Best and Worst States to Retire (2026)

Where you choose to retire can make a big difference in how far your money goes — especially since 65% of non-retired adults say their retirement savings aren’t on track. To determine the best states to retire, WalletHub compared the 50 states across 46 key indicators of retirement-friendliness, from financial factors like tax rates and the cost of living to things like access to quality medical care and fun activities.

Top 5 States to Retire (2026)

1. Wyoming
2. Florida
3. South Dakota
4. Colorado
5. Minnesota

You can see the full rankings and some additional commentary below.

“Retirement is supposed to be relaxing, but it can also be incredibly stressful given that it typically puts people on a fixed income, which may not be enough for them to live comfortably. As a result, the best states for retirees are those that have low taxes and a low cost of living to help retirees’ budgets stretch as far as possible. Having access to excellent medical care and homemaking services is also crucial, especially for people who don’t plan to retire in close proximity to their families.”

Chip Lupo, WalletHub Analyst

Main Findings

Best & Worst States to Retire

Note: With the exception of “Total Score,” all of the columns in the table above depict the relative rank of that state, where a rank of 1 represents the best conditions for that metric category.

Adjusted Cost of Living

Lowest

• 1. Oklahoma
• 2. Arkansas
• 3. Alabama
• 4. Mississippi
• 5. West Virginia

Highest

• 46. New York
• 47. Alaska
• 48. California
• 49. Massachusetts
• 50. Hawaii

Best State vs. Worst State: 2x Difference

Oklahoma vs. Hawaii

Annual Cost of In-Home Services

Lowest

• 1. Louisiana
• 2. Mississippi
• T-3. Alabama
• T-3. West Virginia
• 5. Arkansas

Highest

• T-41. North Dakota
• T-41. Oregon
• 47. Washington
• 48. Maine
• 49. Vermont
• 50. South Dakota

Best State vs. Worst State: 2x Difference

Louisiana vs. South Dakota

WalletHub 'Taxpayer' Ranking

Best

• 1. Alaska
• 2. Delaware
• 3. Wyoming
• 4. Idaho
• 5. Montana

Worst

• 46. Pennsylvania
• 47. New Jersey
• 48. Connecticut
• 49. New York
• 50. Illinois

% of Workforce Aged 65 & Older

Highest

• 1. New Hampshire
• 2. Maryland
• 3. Massachusetts
• 4. New Jersey
• 5. Vermont

Lowest

• 46. Michigan
• 47. Arizona
• 48. Arkansas
• 49. Oregon
• 50. West Virginia

Best State vs. Worst State: 2x Difference

New Hampshire vs. West Virginia

Museums per Capita

Most

• T-1. New York
• T-1. California
• 3. Kansas
• 4. Massachusetts
• 5. Texas

Fewest

• 46. Arkansas
• 47. Nevada
• 48. Hawaii
• 49. Utah
• 50. West Virginia

Best State vs. Worst State: 6x Difference

New York vs. West Virginia

Theaters per Capita

Most

• T-1. New York
• T-1. Minnesota
• T-1. California
• 4. Illinois
• 5. Florida

Fewest

• 46. Delaware
• 47. West Virginia
• 48. Arkansas
• 49. North Dakota
• 50. Mississippi

Best State vs. Worst State: 34x Difference

New York vs. Mississippi

% of Population Aged 65 & Older

Highest

• 1. Maine
• 2. Vermont
• 3. West Virginia
• 4. Florida
• 5. Delaware

Lowest

• T-45. California
• T-45. Colorado
• 47. Georgia
• 48. Alaska
• 49. Texas
• 50. Utah

Best State vs. Worst State: 2x Difference

Maine vs. Utah

Property-Crime Rate

Lowest

• 1. Idaho
• 2. New Hampshire
• 3. Rhode Island
• 4. Massachusetts
• 5. Maine

Highest

• 46. Louisiana
• 47. Oregon
• 48. Washington
• 49. Colorado
• 50. New Mexico

Best State vs. Worst State: 4x Difference

Idaho vs. New Mexico

Life Expectancy

Highest

• 1. Hawaii
• 2. Massachusetts
• 3. California
• 4. New York
• 5. Minnesota

Lowest

• 46. Louisiana
• 47. Kentucky
• 48. Alabama
• 49. West Virginia
• 50. Mississippi

