best states to retire in 2022

I retired to Madison and think it's perfect easy to get to outdoor activities, but also lots of activities all year long within the city, from fitness classes to pickleball to pools to art classes, live music, great restaurants, libraries, and shopping. The state topped our ranking of culture and diversity. West Virginia. Florida Affordability rank: 4 Quality of life rank: 5 Health care rank: 27 Florida has the highest population of people over 65, but is one of the states with. You may opt-out by. A range of lifestyles and living costs are on offer, including ranches and farms in . Florida named the best state to retire in 2022, study says by: Caleb Wethington, Nexstar Media Wire Posted: Sep 5, 2022 / 06:23 AM EDT Updated: Sep 5, 2022 / 07:11 AM EDT DALLAS ( KDAF). The serious crime rate is above the national average. It is neither tax nor legal advice, is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. This is a BETA experience. The restaurant scene is robust. The Maine state income tax tops out at a hefty 7.15% on taxable income for a couple above $108,900. Virginia #4. Here's how the Secure Act 2.0 could help you get what you're owed. There is also a state estate tax. All forms of retirement income get taxed in the Nutmeg State, but some seniors could be exempt from paying taxes on their Social Security. Florida was at the top of the list. After a lifetime of hard work, two-plus years of dealing with COVID-19, and the . Indiana. Outdoor experiencesforests, parks, hiking terrain and whitewater paddlingand in-town culture abound around this scenic city in the Blue Ridge Mountains region of western North Carolina. The states crime rate is also fairly low, according to The Motley Fool. Money concerns play a big factor in those low rankings, with New York ranking as the least affordable state and New Jersey following right behind, whereas Mississippi ranks at the bottom in terms of the quality of life, according to WalletHub. The worst state in the U.S. for retirement is New Jersey, followed by Mississippi and New York, based on WalletHub's findings. West Virginia 2. If youre looking for retirement-age friends, youll have a good chance of finding them in this state where 21 percent of the population is age 65 and older. Beantown's about a 45-minute drive south. Start Slideshow . Arkansas Highest T-45. But Social Security benefits are exempt and theres no state estate tax. Boulder itself is very walkable and bikeable with a low serious crime rate, good air quality and abundant doctors. 18 in Bankrates affordability index. Bend is a scenic outdoor playground, 160 miles southeast of Portland. Our experts have been helping you master your money for over four decades. But under the care of a pro, the . So it's generally peaceful and quiet, comments resident Haley Rose on Quora. Our reporters and editors focus on the points consumers care about most how to save for retirement, understanding the types of accounts, how to choose investments and more so you can feel confident when planning for your future. When delaying your RMDs might not be the best idea . (Because the FBI significantly changed the reporting format for 2020 data, we did not rely on those statistics. Taxes This is a big consideration throughout our lives, but when incomes decrease in retirement, it can become a huge factor. There is no state income tax, but there is a stiff state estate tax. Here's a look at the Best Places. Many Florida cities have high desirability ratings based on a U.S. News online survey about where people age 45 and older are most interested in retiring. Florida #2. Another negative: The serious crime rate is above the national average. However, Hawaii was found to have the highest life expectancy, while West Virginia was found to have the lowest. Tennessee 7. West Virginia has the most affordable housing in the United States. Plus there's a lot of opportunity to work part-time here if you're so inclined, writes Claire515 on Reddit. Another good one is to pursue your avocational passions. Aside from its annual motor racing spectacle, the Hoosier State offers some delightfully picturesque state parks and the Indiana Dunes National Park which lies along Lake Michigan. More: Jump-start your retirement plan. For those who do not mind colder winters, a lakeside community in a state like Michigan or Ohio can. Idahos graduated state income tax rate hits a top rate of 6% at just $15,878 of income for married couples. A confusing state income tax structure tops out at 4.5% on high earners but is scheduled to drop to 2.5% in future years. The Treasure State features stunning vistas and clear-blue lakes and its one of the least populated states in the country. Florida has no state income or estate tax. Delaware also has a major perk of being close to Washington, D.C. so you can have a calm weekend or a rocking one out on the town. What are index funds and how do they work? Distilleries and breweries are good too if you like to drink! writes Redditor BlackRoseRedApple. We prefer our rural areas to crowded places anyway We live a lifestyle that others may call slow, but we love things such as boating, fishing, hunting, and sitting around a campfire, says resident Audrey Seibel on Quora. Basically, you dont need to travel far to find really great places to eat.. Powered and implemented byFactSet Digital Solutions. Social Security income is tax-exempt, and most types of retirement income if your 62 or older. He oversees editorial coverage of banking, investing, the economy and all things money. It bristles with dozens of art galleries, fine restaurants and museums, plus world-class skiing and other outdoor land activities. There is no state estate tax. This New England state might not be the cheapest place to live in youll pay high property taxes and a 5% tax on interest and dividends greater than $2,400 however, it ranks well for quality of life and health care. