Bankrate looked at several public and private datasets related to the life of a retiree. Serious crime rate is higher than national average. But others are not as well-equipped to exit the workforce, which is why affordability is one of the key factors to consider when you're looking for places to settle down. Still, on average, people across the U.S. have roughly $400,000 dollars to nest on. A city with a large infrastructure for retirees, Gainesville has abundant doctors and good air quality. Interesting Findings. Jeff Ostrowski covers mortgages and the housing market. GET FOX BUSINESS ON THE GO BY CLICKING HERE. If youre looking for retirement-age friends, youll have a good chance of finding them in this state where 21 percent of the population is age 65 and older. It depends on your long-term goals. It also has one of the lowest crime rates across the country. Laramie is nice, small and quiet but still large enough to have basic amenities and then some. Situated between Brazil and Argentina, Uruguay is a Spanish-speaking nation of around 3.5 million people, with warm summers and mild winters. Maine's summer is made for retired people. For example, WalletHub ranked Virginia as the best state to retire in its 2023 study, followed by Florida, Colorado, Wyoming, and Delaware. West Virginia has the most affordable housing in the United States. The worst state in the U.S. for retirement is New Jersey, followed by Mississippi and New York, based on WalletHub's findings. 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. WalletHub published a report on Monday that found the best U.S. states to retire in 2022. I googled this and got a completely different list for 2022: Florida North Carolina Michigan Arizona Georgia Pennsylvania Washington Indiana Texas Virginia . Social Security benefits dont get taxed and seniors can claim a deduction of up to $12,000 a year against their other retirement income. Social Security benefits are exempt and theres no state estate tax. Boulder has a favorable relatively low risk for natural hazards. I paid $189,000 under a USDA loan. Florida was at the top of the list. 1 on its list for housing costs. 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) 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. Aug 1, 2022. Gainesville has a moderate rating on the FEMA National Risk Index, especially favorable compared with some other Florida locations. It bristles with dozens of art galleries, fine restaurants and museums, plus world-class skiing and other outdoor land activities. The city is both highly walkable and bikeable and gets high marks for volunteering. 02-24-2023, 10:08 PM E-Twist : 5,264 posts, read 3,199,303 times Reputation: 19973. The top five states to retire to in 2023 are Ohio, Iowa, Minnesota, Florida, and Nebraska. If you like a warm climate, Florida has the second-hottest average temperatures, right behind Hawaii. You may opt-out by. We also have thousands of acres of forest and miles of freshwater riverways bubbling from some of the largest springs in the world. Some states offer tax breaks on retirement income. From a financial perspective, there are a lot of things to consider. 2. If you want to be warm all the time and play golf all year round, then this isnt the place to come, says resident Debbi Fuller on Quora. However, when it comes to health care, youll need to prepare for high insurance premiums and limited access with few physicians per capita, according to WalletHub. Another good one is to pursue your avocational passions. The state is considered relatively safe to live in as well and The Motley Fool ranks it No. I lived in downtown Charleston for nine years and enjoyed walking to restaurants, bars, theater, the Spoleto Festival and other parts of Charleston. 2022's Best States for LGBTQ+ Retirees. Amid dramatic scenery, activities include skiing, hiking, climbing and biking. According to the report, South Dakota has the highest percentage of the workforce age 65 and older, while West Virginia has the lowest. FEMA ranks Boise relatively low in natural hazard risk. Heres what to do if you didnt get one, The worlds 10 richest people have all lost money since 2022 started except for Warren Buffett, Heres how much money Americans are aiming to save in 2022, Get Make It newsletters delivered to your inbox, Learn more about the world of CNBC Make It, 2023 CNBC LLC. Nothing too crazy to worry about like earthquakes or hurricanes or dangerous wildlife, says DChristy87 on Reddit. Climate is warm but pleasant. Other times, they want to be closer to family. Just watch out for high housing costs, if youre buying property in the Sunshine State, and the occasional alligator. The state income tax rate is a flat 5%. The Great Arch in Zion National Park, Utah. While health