Show More

In-Depth Look at the Best States to Retire

Wyoming

Wyoming is the best state for retirement, in large part due to affordability reasons. Adjusted for retirees’ needs, Wyoming’s cost of living falls in the more affordable half of the nation. The state is also considered highly friendly to retired taxpayers, also offering the added benefit of no estate or inheritance tax. In addition, the state has the fifth-lowest annual cost of homemaker services in the nation, allowing seniors to conserve energy and maintain independence.

When it comes to overall quality of life in Wyoming, the state has the 10th-best elder abuse protections in the country, which guard elderly residents against physical and financial harm. The state also has the fifth-lowest violent crime rate, and the 14th-highest percentage of people who do favors for their neighbors.

On the financial side, Wyoming has the seventh-lowest share of residents ages 65+ who are in poverty, and it ranks fourth in funding from the Administration on Aging per senior resident.

Florida

There’s a reason Florida is known as a retirement paradise – it ranks as the second-best state to retire due to its relatively low taxes for retired people, including no estate, inheritance or income taxes. Plus, Florida receives more funding per senior from the Older Americans Act than all but two other states. This funds things like transportation, homemaker assistance and nutrition programs for seniors.

In addition to financial factors, Florida provides an ideal environment for retirees. It has the second-most shoreline miles of any state, allowing for plenty of relaxing at the beach. It also has the second-most adult volunteer activities, fifth-most theater companies, and eighth-most golf courses and country clubs. There are plenty of ways for seniors to stay healthy and happy, which is reflected in the fact that Florida has the third-lowest death rate in the country for people ages 65+.

Unfortunately, the overall cost of living is pretty high in Florida compared to many other states, but that doesn’t stop the Sunshine State from taking the top spot for retirees.

South Dakota

South Dakota is the third-best state for retirees, offering taxpayer-friendly conditions with no estate or inheritance taxes. In addition, it has the 13th-lowest poverty rate for residents ages 65+ and the fourth-lowest percentage of seniors who have faced hunger in the past 12 months.

South Dakota is a great state for retirees’ health. It has one of the lowest rates of social isolation for seniors, and it boasts the second-best geriatrics hospitals in the country. It also has the second-lowest share of seniors experiencing frequent mental distress – described as 14 or more days of poor mental health in a month – and the third-most family medicine physicians per capita.

In addition to these health advantages, South Dakota provides a clean, natural environment. It has the fifth-best air quality in the country and ranks third-lowest nationwide for health-based drinking water violations.

Ask the Experts

In order to choose the best state to retire for you, you must carefully consider various factors such as your finances, health and how you plan to spend your time. For advice on these choices, we turned to a panel of experts in fields such as aging and taxes. Click on the experts’ profiles to read their bios and responses to the following key questions:

1. What is the most common mistake that retirees make when choosing where to live?
2. What are some tips for living on a fixed income in retirement?
3. What are the top factors retirees should consider when choosing a state for retirement?
4. The financial impact of high inflation has many Americans reevaluating their retirement plans. What are some new points of concern for future retirees in considering where to retire?
5. How might changes to the tax code influence retirement security?

