a neonatal intensive care nurse, and David, 70, an investment banker turned software CEO, turned screenwriter and producer, had long known they wanted to settle in a smaller, scenic locale. Georgia, Michigan, Ohio and Missouri all made the top five best states for retirement. There's no better time to retire than 2022 when life expectancy is at its all-time high of 79.05 years.However, choosing the best states to retire from a list of 50 is no easy feat. Our goal is to give you the best advice to help you make smart personal finance decisions. According to Bankrate's study, Florida is the best state for retirement in 2022, followed by Georgia, Michigan, Ohio and Missouri. Colorado ranks fourth in the United Health Foundation's senior health rankings, with particularly high marks in clinical care and positive behaviors. The Sunshine State also has the second-highest percentage of residents 65 years and older, WalletHub says, topped only by Maine. 23. Aside from its overall ranking, WalletHub also found how different states ranked within a few of those 47 measurements. Bend is a scenic outdoor playground, 160 miles southeast of Portland. New Hampshire T-45. Just watch out for high housing costs, if youre buying property in the Sunshine State, and the occasional alligator. Indiana. (iStock). . Alaska, on the other hand, held last place in our ranking. There is also a state estate tax. Midwestern states scored well in our ranking for affordability, healthcare, and safety, leading to. 5. We are compensated in exchange for placement of sponsored products and, services, or by you clicking on certain links posted on our site. You can read more about our data sources and selection methodology and how the Griffiths found their retirement bliss, here. The Mountain State peaks at the top when it comes to both affordability and natural beauty West Virginia flaunts breathtaking parks and preserves and numerous hiking trails. The 2023 leave year begins for most federal employees on Sunday, Jan. 1, 2023. Sarasota, Florida. I paid $189,000 under a USDA loan. Oregon has no sales tax but makes up for that with an income tax rate that hits 8.75% at just $18,400 of taxable income for a couple (with Social Security excluded). Mostly summer weather is pleasant. For me, I enjoy the outdoors and am heavily involved in equestrian things so the low price for land is perfect. Extensive outdoor activities include hiking, climbing, biking and fishing. What are index funds and how do they work? 10. These are the most affordable states to retire to, based on the adjusted cost of living, tax friendliness and the cost of care services. Go to a variety of different places that you seem to be attracted to places that have a lower cost of living and lower property taxes and test them out for a while. I don't want to go to any state with excessive bugs or . There is no state estate tax. Perhaps most importantly, where do your kids, grandkids, friends and health care providers live? There is a high rate of volunteering. Despite getting some bad press, Oregons largest city has a lot going for it. The state fully exempts Social Security benefits from being taxed and property taxes are quite low as well. We adhere to strict standards of editorial integrity to help you make decisions with confidence. Oregon has no sales tax but makes up for that with an income tax rate that hits 8.75% at just $18,400 of income for joint filers (with Social Security excluded) and tops out at 9.9% for taxable income above $250,000. Weve got the normal entertainment youd find everywhere and we get pretty decent Broadway tours if youre into that. The lower the score, the higher the state ranks as a retirement destination. Housing is relatively cheap and Zillow places the median home value in the state at just around $225,500. Oklahoma. Do you still want to be able to play golf, tennis or pickleball? It ranks slightly higher than average for its quality of life and crime rates, and WalletHub says it has one of the lowest complaints of elder abuse in the country. According to The Motley Fool, housing comes relatively cheap in the state and the weathers pretty decent, with mild winters and warm summers. Oregon 9. There is no state income tax on Social Security benefits or a portion of pension income, and no state estate tax. . Maine's summer is made for retired people. Florida was at the top of the list. Plenty of farms also, although they are increasingly larger and larger and run by fewer and fewer people, writes noshelter on Reddit. But this compensation does not influence the information we publish, or the reviews that you see on this site. If you like a warm climate, Florida has the second-hottest average temperatures, right behind Hawaii. Alaska Best Places For