This article takes a look at the 20 best places to live on only a Social Security Check. If you wish to learn more about living on Social Security, check out our article on the Best States to Retire on Social Security.
On Maximizing Social Security
Estimates from the Senior Citizens League are in for the next COLA scheduled in 2025, and it seems retirees are in for some bad news. Based on current inflation data from the Consumer Price Index, it is estimated that COLA for 2025 will be a mere 2.66%, the lowest it has been since 2020.
“With the forecast of a 2.66% COLA for 2025, it appears seniors will continue to suffer financial insecurity as much next year as they have this year”.
-Shannon Benton, executive director of The Senior Citizens League
Exactly how much COLA seniors will be receiving is based on an official announcement made by the Social Security Administration in October. This means retirees need to wait a couple of months more before they find out exactly how much COLA they will be getting next year. Nevertheless, it seems that retirees aren’t faring well when it comes to surviving their so-called golden years. No wonder BlackRock, Inc. (NYSE:BLK) CEO notes that the retirement system in the USA has entered a deep crisis and that it should be fixed right away.
“Today in America, the retirement message that the government and companies tell their workers is effectively: ‘You’re on your own” … And before my generation fully disappears from positions of corporate and political leadership, we must change that”.
– BlackRock, Inc. (NYSE:BLK) CEO Larry Fink
Those who only have Social Security to rely on should know that retirees can claim their Social Security as early as the age of 62. However, those who do receive a penalty of up to 30% of the amount they would receive at their full retirement age. Delaying benefit claims past your retirement age till the time you’re 70 ensures you receive the maximum amount of benefits. This amount is $4,873 as of 2024. Unfortunately, not all seniors have the health or resources to wait that long. Neither do they have other major sources of retirement income to survive on till the time comes that they start receiving maximum Social Security benefits.
To make use of what little they have in their retirement accounts and through Social Security checks, retirees often search for the cheapest places to live on Social Security. Our previous study highlighted some of the best states to live on Social Security, with the top five being Mississippi, Wyoming, West Virginia, Iowa, and Georgia. Retirees can start by choosing places within these states to stretch their retirement incomes a bit further. While Social Security isn’t meant to be your entire source of income, this is a sad reality for a majority of seniors across the country. Living on Social Security alone can be hard, but seniors are making it possible by retiring to some of the cheapest places to retire in the US. Till there is a solution to this crisis, relocation seems like a sound solution for many.
In other news, BlackRock, Inc. (NYSE:BLK) has seemingly come up with a new product for the looming retirement called the LifePath Paycheck. This product strives to provide a predictable, paycheck-like income stream that will aim to improve the lives of seniors. The first few record keepers to facilitate access to this product are Fidelity Investments and the Bank of America. BlackRock has also been working closely with insurers Equitable Holdings, Inc. (NYSE:EQH) and Brighthouse Financial, Inc. (NASDAQ:BHF) to provide the income stream option.
“Equitable Holdings, Inc. (NYSE:EQH)’s mission is to help our clients secure their financial well-being so they can pursue long and fulfilling lives,” The addition of secure income through defined contribution plans presents a profound opportunity to expand on the delivery of our mission. We feel privileged to support BlackRock in its LifePath Paycheck solution as it helps the record number of Americans reaching traditional retirement age reduce the risk of outliving their savings.”
– Aaron Sarfatti, Chief Strategy Officer and Head of Institutional Businesses and New Ventures at Equitable Holdings, Inc. (NYSE:EQH)
“Brighthouse Financial, Inc. (NASDAQ:BHF)is excited to play a role in helping U.S. workers who are seeking ways to access lifetime retirement income. The launch of LifePath Paycheck is an important step toward addressing the retirement challenges that America faces, and we are pleased to work with BlackRock on this solution.”
-Eric Steigerwalt, President and CEO, Brighthouse Financial, Inc. (NASDAQ:BHF)
Methodology
To compile the list of best places to live on only a Social Security check, we began by listing out a comprehensive list of affordable places with a high livability score. Our sources included previous lists such the best places to live on Social Security Check, external sources such as CNBC, Money Talk News, and forums such as Reddit and Quora. We ranked the places on average rents, livability scores, and cost of living index. An Insider Monkey score was calculated and places were ranked in an ascending order from the lowest to the highest scores. Rents are sourced from websites such as Apartments.com and Zumper and livability scores are from Area Vibes.
At Insider Monkey we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
Here are the best places to live on only a Social Security check:
20. Spanish Fort, Alabama
Insider Monkey Score: 27
Cost of Living Index: 89.7
Average Rent (1-bedroom): $935
Livability Score: 70
Situated on the eastern shore of Mobile Bay, Spanish Fort is not just cheap but also very beautiful. This coastal town is nice and clean, has a historic vibe to it, and offers all the amenities one needs for a comfortable retirement.
19. Montgomery, Alabama
Insider Monkey Score: 28
Cost of Living Index: 84.5
Average Rent (1-bedroom): $1,006
Livability Score: 65
Alabama’s capital City-Montgomery-is our next choice for our list of the best places to live on only a Social Security Check. Known as the birthplace of the Civil Rights Movement, history buffs will not only enjoy history tours but also have plenty of sports and nature activities to indulge in.