Ask the Experts

Jacquelyn B. James
Ph.D., FGSA – Founder, Sloan Research Network on Aging & Work - Boston College
Read More

Stephen Golant
Ph.D. – Professor Emeritus, University of Florida, Gainesville
Read More

Lauren E. Haddad Washburn
Esq. LL.M. – Tax Attorney; Adjunct Professor, Master of Science in Taxation Program, Bryant University and Adjunct Professor, Politics, Law and Society, Bryant University
Read More

Tamara L. Wolske
MS, MPhil, CPGTM, CSA, CTACC – Assistant Professor Emerita & Adjunct Faculty in Aging Studies; Age Well With Me, LLC - CTA Certified Coach; Certified Senior Advisor®; Credentialed Professional Gerontologist, Interprofessional Health & Aging Studies, Center for Aging & Community - University of Indianapolis
Read More

Robinson Reyes Pena
Ph.D. – Assistant Teaching Professor, Department of Finance, College of Business - Florida International University
Read More

Suzanne B. Shu
Ph.D. – Dean of Faculty and Research, SC Johnson College of Business; John S. Dyson Professor in Marketing, The Charles H. Dyson School of Applied Economics and Management – Cornell University
Read More

More Experts

Methodology

In order to identify the most retirement-friendly states, WalletHub compared the 50 states across three key dimensions: 1) Affordability, 2) Quality of Life and 3) Health Care.

We evaluated those dimensions using 46 relevant metrics, which are listed below with their corresponding weights. Each metric was graded on a 100-point scale, with a score of 100 representing the most favorable conditions for retirement. For metrics marked with an asterisk (*), we used the square root of the population to calculate the population size in order to avoid overcompensating for minor differences across states.

We then calculated each state’s weighted average across all metrics to determine its overall score and used the resulting scores to rank-order our sample.

Affordability – Total Points: 40

• Adjusted Cost of Living: Double Weight (~10.00 Points)
• General Tax-Friendliness: Full Weight (~5.00 Points)
  Note: This metric is based on WalletHub’s "States with the Highest & Lowest Tax Rates" ranking.
• Retired Taxpayer-Friendliness: Full Weight (~5.00 Points)
  Note: This metric measures taxation on retirement income, property and purchases, as well as special tax breaks for seniors.
• Tax-Friendliness on Estate or Inheritance Tax: Full Weight (~5.00 Points)
• Annual Cost of In-Home Services: Full Weight (~5.00 Points)
• Annual Cost of Adult Day Health Care: Full Weight (~5.00 Points)
• Share of Population Aged 65 and Older Who Could Not Afford a Doctor Visit: Full Weight (~5.00 Points)
  Note: This metric measures the share of the population aged 65 and older who needed to see a doctor in the past 12 months but were restricted due to cost.

Quality of Life – Total Points: 30

• Share of Population Aged 65 and Older: Double Weight (~2.50 Points)
• Risk of Social Isolation: Full Weight (~1.25 Points)
  Note: This metric considers the following six risk factors of social isolation in population aged 65 and older: a) Divorced, separated or widowed; b) Never married; c) Poverty; d) Disability; e) Independent Living Difficulty and f) Living alone.
  
• Elderly-Friendly Labor Market: Full Weight (~1.25 Points)
  Note: This metric takes into account both the share of population aged 65 and older working and the number of part time employees for every full-time employee for population aged 65 and older.
• Share of Population Aged 65 and Older in Poverty: Full Weight (~1.25 Points)
• Elderly Food Insecurity Rate: Full Weight (~1.25 Points)
  Note: This metric refers to the share of the population aged 60 and older who faced the threat of hunger in the past 12 months.
• Expenditures Captured by the Administration on Aging per Population Aged 60 and Older: Full Weight (~1.25 Points)
  Note: The Older Americans Act (OAA) is administered by the Administration on Aging. It funds “personal care, congregate meals, transportation and nutrition-education programs for seniors.”
• Access to Public Transportation: Full Weight (~1.25 Points)
  Note: This metric measures the share of commuters who use public transit as a proxy for the availability of public transportation.
• Mildness of Weather: Double Weight (~2.50 Points)
  Note: This metric is based on WalletHub’s "Cities with the Best & Worst Weather" ranking.
• Access to Scenic Byways: Full Weight (~1.25 Points)
  Note: This metric takes into account both the number of scenic byways and the length of scenic byways.
• Shoreline Mileage: Full Weight (~1.25 Points)
• Museums per Capita*: Full Weight (~1.25 Points)
• Theaters per Capita*: Full Weight (~1.25 Points)
• Golf Courses & Country Clubs per Capita*: Full Weight (~1.25 Points)
• Bingo Halls per Capita*: Full Weight (~1.25 Points)
• Access to Adult Volunteer Activities: Full Weight (~1.25 Points)
  Note: This metric measures the number of rated charity organizations per capita*.
• Elderly Volunteer Rate: Full Weight (~1.25 Points)
• Share of Residents Who Do Favors to Their Neighbors (proxy for Neighborhood Friendliness): Full Weight (~1.25 Points)
• Violent-Crime Rate: Full Weight (~1.25 Points)
• Property-Crime Rate: Full Weight (~1.25 Points)
• Quality of Elder-Abuse Protections: Full Weight (~1.25 Points)
  Note: This metric is based on WalletHub’s "States with the Best Elder-Abuse Protections" ranking.
• Air Quality: Full Weight (~1.25 Points)
• Drinking-Water Quality: Full Weight (~1.25 Points)
  Note: This metric measures the share of the population potentially exposed to water exceeding a violation limit.

