The 5 best U.S. states to retire in — and the 5 worst
Where someone chooses to retire is a major life decision. Affordability, weather, and community are all important factors that incoming retirees have to weigh when deciding where to settle down — especially if they are relocating.
The number of Americans retiring, and expected to retire, is growing. This year alone, the U.S. is projected to see a record 4.1 million people turning 65 (the average retirement age). And even more Americans are relying on Social Security payments as their main source of income during retirement, making affordability a key factor when deciding where to live.
“The reality is that most Americans feel behind on saving for retirement, which means affordability is critical,” said Bankrate analyst Alex Gailey. “A move to a more affordable location could be an effective way for soon-to-be retirees to stretch their retirement savings in this economy.”
Read more: Most Americans are worried about outliving their retirement savings
These are the five best — and five worst — states to retire in, according to Bankrate’s analysis of several important factors, including affordability, overall well-being, the cost and quality of healthcare, weather, and crime.
5th Worst: North Dakota
North Dakota was ranked the fifth-worst state for retirement by Bankrate for 2024. A combination of cold weather and middle-of-the-road affordability make it one of the least appealing state for retirees.
4th Worst: California
Despite its warmer climate, California ranked as the fourth-worst state for retirees. One of the largest push factors, according to Bankrate, is the state’s high cost of living and overall lack of affordability — especially for people living off of savings.
3rd Worst: Washington
Lack of affordability and a rainy climate made Washington the third-worst state for retirement in Bankrate’s rankings
2nd Worst: New York
New York was considered the second-worst state to retire, according to Bankrate. Its low affordability and colder climate make it an uninviting option for retirees looking to settle down.
Worst: Alaska
Alaska was the worst state to retire in in 2024. The state fell into last place in Bankrate’s ranking because of its bottom scores in both affordability and weather.
5th Best: Missouri
Missouri is one of the most affordable states, making it one of the top 5 places for retirement in the country last year. However, the state struggles with quality of healthcare, crime, and natural disasters, according to Bankrate.
4th Best: South Carolina
South Carolina jumped into the top 5 this year, nabbing the no. 4 spot in the ranking. The state’s affordability and amenable weather make a top state to retire in this year, according to Bankrate.
3rd Best: Georgia
Coming in at no. 3 is Georgia, a state that didn’t even crack the top 5 last year. Georgia’s podium position is owed in large part to its affordability and warm weather.
2nd Best: West Virginia
West Virginia moved up to second place this year. The state had the best affordability of all 50 U.S. states for the second straight year, according to Bankrate, with both a low cost of living and low tax rates.
Best: Delaware
Delaware moved from second-best to the best state for retirement in 2024, thanks to its top-notch healthcare, low taxes, and temperate climate.
“Delaware overtook Iowa for the number one spot in this year’s ranking of the best and worst states to retire,” said Bankrate’s Gailey. “While Delaware is a pricier state to live in, the state’s high-quality healthcare, light tax burden, affordable homeowners insurance and good weather propelled it to the top spot this year. Delaware also scored well in diversity, wellness and culture and has a high share of residents who are 62 and older compared to its population.”
Iowa dropped from first to ninth place this year.