Guide 50 States
Best States for Retirement
The best retirement states combine low taxes, affordable living, and reasonable healthcare costs. Below are all 50 states scored by a retirement-friendliness index based on income tax, property tax, cost of living, and insurance costs.
Verified Data
Ranked by COL Index
Editorially Reviewed
Updated
Key Takeaways
- Mississippi ranks #1 with the lowest col index at 83.3.
- Hawaii ranks last at 193.3 — the highest among all states.
- The top 5 states are Mississippi, West Virginia, Kansas, Oklahoma, Alabama.
- All data is sourced from verified government databases and updated for 2026.
Top 3 States
1
Mississippi
Lowest COL Index
Income Tax 5.00%
Property Tax 0.81%
COL Index 83.3
Home Insurance $2,510
2
West Virginia
Lowest COL Index
Income Tax 5.12%
Property Tax 0.58%
COL Index 84.1
Home Insurance $1,450
3
Kansas
Lowest COL Index
Income Tax 5.70%
Property Tax 1.41%
COL Index 86.3
Home Insurance $2,900
All 50 States Ranked
Lowest to highest by col index
Scroll horizontally to see all columns
| # | State | Income Tax | Property Tax | COL Index | Home Insurance | Calculator |
|---|---|---|---|---|---|---|
| 1 | Mississippi | 5.00% | 0.81% | 83.3 | $2,510 | Retirement Calculator |
| 2 | West Virginia | 5.12% | 0.58% | 84.1 | $1,450 | Retirement Calculator |
| 3 | Kansas | 5.70% | 1.41% | 86.3 | $2,900 | Retirement Calculator |
| 4 | Oklahoma | 4.75% | 0.90% | 86.6 | $3,300 | Retirement Calculator |
| 5 | Alabama | 5.00% | 0.41% | 88.1 | $2,320 | Retirement Calculator |
| 6 | Arkansas | 4.40% | 0.62% | 89 | $2,600 | Retirement Calculator |
| 7 | Tennessee | 0.00% | 0.71% | 89.7 | $2,240 | Retirement Calculator |
| 8 | Missouri | 4.80% | 0.97% | 89.8 | $2,200 | Retirement Calculator |
| 9 | Iowa | 3.80% | 1.57% | 90.1 | $2,020 | Retirement Calculator |
| 10 | Kentucky | 4.00% | 0.86% | 90.3 | $2,400 | Retirement Calculator |
| 11 | Indiana | 3.05% | 0.85% | 90.5 | $1,540 | Retirement Calculator |
| 12 | Nebraska | 5.84% | 1.73% | 90.8 | $3,050 | Retirement Calculator |
| 13 | Ohio | 3.50% | 1.56% | 90.8 | $1,470 | Retirement Calculator |
| 14 | Louisiana | 4.25% | 0.55% | 91.1 | $3,200 | Retirement Calculator |
| 15 | Michigan | 4.25% | 1.54% | 91.4 | $1,820 | Retirement Calculator |
| 16 | North Dakota | 1.95% | 0.98% | 92.5 | $2,050 | Retirement Calculator |
| 17 | South Dakota | 0.00% | 1.31% | 92.6 | $2,800 | Retirement Calculator |
| 18 | Wisconsin | 7.65% | 1.85% | 93.3 | $1,380 | Retirement Calculator |
| 19 | Georgia | 5.49% | 0.92% | 93.4 | $2,050 | Retirement Calculator |
| 20 | Texas | 0.00% | 1.80% | 93.9 | $3,600 | Retirement Calculator |
| 21 | New Mexico | 5.90% | 0.80% | 94.6 | $1,780 | Retirement Calculator |
| 22 | South Carolina | 6.40% | 0.57% | 95 | $2,650 | Retirement Calculator |
| 23 | North Carolina | 4.50% | 0.84% | 95.1 | $2,180 | Retirement Calculator |
| 24 | Wyoming | 0.00% | 0.61% | 95.2 | $1,450 | Retirement Calculator |
| 25 | Illinois | 4.95% | 2.27% | 96.4 | $1,780 | Retirement Calculator |
| 26 | Minnesota | 9.85% | 1.12% | 96.8 | $1,980 | Retirement Calculator |
| 27 | Idaho | 5.80% | 0.69% | 97.7 | $1,380 | Retirement Calculator |
| 28 | Pennsylvania | 3.07% | 1.58% | 98.7 | $1,380 | Retirement Calculator |
| 29 | Utah | 4.65% | 0.63% | 101.3 | $1,200 | Retirement Calculator |
| 30 | Delaware | 6.60% | 0.57% | 101.5 | $1,150 | Retirement Calculator |
| 31 | Montana | 5.90% | 0.84% | 101.6 | $2,200 | Retirement Calculator |
| 32 | Arizona | 2.50% | 0.62% | 102.2 | $2,080 | Retirement Calculator |
| 33 | Florida | 0.00% | 0.89% | 102.8 | $4,200 | Retirement Calculator |
| 34 | Virginia | 5.75% | 0.82% | 103.7 | $1,550 | Retirement Calculator |
| 35 | Nevada | 0.00% | 0.60% | 104.2 | $1,470 | Retirement Calculator |
| 36 | Colorado | 4.40% | 0.51% | 105.1 | $2,820 | Retirement Calculator |
| 37 | Rhode Island | 5.99% | 1.63% | 107.8 | $2,050 | Retirement Calculator |
| 38 | Maine | 7.15% | 1.36% | 109.4 | $1,380 | Retirement Calculator |
| 39 | Washington | 0.00% | 1.03% | 110.7 | $1,420 | Retirement Calculator |
| 40 | New Hampshire | 0.00% | 2.18% | 112.6 | $1,280 | Retirement Calculator |
| 41 | Connecticut | 6.99% | 2.14% | 112.8 | $1,750 | Retirement Calculator |
| 42 | Oregon | 9.90% | 0.97% | 113.1 | $1,200 | Retirement Calculator |
| 43 | Vermont | 8.75% | 1.90% | 114.5 | $1,280 | Retirement Calculator |
| 44 | New Jersey | 10.75% | 2.49% | 115.2 | $1,360 | Retirement Calculator |
| 45 | Maryland | 5.75% | 1.09% | 115.4 | $1,650 | Retirement Calculator |
| 46 | New York | 10.90% | 1.72% | 123.8 | $1,640 | Retirement Calculator |
| 47 | Alaska | 0.00% | 1.19% | 125.9 | $1,350 | Retirement Calculator |
| 48 | Massachusetts | 9.00% | 1.23% | 135 | $1,750 | Retirement Calculator |
| 49 | California | 13.30% | 0.76% | 142.2 | $1,950 | Retirement Calculator |
| 50 | Hawaii | 11.00% | 0.28% | 193.3 | $1,250 | Retirement Calculator |
Methodology
How we collected and ranked the data
Retirement score = weighted combination of: no income tax (+30pts), low property tax (+20pts), low COL (+25pts), low home insurance (+15pts), high unemployment benefits (+10pts). Lower score = more retirement-friendly.
Government data sources
Updated annually
Editorially reviewed
Frequently Asked Questions
What is the best state to retire in?
It depends on your priorities. For low taxes: Florida, Texas, Wyoming, Nevada (no income tax). For low cost of living: Mississippi, Oklahoma, Arkansas. For weather: Florida, Arizona, South Carolina.
Do all states tax retirement income?
No. Nine states have no income tax at all. Several others exclude Social Security, pensions, or other retirement income from taxation.