care is quite costly, WalletHub ranks Connecticut highly for its access and outcomes the state has one of the largest numbers of physicians per capita and the third lowest heart disease rates in the country. Americas Dairyland is renowned for its beer and cheese but retirees tend to relocate to the state for its wide-open spaces and recreational opportunities. Iowa is the best state overall for retiring. August 31, 2022 There is one list that no state wants to be on - the one that names the worst states for retirement. Connect with a financial planner today. Some of the street scenes of the homeless can be daunting, but this hilly, scenic city offers much in the way of arts/culture, fine dining (dozens of Michelin-starred restaurants) and outdoor land and water activities. More: Debt isn't the enemy of a comfortable retirement. The highly walkable downtown (elevation: 1,950 feet) is set in a comfortable climate with little snow, good air quality, a low serious crime rate and a high number of doctors per capita. Colorado 4. Boulder itself is very walkable and bikeable with a low serious crime rate, good air quality and abundant doctors. Idaho 8. Georgia is ranked high for being tax-friendly to retirees. From dining out and travel to insurance and investments, discover how much an AARP membership can save you. The island is somewhat bikeable but not all that walkable. 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. Oklahoma Bonsales / Shutterstock Average annual benefit in 2022: $19,393.40 In Oklahoma, 551,853 retirees are getting Social Security benefits in 2021 that average $1,526.08 a month, or $18,312.94 for the year. Bankrate has answers. Elevation is 3 feet. Sarasota, Florida. New Hampshire T-45. Bend is a scenic outdoor playground, 160 miles southeast of Portland. Florida came in first in the overall ranking. You have money questions. Plus they have a favorable income tax rate. It is very bikeable, although not as walkable. At an elevation of 16 feet, the area is very walkable and bikeable, with good air quality and an adequate number of physicians per capita. 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. A new list came out last week from bankrate.com, and it immediately got a lot of attention.While their list isn't bad, it really misses the most important thing - lists like this don't make sense because they don't take into account that everyone's retirement . The Villages in Florida is one of the largest retirement communities in the U.S. (iStock). If youre interested in Florida or Arizona or California, stay there for a while and see if you like the climate at the time of year youre going to be living there. Here are the seven most affordable states to retire, according to Bankrate: Michigan Tennessee Missouri Mississippi Kentucky Oklahoma Georgia Despite its top ranking in affordability, Michigan. The town is somewhat bikeable, but not all that walkable. Please be aware that some (or all) products and services linked in this article are from our sponsors. The median home value in the state is a meager $127,000, according to Zillow. Bankrate follows a strict editorial policy, so you can trust that were putting your interests first. Weve got the normal entertainment youd find everywhere and we get pretty decent Broadway tours if youre into that. Iowa has more than just endless fields of golden corn it also ranks as the best place for a retiree to live out their golden years. The Beehive States sweet spot lies in its moderate weather, low property and sales taxes and abundance of outdoor activities. highly qualified professionals and edited by To that end, Forbes has identified 25 top places to follow seven leisure interests in retirement: arts/culture, fine dining, lifelong learning, volunteering, outdoor activities on water, outdoor activities on land, and a special subset, golf. No more sweating work deadlines, playing office politics or struggling to stay afloat in a city with a soul-crushing commute and a punitive cost of living. But this compensation does not influence the information we publish, or the reviews that you see on this site. The Peace Garden State has one of the highest numbers of hospital beds per capita and plenty of eldercare organizations and services available to the public, according to WalletHub. Take our 3 minute quiz and match with an advisor today. Worst State: 2x Difference Alabama vs. Hawaii Annual Cost of In-Home Services Lowest 1. The Sunshine State has long been a haven for retirees. Are your retirement savings on track? Colorado ranks fourth in the United Health Foundation's senior health rankings, with particularly high marks in clinical care and positive behaviors. Sponsored: Add $1.7 million to your retirement. Utah ranks relatively well for its health