Tax-Friendly Social Security Treatment Mountains and water, including 25-mile-long Lake Coeur dAlene, make this city 300 miles east of Seattle a hot spot for fishing, boating, swimming, hiking and skiing. The city is very bikeable and somewhat walkable. Meanwhile, for potential retirees seeking a cultural melting pot, Florida boasts solid racial diversity and a significant LGBTQ population. Tallahassee, Florida, is pictured. Our experts have been helping you master your money for over four decades. Its hard to make a blanket statement. Temperatures can plummet to an average low of 2 degrees Fahrenheit in Glasgow and 22 degrees Fahrenheit in Flathead Lake in the month of January, according to climate and forecast site Weather Atlas. Top 10 Florida Georgia Michigan Ohio Missouri Kentucky Texas Tennessee Pennslyvania South Dakota Bottom 10 Alaska Maine California New Mexico Montana Vermont Mayland Connecticut Hawaii Washington. This year's list of the 25 Best Places to Retire highlights places with affordable homes, low taxes and high ratings for happiness and health care quality. Bankrate has partnerships with issuers including, but not limited to, American Express, Bank of America, Capital One, Chase, Citi and Discover. Join here. Up Next. Elevation is 140 feet. Plus, theres no state estate tax. For example, WalletHub found that Mississippi has the lowest adjusted cost of living, while Hawaii has the highest. A new, lower flat income tax rate will take effect in 2023. Virginia's average combined state and local rate of 5.75% is the 11th-lowest in the nation. The Beehive States sweet spot lies in its moderate weather, low property and sales taxes and abundance of outdoor activities. Heres the thing: Retiring in Connecticut will cost you an arm and a leg but if you have the funds tucked away, youll enjoy excellent health care and low crime rates. Maine (20.6%) Florida (20.5%) West Virginia (19.9%) Vermont (19.4%) Montana (18.7%) Delaware (18.7%) Best Overall State for Retiring Now, let's compare. Delaware #6. Plenty of parks and outdoors areas offer hundreds of miles of trails for hiking and biking. North Carolina. The city enjoys a higher number of doctors per capita and good air quality. The state ranks relatively well for quality of life and WalletHub reports that it has one of the lowest numbers of elder abuse complaints in the nation. Best States to Retire in 2022 Arizona No matter where in Arizona you choose to retire, you will be within a few hours of major historic sites, stunning National Parks, beautiful golf courses, and you'll be able to explore them while enjoying the warm desert weather. The College of Charleston exempts senior citizens from tuition. This scenic city in the Pacific Northwest wedged between Puget Sound and Lake Washington offers a vibrant arts/culture scene, famous restaurants, and an Osher Lifelong Learning Institute at the University of Washington. Social Security benefits are exempt and theres no state estate tax. Other factors, such as our own proprietary website rules and whether a product is offered in your area or at your self-selected credit score range can also impact how and where products appear on this site. A recent Vanguard study revealed a self-managed $500,000 investment grows into an average $1.7 million in 25 years. Thats the second-largest share of 65+ folks of any state, Census data shows. An additional 21 states don't tax military retirement pay but do have state personal income tax, which is why you might consider them the best tax-friendly states for military retirees. The city is very bikeable and somewhat walkable. This is closely followed by Florida, Tennessee, Missouri, and surprisingly Massachusetts. Elevation is 300 feet. Overall it is a nice place to live, with mostly small cities and towns that offer low cost of living, low crime, friendly genuine people, and outdoor recreation that varies depending on which part of the state you are located, writes Jennifer West on Quora. By Liz Brumer-Smith - Feb 23, 2022 at 7:00AM Key Points. The median home value in the state is a meager $127,000, according to Zillow. Norfolk is up-and-coming with some amazing bars, and VB has the Oceanfront, which is a lot of fun day or night, says AquaKong35 on Reddit. The Most Affordable Places to Retire. West Virginia 2. You wont get taxed on your Social Security benefits, but any retirement income from your pension or other accounts are fair game. Wisconsin offers cheaper housing costs and a relatively low crime rate. The city is somewhat bikeable, although not all that walkable. But Social Security benefits are exempt and theres no state estate tax. With 120 nearby wineries, this quaint rural town 260 miles southeast of Seattle, boasts a surprisingly robust fine dining scene.