The 20 Best States for Your Retirement

People approaching or just starting retirement may have plenty of life experience under their belts, but many are enjoying at least one brand-new feeling: a sense of freedom.

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People approaching or just starting retirement may have plenty of life experience under their belts, but many are enjoying at least one brand-new feeling: a sense of freedom. Starting at age 60, the majority of people shift from saying where they live is determined by their responsibilities, including family and work obligations, to saying they're free to live wherever they want, according to a survey by Merrill Lynch and Age Wave, a research firm focused on the aging population. And many retirees exercise that freedom to relocate, with 64% having moved or anticipating moving in retirement.

But how do you choose where to retire? Many factors come into play, from proximity to family to climate preferences—but we'll leave those personal preferences to you. What we can help you with is the financial angle: We ranked all 50 states for retirement based on quantitative factors, figuring that the best states for retirees will offer low living costs and light tax burdens, as well as quality health care options. We also sought out states that are healthy—both economically (with well-balanced state budgets) and physically (with a fit and active senior population). Finally, we favored states with relatively prosperous residents age 65 and over. Take a look at our list of the best states for retirement.

Disclaimer

See "How We Ranked Every State for Retirement" at the end of the rankings for details on our data sources and methodology.

Stacy Rapacon
Online Editor, Kiplinger.com

Rapacon joined Kiplinger in October 2007 as a reporter with Kiplinger's Personal Finance magazine and became an online editor for Kiplinger.com in June 2010. She previously served as editor of the "Starting Out" column, focusing on personal finance advice for people in their twenties and thirties.

Before joining Kiplinger, Rapacon worked as a senior research associate at b2b publishing house Judy Diamond Associates. She holds a B.A. degree in English from the George Washington University.