care, and its crime rate is lower than average. Washington 50. Idaho Idaho solidifies its ranking as a top retirement state by offering many tax breaks for seniors. Those who are able to travel tend to find good excuses to head south during parts of the winter Having said that, many retirees enjoy winter activities, including alpine and cross-country skiing, snowshoeing, snowmobiling and ice fishing, writes resident Tom Britz on Quora. As it turns out, Ashland and the two other finalists in the Griffiths' search, Santa Fe, N.M., and Boulder, Colo., all earned spots on Forbes' new list of the 25 Best Places To Enjoy Your. Check out WalletHub's 10 best states for retirement to get the most out of your golden years: Sign up now: Get smarter about your money and career with our weekly newsletter, Don't miss: All $1,400 stimulus checks have been issued. Georgia ranks fifth-warmest state, meaning retirees have more days to enjoy the great outdoors. 5. Those are deeply personal questions. Taxes This is a big consideration throughout our lives, but when incomes decrease in retirement, it can become a huge factor. What drew them to Ashland was the Oregon Shakespeare Festival, which stages nine months a year of productions ranging from the Tempest to modern musicals and is located just 300 yards from their home. Its considered decently safe to live in and ranks above average for quality of life. 10 Best States For Retirement #1. Elevation is 300 feet. The following 12 states tax at least a portion of social security income: Colorado Connecticut Kansas Minnesota Missouri Montana Nebraska New Mexico North Dakota Rhode Island Utah Vermont Santa Fe has a favorable moderate natural hazard risk rating from FEMA. A maximum score of 150 was possible. One factor we now consider disqualifying is a very high susceptibility to climate change and natural hazards as measured by the Federal Emergency Management Agencys new National Risk Index, which looks at 18 natural hazard risks, plus communities preparation for and ability to cope with them. Florida has a lot of infrastructure for older folks health care, lots of gated adult communities, golf courses. My mortgage is $1,149 per month with everything included. Were transparent about how we are able to bring quality content, competitive rates, and useful tools to you by explaining how we make money. Access to medical care is another important factor. For this study, Bankrate looked at five broad categories: affordability, wellness, culture, weather and crime. The top state for retirement this year leads in affordability and quality of life but lags when it comes to healthcare, according to one new ranking. Winters can be challenging, but if you are an active senior then this is a great place to retire. Homebuyers are paying nearly 50% more on their mortgage bill than last year. Dont like where youre at? Pittsfield, Massachusetts CITY POPULATION: 43,927 SHARE OF POPULATION 65+: 20.2% COST OF LIVING FOR RETIREES: 10% above the national average AVERAGE INCOME FOR POPULATION 65+: $56,620 Our methodology: Our editors considered a variety of factors including each state's retirement rankings from WalletHub, MoneyRates and The Motley Fool to create our proprietary index. Other downsides: San Franciscos serious crime rate is higher than the national average and it has a relatively high (but not very high) natural hazard risk, according to FEMA. According to Bankrates study, Florida is the best state for retirement in 2022, followed by Georgia, Michigan, Ohio and Missouri. FEMA rates the natural hazard risk in Walla Walla as relatively low. Another negative: The serious crime rate is above the national average. Diversity scores used the Census racial and ethnic diversity index and LGBTQ population densities compiled by the Movement Advancement Project. 1. If you decide to retire in Pennsylvania, youll enjoy access to some stunning historical architecture and monuments, outdoor activities in the state parks and forests and the Philly cheesesteak, of course. At an elevation of 20 feet, Charleston is moderately walkable and very bikeable. Therefore, this compensation may impact how, where and in what order products appear within listing categories, except where prohibited by law for our mortgage, home equity and other home lending products. If you want a small retirement place, $100K will get you a nice two-bedroom ranch that is driving distance from an NFL stadium and an airport, writes resident Don Torrez on Quora. The end of your career also raises new questions about where and how to spend your days now that youre no longer tied to a specific location. Aside from its annual motor racing spectacle, the Hoosier State offers some delightfully picturesque state parks and the Indiana Dunes National Park which