As you begin retirement planning, one of the most important decisions you’ll have to make is where you want to live. While there’s comfort in aging in place, moving in retirement presents an exciting new adventure—along with potential financial benefits, affordable living, and a climate upgrade. Check out our tips on deciding where to retire, as well as recommendations for the best states to retire to!
Factors to Consider in Retirement Planning
You’ve worked your entire life to earn the perfect retirement, but what does the best place to retire look like to you? Do you want to remain in your current home? Downsize to a smaller home? Are you looking for different weather or access to better healthcare? Here are some things to keep in mind when deciding where to retire.
Cost of Moving
There are a number of closing costs that come with selling your home—not to mention relocation expenses. Moving costs may not be a big factor if you’re downsizing in your city or moving somewhere nearby, but they can add up quickly if you plan on making a cross-country move. And if you’re moving to a popular state for retirement, your next home may cost more than you can make selling your current one. As you plan for retirement, set a retirement budget and use a moving cost calculator to understand what type of moves are realistic possibilities.
Taxes & Cost of Living
If you decide to move for retirement, you need to consider how your expenses will change. The cost of living and taxes vary greatly from state to state and, depending on your savings, could have an impact on where you can move. Start by researching the states with the best retirement taxes and cost of living, and compare them to your current situation. Using a cost of living calculator can help you see how expenses like housing, groceries, utilities, and more vary from city to city.
Types of Housing
What type of retirement housing do you want to live in? You may want fewer cleaning and upkeep responsibilities, in which case downsizing, moving into a condo or townhouse, or finding a retirement community may be desirable. Perhaps you’ve saved up all your life so you can retire in the luxury of a larger home with great amenities. Or maybe you enjoy the comfort and nostalgia of your current home and don’t have any desire to leave. These options present a wide range of costs and considerations, so be sure to factor them into your retirement budget.
Desired Lifestyle
Where you relocate to for retirement will depend on your desired lifestyle and hobbies. If you want to try out various recreational activities and have easy access to amenities and entertainment options, consider a big city. If you desire a peaceful life, enjoy nature, and want space for outdoor activities, the countryside may be a better choice for you. Or perhaps where you currently live provides everything you need for a happy lifestyle.
Proximity to Family & Friends
Being near family and friends is often one of the most important factors in retirement planning. If you currently live near family members or close friends, you may want to stay close to them. Or maybe they live elsewhere, and retirement gives you an opportunity to move closer to them!
Knowledge of Surroundings
Relocating for retirement means re-learning everything about your home—directions and street names, favorite restaurants and coffee shops, hairdressers, gyms, grocery stores, doctors, and more. You have to familiarize yourself with a new area and establish new routines. If you’ve grown comfortable in your current setting, you may not want to go through that learning period again. On the flip side, relocating after retirement may present a new adventure! Before officially deciding to move, consider visiting potential spots so you can acquaint yourself with the area and more easily visualize your life there.
Climate & Amenities
When choosing where to retire, think about your ideal climate. Would you prefer to live in a city where it’s sunny every day, or do you want to experience all four seasons? And how does that weather affect your ability to have fun in retirement? Whether you want to live near the ocean or move closer to the mountains, the local climate and amenities can ultimately decide whether and where you want to relocate.
Walkability & Access to Public Transportation
If you don’t have access to a car—or you’re unable to drive—consider how you’ll get around your new city. How will you run errands or visit friends and family? Choosing a city with robust public transportation can save you time, money, and energy in retirement—after all, catching a cab all the time can add up quickly. Alternatively, if you’re active and prefer to get your steps in, research to see how walkable your city is. And if you’re moving away from family but plan to visit frequently, ensure there’s an airport you can easily access in your desired area.
Medical Care
Medical care costs make some states more retirement-friendly than others. Ensure there is adequate healthcare for retirees in your new city, keeping access, quality, and costs in mind as you search for your perfect place to retire.
Best States to Retire In
If you choose to move after retirement, you’re faced with a lot of options. It might be difficult to pinpoint which retirement state is right for you! To help, check out our 11 best places to retire in the U.S.
Florida
There are several reasons why retirees move to the Sunshine State! With pristine beaches, warm temperatures, and no state income tax, Florida is one of the best places to live for retirees. In fact, it’s home to some of the best cities for retirement—such as Clearwater, Daytona Beach, and Tampa—which means there are lots of retirees to connect with. Social Security retirement benefits—as well as income from pension, IRAs, and 401(k)s—are untaxed in Florida, making it one of the best states to retire in financially. And if you love to hit the links, Florida also has more golf courses than any other state!
Idaho
If you’re looking for a quiet lifestyle with a mild climate, mountain living, and low property taxes, Idaho is a good state to retire to. One of its greatest benefits is the range of outdoor recreation opportunities it has for hobbyists and nature lovers. Idaho is home to seven national parks and reserves, including City of Rocks National Reserve and Craters of the Moon National Monument & Preserve, and it provides easy access to nearby Yellowstone National Park. Not to mention, with top-notch health facilities and other great amenities, Boise is one of the best cities for retired veterans!
