Best States to Retire: The Top 10, Ranked

Which states are best for retirement? We rank the top 10 US states for retirees — weighing taxes, cost of living, climate, and healthcare — with a clear reason for each. Florida, Tennessee, and Texas lead the list, but tax dark-horses like Pennsylvania earn a spot too.

Where you retire can be worth tens of thousands of dollars a year — the same nest egg funds a very different life in a low-tax, low-cost state than in an expensive one. We ranked the top 10 US states to retire by weighing the factors that matter most to retirees: taxes (income, Social Security, pensions, and property), cost of living, climate, and healthcare access. Here’s the list, then the reasoning behind each pick.

The ranking at a glance

1. Florida — the retirement standard

Florida is #1 for good reason: no state income tax, no tax on Social Security or pensions, warm weather all year, and more retiree communities, doctors, and services aimed at older adults than anywhere else. The trade-offs are summer heat, hurricane risk, and rising coastal housing and insurance costs — look inland or to the Gulf for better value.

2. Tennessee — low-tax value with mild seasons

Tennessee pairs no income tax with a genuinely low cost of living and a mild, four-season climate. Cities like Knoxville and Chattanooga offer scenery, outdoor access, and affordability that Florida increasingly can’t match.

3. Texas — no income tax and big-city options

With no state income tax, low costs, and major metros (San Antonio, Austin, Houston, Dallas) full of top hospitals, Texas is a heavyweight. Watch property taxes, which run high and help fund the state in place of an income tax.

4. South Carolina — coast and mountains, tax breaks

South Carolina doesn’t tax Social Security and offers a sizable deduction on other retirement income, all with a mild climate and both beaches and Blue Ridge foothills. Greenville and the coast (Myrtle Beach, Charleston) are popular, generally at lower cost than Florida.

5. North Carolina — geography and healthcare

From the Blue Ridge Mountains to the Outer Banks, North Carolina offers variety, a moderate cost of living, and excellent healthcare around the Research Triangle. It doesn’t tax Social Security, and has a flat, moderate income tax on other income.

6. Arizona — warm, dry, and built for retirees

If you want warmth without Florida’s humidity, Arizona’s dry climate and huge active-adult communities are hard to beat. It doesn’t tax Social Security, and areas outside Phoenix/Scottsdale (Tucson, Prescott) offer real value.

7. Georgia — a tax-friendly sleeper

Georgia combines a low cost of living and mild weather with one of the country’s most generous retirement-income exclusions for older residents, and it doesn’t tax Social Security — a strong overall tax picture that flies under the radar.

8. Nevada — tax-free and affordable

Nevada’s no income tax, warm climate, and comparatively affordable housing (Las Vegas, Reno) make it a value play, with entertainment and amenities on tap. Summers are hot, but it’s a dry heat.

9. Wyoming — the lowest tax burden

Wyoming has no income tax and one of the lowest overall tax burdens in the nation, including low property taxes. It’s best for retirees who love wide-open spaces and don’t mind cold winters and fewer big-city services.

10. Pennsylvania — the tax dark-horse

Pennsylvania makes the list on taxes alone: it doesn’t tax Social Security, pensions, or withdrawals from 401(k)s and IRAs once you’re retirement age. Add a low cost of living and a central Northeast location near family and major cities, and it’s an underrated pick for those who don’t need year-round warmth.

How we ranked them (and how to pick yours)

• Taxes — income, plus how Social Security, pensions, and withdrawals are treated, plus property taxes.
• Cost of living — especially housing, the biggest lever on how far your savings go.
• Climate — warmth is popular, but mild four-season and dry climates rank high too.
• Healthcare access — proximity to good hospitals, which matters more each year.

No ranking fits everyone. The ‘best’ state for you also depends on where your family lives, the climate you actually enjoy, and the specific town within the state. Use this list to build a shortlist, then visit in the off-season and rent before you buy.

The bottom line

Florida, Tennessee, and Texas top the list thanks to zero income tax, low costs, and warmth — but tax-smart picks like Georgia, Wyoming, and Pennsylvania can leave more money in your pocket than the weather-driven favorites. Weigh taxes, cost, climate, and healthcare against your own life, and you’ll find your best state to retire.

Next, narrow it to a town with our guide to the best cities and towns to retire, or check your timeline with the Retirement Portfolio Analyzer.

Educational information only, not financial or tax advice. Tax rules and rankings change — verify a state’s current treatment of retirement income and property taxes before relying on it.

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