lies along Lake Michigan. See the gallery for the 15 best states for retirement, according to WalletHub. Plus, theres a solid volunteering culture. The Maine state income tax tops out at a hefty 7.15% on taxable income for a couple above $108,900. Another: The state has both an inheritance and estate tax and the combined state and county income tax rate tops 8%, although Social Security benefits and $34,300 per person in pension payments and 401(k) withdrawals are exempt. Even though Texas and Florida have no income tax, they do have higher homeowners insurance costs because of hurricanes. Check out WalletHub's 10 best states for retirement to get the most out of your golden years: 1. Tallahassee, Florida, is pictured. This energetic historic coastal state capital can feed a variety of passions, particularly lifelong learning, given its more than 50 area colleges. On Monday, WalletHub published a report that found the best U.S. states to retire in in 2022. This haven for foodies has a big arts/culture scene, more than 60 area golf courses, lots of other outdoors activities, a culture of volunteering and free senior citizen auditing of classes at Portland State University. A maximum score of 150 was possible. Florida 2. The Sunshine State also has the second-highest percentage of residents 65 years and older, WalletHub says, topped only by Maine. South Carolina 5. The College of Charleston exempts senior citizens from tuition. For me, I enjoy the outdoors and am heavily involved in equestrian things so the low price for land is perfect. Arizona Honorable Mention: South Carolina 5 Worst States For Retirement #1. Hilton Head has good air quality, an adequate number of physicians and a low serious crime rate. Move over, Florida. Iowa is an underrated state, which means it is far from crowded. Wisconsin offers cheaper housing costs and a relatively low crime rate. Our goal is to give you the best advice to help you make smart personal finance decisions. 40. Oklahoma. this post may contain references to products from our partners. Time to head to the mountains! Ashland is at moderate risk for natural hazards. The Show Me State doesnt exactly brag about its potential as a retirement destination, but it has its appeal for someone on a fixed income whos looking for a place with a low cost of living. 23. Our editorial team does not receive direct compensation from our advertisers. It is neither tax nor legal advice, is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. The serious crime rate is above the national average. The state topped our ranking of culture and diversity. Our award-winning editors and reporters create honest and accurate content to help you make the right financial decisions. 2023 Bankrate, LLC. Here with some help is personal finance website WalletHub, which has a new report ranking the best and worst U.S. states to retire in based on factors like affordability, quality of life and health-care. editorial policy, so you can trust that our content is honest and accurate. Virginia's average combined state and local rate of 5.75% is the 11th-lowest in the nation. Oregon 9. Market data provided byFactset. To determine the best states to retire, WalletHub examined a few key factors like affordability, health care . The Best States To Retire In. The city boasts a high number of physicians per capita, good air quality and high marks for volunteering. We are surrounded by mountains, forests, rivers, lakes, the whole shebang Overall cost of living is pretty low here, although property values in Laramie are higher here than some other parts of the state.. New Hampshire. Property and sales taxes are relatively low and Social Security benefits dont get taxed at all. It features a big music and dining scene as well as free senior citizen tuition for six credits a semester at the University of Texas at Austin. How much should you contribute to your 401(k)? Cheap housing costs, low crime rates and low taxes attract plenty of retirees to Kentucky. Among its health-related strengths, the state. Also only 45 minutes away from Cheyenne or Ft. Collins, recommends one Redditor. The scenic city is very walkable and bikeable and has a high ratio of doctors per capita, plus good air quality. Portugal has become one of the most popular retirement destinations in recent years for Europeans and others from around the world. 