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.
- Oklahoma ranks #1 with the lowest col index at 83.5.
- Hawaii ranks last at 184.8 — the highest among all states.
- The top 5 states are Oklahoma, Alabama, Mississippi, Kansas, West Virginia.
- The ranking basis, source limitations, and calculation method are documented in the Methodology section below.
Top 3 States
All 50 States Ranked
Lowest to highest by col index
| # | State | Income Tax | Property Tax | COL Index | Home Insurance | Calculator |
|---|---|---|---|---|---|---|
| 1 | Oklahoma | 4.50% | 0.79% | 83.5 | $2,486 | Retirement Calculator |
| 2 | Alabama | 5.00% | 0.37% | 85 | $1,906 | Retirement Calculator |
| 3 | Mississippi | 4.00% | 0.58% | 86.2 | $2,029 | Retirement Calculator |
| 4 | Kansas | 5.58% | 1.21% | 87.6 | $1,733 | Retirement Calculator |
| 5 | West Virginia | 4.58% | 0.51% | 87.9 | $1,179 | Retirement Calculator |
| 6 | Indiana | 2.95% | 0.76% | 88.3 | $1,259 | Retirement Calculator |
| 7 | Iowa | 3.80% | 1.33% | 88.6 | $1,342 | Retirement Calculator |
| 8 | Missouri | 4.70% | 0.89% | 88.6 | $1,589 | Retirement Calculator |
| 9 | Tennessee | 0.00% | 0.52% | 88.9 | $1,649 | Retirement Calculator |
| 10 | Arkansas | 3.90% | 0.56% | 89.1 | $1,870 | Retirement Calculator |
| 11 | New Mexico | 5.90% | 0.63% | 89.9 | $1,490 | Retirement Calculator |
| 12 | Georgia | 4.99% | 0.79% | 90.6 | $1,828 | Retirement Calculator |
| 13 | North Dakota | 2.50% | 0.92% | 90.7 | $1,414 | Retirement Calculator |
| 14 | Texas | 0.00% | 1.40% | 90.7 | $2,864 | Retirement Calculator |
| 15 | Louisiana | 3.00% | 0.55% | 91.1 | $3,027 | Retirement Calculator |
| 16 | Nebraska | 4.55% | 1.44% | 91.3 | $2,142 | Retirement Calculator |
| 17 | South Carolina | 5.21% | 0.49% | 91.9 | $1,753 | Retirement Calculator |
| 18 | Kentucky | 3.50% | 0.74% | 92.5 | $1,525 | Retirement Calculator |
| 19 | Minnesota | 9.85% | 1.00% | 93.4 | $1,988 | Retirement Calculator |
| 20 | Ohio | 2.75% | 1.36% | 93.7 | $1,116 | Retirement Calculator |
| 21 | Wyoming | 0.00% | 0.53% | 93.7 | $1,853 | Retirement Calculator |
| 22 | Michigan | 4.25% | 1.19% | 93.9 | $1,110 | Retirement Calculator |
| 23 | South Dakota | 0.00% | 1.00% | 94.1 | $1,614 | Retirement Calculator |
| 24 | Illinois | 4.95% | 1.88% | 95.1 | $1,480 | Retirement Calculator |
| 25 | Pennsylvania | 3.07% | 1.26% | 96.2 | $1,217 | Retirement Calculator |
| 26 | North Carolina | 3.99% | 0.66% | 96.6 | $1,852 | Retirement Calculator |
| 27 | Wisconsin | 7.65% | 1.32% | 97.4 | $923 | Retirement Calculator |
| 28 | Virginia | 5.75% | 0.78% | 99.1 | $1,537 | Retirement Calculator |
| 29 | Utah | 4.50% | 0.48% | 100.6 | $1,107 | Retirement Calculator |
| 30 | Florida | 0.00% | 0.78% | 100.7 | $2,779 | Retirement Calculator |
| 31 | Nevada | 0.00% | 0.50% | 100.7 | $1,013 | Retirement Calculator |
| 32 | Delaware | 6.60% | 0.54% | 101.7 | $1,196 | Retirement Calculator |
| 33 | Idaho | 5.30% | 0.50% | 101.7 | $1,135 | Retirement Calculator |
| 34 | Colorado | 4.40% | 0.50% | 101.8 | $2,492 | Retirement Calculator |
| 35 | Montana | 5.65% | 0.61% | 105.9 | $1,768 | Retirement Calculator |
| 36 | Arizona | 2.50% | 0.48% | 107.6 | $1,194 | Retirement Calculator |
| 37 | Oregon | 9.90% | 0.81% | 109.6 | $1,003 | Retirement Calculator |
| 38 | New Hampshire | 0.00% | 1.50% | 110.1 | $1,300 | Retirement Calculator |
| 39 | Rhode Island | 5.99% | 1.12% | 111.2 | $2,396 | Retirement Calculator |
| 40 | Vermont | 8.75% | 1.51% | 113 | $1,215 | Retirement Calculator |
| 41 | Connecticut | 6.99% | 1.54% | 114.2 | $2,036 | Retirement Calculator |
| 42 | Maine | 7.15% | 0.98% | 114.6 | $1,150 | Retirement Calculator |
| 43 | Washington | 0.00% | 0.75% | 114.6 | $1,232 | Retirement Calculator |
| 44 | New Jersey | 10.75% | 1.88% | 118.8 | $1,551 | Retirement Calculator |
| 45 | Maryland | 6.50% | 0.92% | 121.1 | $1,578 | Retirement Calculator |
| 46 | New York | 10.90% | 1.30% | 124.7 | $1,801 | Retirement Calculator |
| 47 | Alaska | 0.00% | 0.94% | 129 | $1,216 | Retirement Calculator |
| 48 | California | 13.30% | 0.70% | 140.5 | $1,655 | Retirement Calculator |
| 49 | Massachusetts | 9.00% | 1.00% | 147.8 | $2,134 | Retirement Calculator |
| 50 | Hawaii | 11.00% | 0.29% | 184.8 | $1,549 | 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.
Newsletter Signups Are Paused
We're building the email delivery behind our newsletter so we can do it properly — signups aren't open yet. Check back soon.
No form here and nothing is collected. Read our privacy policy.
Compare Two States
Compare taxes, housing, cost of living, and more between any two states.
View all 107 state comparisonsFrequently 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.