Health Care – Total Points: 30

• Family Medicine Physicians per Capita: Double Weight (~3.16 Points)
• Dentists per Capita: Full Weight (~1.58 Points)
• Nurses per Capita: Full Weight (~1.58 Points)
• Home Health Aides per Capita: Full Weight (~1.58 Points)
  Note: Home health aides often help older adults who need assistance. In some states, home health aides may be able to give a client medication or check the client’s vital signs under the direction of a nurse or other healthcare practitioner.
• Share of Geriatricians Required to Meet Estimated Need (Geriatrician Shortfall): Double Weight (~3.16 Points)
• Top-Rated Geriatrics Hospitals: Double Weight (~3.16 Points)
• Health-Care Facilities per Capita: Full Weight (~1.58 Points)
• Quality of Public Hospitals: Full Weight (~1.58 Points)
  Note: This metric is based on Centers for Medicare & Medicaid Services’ ranking of public hospitals.
• Well-Being Index for Population Aged 55 and Older: Full Weight (~1.58 Points)
• Share of Population Aged 65 and Older with Good or Better Health: Full Weight (~1.58 Points)
• Share of Population Aged 65 and Older with Poor Mental Health: Full Weight (~1.58 Points)
  Note: This metric refers to the share of population aged 65 and older who reported their mental health was not good 14 or more days in the past 30 days.
• Share of Population Aged 65 and Older with a Disability: Full Weight (~1.58 Points)
• Share of Population Aged 65 and Older Who Are Physically Active: Half Weight (~0.79 Points)
• Share of Population Aged 65 and Older Who Are Obese: Half Weight (~0.79 Points)
• Share of Population Aged 65 and Older with Inadequate Sleep: Full Weight (~1.58 Points)
  Note: This metric refers to the share of adults aged 65 and older who reported sleeping less than seven hours in a 24-hour period on average.
• Life Expectancy: Full Weight (~1.58 Points)
• Death Rate for Population Aged 65 & Older: Full Weight (~1.58 Points)

 
Sources: Data used to create this ranking were collected as of December 19, 2025 from the U.S. Census Bureau, Federal Bureau of Investigation, Council for Community and Economic Research, U.S. Bureau of Labor Statistics, The Kiplinger Washington Editors, County Health Rankings, Genworth Financial, United Health Foundation, Centers for Disease Control and Prevention, Corporation for National and Community Service, Centers for Medicare & Medicaid Services, Great Nonprofits, American Board of Medical Specialties, Gallup Healthways, The Tax Foundation, America's Scenic Byways, Bingo Halls U.S.A., NOAA Office for Coastal Management, U.S. News & World Report and WalletHub research.

Supporting Video Files:

• YouTube - National (for web embedding)
• YouTube - Wyoming (for web embedding)
• Raw video files (for editing into clips)