1. While we strive to provide a wide range offers, Bankrate does not include information about every financial or credit product or service. We have culture. Georgia, Michigan, Ohio and Missouri all made the top five best states for retirement. Extensive outdoor activities include hiking, climbing, biking and fishing. Quaintly historic coastal city offers fine dining, a big arts scene, outdoor water activities and golf (with 39 courses in the area). Florida Affordability rank: 4 Quality of life rank: 5 Health care rank: 27 Florida has the highest population of people over 65, but is one of the states with. Daytona Beach, FL 4. Flagstaff has a relatively high (but not very high) risk of natural hazards, according to FEMA. Minnesota 6. Its ideal for someone living on a fixed income, since theres no state income tax or estate and inheritance taxes. I have a 2,400-square-foot, four-bedroom, three-bathroom, all-brick house sitting on 1.25 acres. Beautiful state parks too. The summers aren't too hot and long and the winters not too cold and long. Not to mention it's more of a suburban-based state. North Dakota 7. Another: A 6.5% state income tax kicks in for couples at just $16,040 of taxable income. The city is very bikeable, although not very walkable. . Our editorial team receives no direct compensation from advertisers, and our content is thoroughly fact-checked to ensure accuracy. The 15 best, worst states for retirement in 2022 FEMA rates Tampa as having a relatively high (but not very high) natural hazard risk. FEMA rates Portland as having a relatively low natural hazard risk. Cheap gas, amazing meat for amazing prices, plenty of open sky. Alaska, on the other hand, held last place in our ranking. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within the listing categories, except where prohibited by law for our mortgage, home equity and other home lending products. Reminder: You still have time to add to your IRA for 2022 . I love the red sandstone I was able to purchase a house here for way less than I thought I would, and my wife loves it! There is a low serious crime rate, a very high ratio of doctors per capita and good air quality. Another downside: a higher-than-average serious crime rate. The state income tax rate is a flat 4.25%, but it excludes Social Security income and some pension income and theres no state estate tax. I have one client whos 83 [years old] who didnt want to live in an active adult community because she had pre-determined that it would be filled with old people. That number is higher in states like Connecticut, where the average person has a retirement balance of roughly $520,000. For its report, WalletHub compared all 50 states based on 47 measurements within three categories: affordability, quality of life and health care. Indiana. Just come prepared for the frigid winters and snowfall. Zero down, 3.25%, 30-year fixed. If you like the outdoors, youll find near world-class hiking, skiing, mountain biking, hunting, ATV riding, fishing, photography, backcountry flying, boating, bird watching, I could go on.. Texas 6. You wont have to pay taxes on your Social Security benefits and you can claim a deduction on other types of retirement income. Iowa offers a lower cost of living, better healthcare, and lower home prices, making it safe and affordable. After all, Americans 65 years and older spend an average of about seven hours a day on leisure and sports, compared to the five or fewer hours for those of prime working age. Volunteering is a way of life. Bankrate has partnerships with issuers including, but not limited to, American Express, Bank of America, Capital One, Chase, Citi and Discover. We do take into account a variety of quality-of-life metrics, ranging from air quality and availability of doctors to the crime rate and a towns walkability. As with Naples, hurricane exposure is real, but less than some other coastal towns. There are thousands of retirees living quite happily in certain pockets of Montana, purely for the quality of life. A new, lower flat income tax rate will take effect in 2023. The content provided on Moneywise is information to help users become financially literate. The southeast borders the Atlantic Ocean, and its Sea Islands like Hilton Head and Cumberland Island are top attractions. Maryland not only has an income tax, but were also one of only seven states that has an estate tax. Home prices have shattered one record after another since the COVID pandemic began, and inflation rocked the U.S. economy in 2022. Route 66 provides the historic backdrop for this outdoors-oriented town at an elevation of 7,000 feet, 145 miles north of Phoenix near the Grand Canyon. . Elevation of 2,100 feet makes most summers non-sweltering. There are as many opinions on retirement as there are places to retire, especially in a country as large and diverse as the United States. The city is very walkable and bikeable. You wont get taxed on your Social Security benefits, but any retirement income from your pension or other accounts are fair game. You can really get some bang for your buck, housing wise. 