18. Lansing, Michigan
Insider Monkey Score: 35
Cost of Living Index: 83.6
Average Rent (1-bedroom): $1,027
Livability Score: 78
The capital city of Michigan is one of the fastest-growing cities in the state. Retirees can enjoy a cost of living that is 16.4% lower than the national average.
17. Dothan, Alabama
Insider Monkey Score: 36
Cost of Living Index: 80.4
Average Rent (1-bedroom): $956
Livability Score: 69
Dothan boasts excellent healthcare, abundant senior services, and lots of paintings and murals around the city. Dothan also has the perfect location, sitting ideally an hour away from Florida and Georgia.
16. Independence, Missouri
Insider Monkey Score: 37
Cost of Living Index: 88.4
Average Rent (1-bedroom): $962
Livability Score: 81
Next on our list of best places to live on only a Social Security Check is Independence, Missouri. This city is known for its small-town feel, beautiful parks, affordability, and welcoming communities.
15. Wichita, Kansas
Insider Monkey Score: 40
Cost of Living Index: 82.8
Average Rent (1-bedroom): $871
Livability Score: 66
This Kansas pick is one of the best cities to retire on a budget, thanks to its affordable living costs, good medical facilities, and diverse range of activities available.
14. Sioux Falls, South Dakota
Insider Monkey Score:41
Cost of Living Index: 89.4
Average Rent (1-bedroom): $983
Livability Score: 84
Top healthcare, affordable cost of living, and plentiful amenities make Sioux Falls our next best choice to live on only a Social Security Check.
13. Longview, Texas
Insider Monkey Score: 42
Cost of Living Index: 80.9
Average Rent (1-bedroom): $908
Livability Score: 71
Known as a certified retirement community, Longview is one of the best places in Texas to live on Social Security. This idyllic town is celebrated for its affordability, great healthcare, and diverse recreational opportunities.
12. Akron, Ohio
Insider Monkey Score: 43
Cost of Living Index: 80.8
Average Rent (1-bedroom): $1,049
Livability Score: 80
Another city where you can stretch your retirement savings further is Akron, Ohio. Bearing proximity to cities like Cleveland, Akron promises big-city amenities without compromising on its small-town charm. The city has a vibrant arts scene, good healthcare, and scenic parks to explore.
11. Champaign, Illinois
Insider Monkey Score: 44
Cost of Living Index: 85.6
Average Rent (1-bedroom): $1,004
Livability Score: 83
Champaign is often recommended as a retirement destination because of its affordable housing, low crime, and relaxed pace of life. Seniors can enjoy an urban life here in this small yet friendly city. There is a vibrant downtown for leisure and a university for lifelong learning.
10. Fargo, North Dakota
Insider Monkey Score: 45
Cost of Living Index: 90.6
Average Rent (1-bedroom): $913
Livability Score: 84
Next on our list of best places to live on only a Social Security check is Fargo in South Dakota. Fargo can take your retirement dollars far if you have the heart to forgive it for its colder winter months. There are plenty of amenities for seniors here to call their home.
9. Johnson City, Tennessee
Insider Monkey Score: 46
Cost of Living Index: 84.6
Average Rent (1-bedroom): $897
Livability Score: 75
Our only pick from Tennessee, Johnson City is loved the most by outdoor enthusiasts. Besides enjoying beautiful views of the Blue Ridge Mountains from anywhere in the city, Johnson City is also cherished for its many trails and parks, friendly people, and tax-friendly environment.
8. Des Moines, Iowa
Insider Monkey Score: 47
Cost of Living Index: 86.6
Average Rent (1-bedroom): $937
Livability Score: 81
One city with all the right amenities yet comes without the hefty price tag is Des Moines, Iowa. Home to excellent healthcare facilities, museums, galleries, and even art venues, this city can offer seniors an affordable life in their golden years.
7. Fort Wayne, Indiana
Insider Monkey Score: 48
Cost of Living Index: 82.0
Average Rent (1-bedroom): $1,106
Livability Score: 84
Ranking 7th on our list of best places to live on only a Social Security check is Fort Wayne, Indiana. Fort Wayne has so much to offer to seniors that they are bound to have fun every day. There are plenty of seasonal festivals here, more than 80 stunning parks, 116 miles of trails in the Greater Fort Wayne area, and numerous libraries too.
6. Shreveport, Louisiana
Insider Monkey Score: 48
Cost of Living Index: 77.7
Average Rent (1-bedroom): $889
Livability Score: 60
Seniors often retire to Shreveport to avail the three C’s- culture, charm, and cost of living. There is a thriving arts community here, dining is impeccable, and there are lots of museums to explore.
5. Little Rock, Arkansas
Insider Monkey Score: 50
Cost of Living Index: 80.7
Average Rent (1-bedroom): $905
Livability Score: 73
Our next pick for the best places to live on Social Security is Little Rock in Arkansas. Sitting on the banks of the Arkansas River, Little Rock is the capital city of Arkansas and is home to more than 200,000 people.
