This article takes a look at the 5 best states for retirement in the US in 2024. If you wish to check out our detailed analysis on finding the ideal retirement state, you may go to 15 Best States for Retirement in the US in 2024.
5. Michigan
Insider Monkey Score: 23
IM Healthcare Rank: 23
Cost Of Living Index: 90.6
Tax Friendliness: Tax Friendly
Coming in at number 5 is the state of Michigan. Michigan boasts a cost of living that is 9.4% lower than the national average. Moreover, the tax-friendly state doesn’t tax Social Security benefits, and also provides deductions on other types of retirement income. Out of all the states, Michigan ranks 23rd in terms of healthcare. Many cities and towns within the state offer a good mix of cheap living, healthcare, and amenities.
4. Florida
Insider Monkey Score: 24
IM Healthcare Rank: 29
Cost Of Living Index: 100.7
Tax Friendliness: Very Tax Friendly
No list of best states for retirement is complete without Florida. Even though the state may be getting overcrowded and expensive over the years, it still holds a special place in the hearts of many. This special place may be due to the weather and beaches, but it’s also because of its tax-friendly status and affordable cost of living.
3. Wyoming
Insider Monkey Score: 24
IM Healthcare Rank: 36
Cost Of Living Index: 92.4
Tax Friendliness: Very Tax Friendly
Wyoming outranks states like Michigan and Florida because of its very tax-friendly nature. That’s right-the state doesn’t have an income tax, which is why it’s so popular amongst retirees. All retirement income goes to seniors tax-free, and if someone wants to work, they get to keep all of their income too.
2. Iowa
Insider Monkey Score: 26
IM Healthcare Rank: 18
Cost Of Living Index: 90.3
Tax Friendliness: Tax Friendly
Coming in at second place, Iowa is one of the best states for retirement in the US in 2024. According to Seniorly, about 4 in 5 seniors own a home in this state. Moreover, the median rent in the state is only $1,100, enough to cover housing and other essentials on an average Social Security check.
1. South Dakota
Insider Monkey Score: 29
IM Healthcare Rank: 24
Cost Of Living Index: 92.4
Tax Friendliness: Very Tax Friendly
South Dakota is clearly the best choice for seniors who are looking for that one ideal state to retire in the USA. Affordable cost of living, friendly communities, and adequate healthcare makes it a true all-rounder destination. There is no state income tax in the country, making it a very tax-friendly state to retire to. Moreover, South Dakota is known for its stunning natural landscapes, including the Black Hills, Badlands National Park, and numerous lakes and rivers. Retirees can enjoy outdoor activities such as hiking, fishing, boating, and wildlife viewing, the perfect way to lead an active lifestyle.
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