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. Richmond has an amazing food and culture scene. While property taxes are relatively high, the median home value is just around $180,000, according to Zillow. To see the overall ranking, here are the best states to retire in this year, according to WalletHub. 3. We will examine some states that are less expensive, tha. Make sure its really as affordable as you thought. According to Bankrate's study, Florida is the best state for retirement in 2022, followed by Georgia, Michigan, Ohio and Missouri. Thats why a number of otherwise appealing choices, including New York City, didnt make the cut. There is no state income tax, but there is a stiff state estate tax. We pay an extra $500 per month. Portland has a relatively high (but not very high) risk for natural hazards, according to FEMA. Believe it or not, you will find some of the finest cuisine in Vermont. Are you confident in your retirement savings? I retired to Madison and think it's perfect easy to get to outdoor activities, but also lots of activities all year long within the city, from fitness classes to pickleball to pools to art classes, live music, great restaurants, libraries, and shopping. There is also a state estate tax. Aimlockbelch on Quora recommends the local eateries in the state. Top criteria include the happiness of local residents, housing affordability, tax rates and health care quality. However, property and sales taxes tend to be higher than average. I save money spending $2,633/month living in South Africa, How this 39-year-old earns $26,000 a year in California. Nestled on Floridas Gulf Coast along Tampa Bay, this port city has a big restaurant scene, lots of water activities and 80 golf courses in the area. It is neither tax nor legal advice, is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. Our experts have been helping you master your money for over four decades. West Virginia. Aside from its overall ranking, WalletHub also found how different states ranked within a few of those 47 measurements. It's no surprise that money is such an important consideration when choosing the best place to spend your retirement years. There are above-average doctors per capita and good air quality. This abandoned high school was converted into a 31-unit apartment building. Weve averaged three recent state rankings to create one master list. Lake Cumberland is lots of fun for a weekend getaway. August 18, 2022 / 12:01 AM / MoneyWatch What to do with your 401(k) in bear market Amid recession fears in bear market, experts say 401(k) investors should think long term 04:58 Because of all the tourists there is a lot to do in the summer in terms of restaurants, musical performances, theater and outdoor activities.. The states low taxes and lack of crime make Wyoming sound rather idyllic. For weather scores, we relied on three decades of average daily temperature data from the National Oceanic and Atmospheric Administration. Of the 12 states that do tax social security income, many of them include some provisions for excluding a portion of the social security income. The state income tax rate is a flat 4.99%, but Social Security income goes untaxed at the state level, and there is no state estate tax. What are index funds and how do they work? The Most Tax-Friendly States to Retire originally appeared on usnews.com. Missouri #8. However, the high incidence of hurricanes and tornadoes hurts Floridas weather ranking. When youre considering a community, you have to think about what you still want to do. Fayetteville has a moderate natural hazard risk, but the serious crime rate is above the national average. Florida has no state income or estate tax. Arizona 3. FEMA rates the natural hazards risk as moderate, which is the middle ranking. Yet, Delaware ranks second in best states to retire and the data supports it. Elevation is 500 feet. Score fresh maple syrup and ski down snowy slopes in the Green Mountain State, renowned across the country for its natural splendor. Florida has no state income or estate tax. Elevation is 60 feet. Florida #2. The state is made almost entirely from limestonea sedimentary rock that is not gold-bearing! Youll enjoy low property taxes, no taxes on your Social Security and a sizable deduction on other forms of retirement income. Tennessee 7. Distilleries and breweries are good too if you like to drink! writes Redditor BlackRoseRedApple. Oregon 47. Start Slideshow . Where you decide to . Youll require a large nest egg to retire in Americas tiniest state it isnt particularly tax friendly for retirees and housing is expensive but it might be well worth the costs. We make no representation or warranty of any kind, either express or implied, with respect to the data provided, the timeliness thereof, the results to be obtained by the use thereof or any other matter.