Maine
Want to get out in nature during retirement? The Pine Tree State might be for you—with access to 32 state parks, islands like Peaks Island and Great Diamond Island, and even Acadia National Park, the “Crown Jewel of the North Atlantic Coast.” You can also tour Maine’s more than 60 iconic lighthouses, or find out why Maine is considered the best state for seafood after visiting some of the state’s best lobster shacks. With no taxes on Social Security and easy access to public transportation—including Portland‘s Greater Portland Metro and Biddeford Saco Old Orchard Beach Transit—it’s no wonder why Maine is considered one of the top retirement states!
Mississippi
With fun things to do across the state and a rich history, it’s no wonder why Mississippi is one of the best retirement destinations! For starters, there are no taxes on retirement income or Social Security, making Mississippi one of the best states for retirees for taxes. Nature lovers will be happy to find more than 20 state parks, including LeFleur’s Bluff State Park and Tishomingo State Park. There are also plenty of great sites for history buffs to explore, made easy by convenient paths like the Mississippi Freedom Trail, Mississippi Blues Trail, and Mississippi Writers Trail. Plus, Jackson—the capital of Mississippi—offers convenient public transportation via JTRAN, charming community events like the Mississippi Farmers Market, and more!
Nevada
Seniors looking for an affordable state to retire to should consider Nevada! There is no state income or tax on retirement income, making it a tax-friendly state to retire in, and residents benefit from low property taxes as well. But what draws retirees to Nevada is its sunny weather and exciting outdoor recreation. With approximately 90 golf courses scattered across the state and hot spots like Lake Tahoe, Red Rock Canyon, and Valley of Fire State Park, Nevada is one of the best retirement-friendly states to consider if you love soaking up the sun. Plus, if you want to take advantage of the “Entertainment Capital of the World,” Las Vegas features more than 150 casinos, incredible magic shows, professional teams like the Las Vegas Raiders (NFL) and Las Vegas Golden Knights (NHL), and other fun ways to stay busy!
New Hampshire
New Hampshire is a popular destination for financially-motivated retirees, as it has some of the lowest retirement taxes in America. In addition to having no state sales tax, New Hampshire doesn’t impose taxes on Social Security benefits or distributions from retirement plans—plus, it’s a state that doesn’t tax pensions! The Granite State’s economic benefits aren’t the only reason it’s a great place to retire, however. It’s also one of the healthiest states for seniors, due in part to having one of the nation’s highest rates of doctors per capita. On top of all that, New Hampshire offers stunning outdoor beauty that can be appreciated at nationally-recognized locations like the White Mountains and Lake Winnipesaukee—one of the best boating lakes in the U.S.
South Carolina
South Carolina’s tax-friendliness and low cost of living help make it one of the best states for retirement. Plus, with hot summers and mild winters, it’s easy to enjoy outdoor recreation opportunities at Sullivan’s Island, Cypress Gardens, and Sesquicentennial State Park—in fact, Charleston is one of the best cities for year-round weather! And in Myrtle Beach, often called the “Golf Capital of the World,” you can participate in a number of golf events and tournaments throughout the year—or play a round at courses like River Oaks Golf Club, Myrtle Beach National, and Whispering Pines Golf Course.
South Dakota
South Dakota provides a dependability few others can match, with low living costs—especially when it comes to housing—and some of the nation’s best tax rates. In addition to the financial benefits, South Dakota has all kinds of outdoor areas to explore and appreciate, including Custer State Park, Black Hills National Forest, and Badlands National Park. The combination of financial stability and natural beauty, along with robust senior healthcare, helps make South Dakota one of the best states to retire in!
Virginia
One of the most important factors in retirement planning is how senior-friendly a state is, and Virginia passes that test with flying colors. With no state tax on Social Security benefits and a $12,000 tax exemption on some forms of retirement income, Virginia is a very tax-friendly state for retirees. The Old Dominion State also has more than 150 hospitals, including renowned institutions like Inova Fairfax Medical Campus and UVA Health University Medical Center. And while Virginia offers plenty of fun events and big-city living, it also allows you to get some peace and enjoy the natural beauty of areas like the Blue Ridge Mountains and Shenandoah National Park.
Wisconsin
Wisconsin has so many great cities to retire in—such as Madison and Green Bay—that you might have trouble settling on one! The Badger State attracts retirees with its healthcare access, low living costs, and excellent outdoor recreation. You can get out and hike natural areas like Lakeshore State Park, Havenwoods State Forest, and Cave of the Mounds. And if you just want to kick back and enjoy some Midwestern grub, Wisconsin is recognized for its love of beer, cheese, and brats, so it’s the perfect place to relax and indulge!
Wyoming
Wyoming is best known for its rolling prairies and massive national parks—most notably, Yellowstone and Grand Teton—but there are other factors that make it one of the best states to retire in. It’s an extremely tax-friendly state and home to some of the nicest people you’ll meet. Retirees looking for incredible views, friendly neighbors, and a slower pace of life should strongly consider making the move to Wyoming in retirement.
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Are you thinking about relocating for retirement? Extra Space Storage has storage facilities all over the country, so we can help with your move as you downsize for retirement. Find a self storage facility near you!
The goal of Extra Space Storage’s Best Places to Retire selections is to help diverse audiences near or in retirement make informed decisions about where to live. To provide a well-rounded and accurate view of each area, we’ve considered factors like cost of living, state and local taxes, attractions, accessibility, healthcare, and more. Learn more about our methodology today.