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional. To help Americans find the best cities to spend their golden years, WalletHub compared the retirement-friendliness of 182 cities including the 150 most populated U.S. cities, plus at least two of the most populated cities in each state across four key dimensions: 1) Affordability, 2) Activities, 3) Quality of Life and 4) Health Care. Oklahoma. For its report, WalletHub compared all 50 states based on 47 measurements within three categories: affordability, quality of life and health care. Florida has no state income or estate tax. We have culture. The lower the score, the higher the state ranks as a retirement destination. . Maryland #4. Bankrates editorial team writes on behalf of YOU the reader. Look at how youre going to spend your money, too. Florida 2. To calculate these rankings, we used 13 different metrics across three categories health, housing and quality of life pulled from publicly accessible databases to rank all 50 states. Our award-winning editors and reporters create honest and accurate content to help you make the right financial decisions. Pursuits at an elevation of 3,600 feet around the north-flowing Deschutes River include downhill and cross-country skiing, fishing, tubing, hiking, rock climbing, bicycling, paragliding and, except in the dead of winter, golf on nearly two dozen nearby courses. And the states strong economy means housing has only gotten more expensive as well, reports KSL News Radio. However, the high incidence of hurricanes and tornadoes hurts Floridas weather ranking. 5 of the best states to retire in. As far as entertainment goes, New York has the most museums per capita and, along with California and Minnesota, the most theaters per capita. And while youll have to contend with snow in the winter, Redditor linnane recommends the state for its summer climate. Elevation is 2,200 feet. While property taxes are relatively high, the median home value is just around $180,000, according to Zillow. Tennessee. Virginia 3. FEMA rates the natural hazards risk as moderate, which is the middle ranking. The Most Tax-Friendly States to Retire originally appeared on usnews.com. It ranks slightly higher than average for its quality of life and crime rates, and WalletHub says it has one of the lowest complaints of elder abuse in the country. For wellness rankings, Bankrate used the Sharecare Community Well-Being Index released in July 2022. Oregon has no sales tax but makes up for that with an income tax rate that hits 8.75% at just $18,400 of taxable income for a couple (with Social Security excluded). Maryland not only has an income tax, but were also one of only seven states that has an estate tax. Meanwhile, for potential retirees seeking a cultural melting pot, Florida boasts solid racial diversity and a significant LGBTQ population. One downside: a serious crime rate above the national average. Get matched with a financial advisor today at Datalign and get on the path to financial success. But this compensation does not influence the information we publish, or the reviews that you see on this site. A low cost of living is a priority for some, while being close to family takes precedence for others regardless of the cost. Therefore, this compensation may impact how, where and in what order products appear within listing categories, except where prohibited by law for our mortgage, home equity and other home lending products. Whats vitally important for people in that age group are medical care, access to shopping and public transportation. Colorado 4. Nevada 10. Every year, new data is released on which states are the best for a retiree to reside in, factoring in metrics like affordability, health care, quality of life, crime and weather. Do you prefer golf or cross-country skiing? Elevation is 300 feet. Weve got the normal entertainment youd find everywhere and we get pretty decent Broadway tours if youre into that. Climate is warm but pleasant. In a new ranking, southeast states swept the top three spots judged the best places for retirees in 2021. En espaol | Choosing where to live after retirement is a huge decision and a very personal one. Maine (20.6%) Florida (20.5%) West Virginia (19.9%) Vermont (19.4%) Montana (18.7%) Delaware (18.7%) Best Overall State for Retiring Now, let's compare. Our methodology: Our editors considered a variety of factors including each state's retirement rankings from WalletHub, MoneyRates and The Motley Fool to create our proprietary index. 7.. Check out WalletHub's 10 best states for retirement to get the most out of your golden years: 1. Do you still want to be able to play golf, tennis or pickleball? The Most Affordable Places to Retire. The 10 Best Places to Retire in the U.S . It also ranks relatively well for health care and has one of the highest percentages of the population aged 65 and older, according to WalletHub. Considering a retirement move? Its hard to make a blanket statement. Our mission is to provide readers with accurate and unbiased information, and we have editorial standards in place to ensure that happens. Wisconsin is considered moderately tax friendly for retirees since Social Security is exempt, but any withdrawals from your retirement accounts will get taxed. FEMA rates Pinehurst as having a relatively moderate natural hazard risk. With a raise next year of 5.9%, Nevada's Social Security recipients will get $1,614.41 per month. Santa Fe has a favorable moderate natural hazard risk rating from FEMA. Indiana. In addition to examining the local laws, we considered the percentage of the population over 65, the percentage of the population identified as LGBTQ+, the average home price, and the cost of living to generate a list of states. Affordability was once a big selling point for Florida retirees, but that advantage is fading. The city is very walkable and bikeable. I can see Zion National Park from my backyard. The Bankrate survey analyzed all 50 states for affordability, based on the cost of living index and the effective tax rate. To identify the most retirement-friendly states, WalletHub researchers compared the 50 states across the key dimensions of affordability, quality of life and health care. However, property and sales taxes tend to be higher than average. A Division of NBC Universal, Jeffrey Greenberg | Universal Images Group | Getty Images. Our editorial team receives no direct compensation from advertisers, and our content is thoroughly fact-checked to ensure accuracy. Here, in ascending order, are the best states for LGBTQ+ retirees to live. Founded in 1976, Bankrate has a long track record of helping people make smart financial choices. The Best States To Retire in 2022 As noted above, the best state to retire in will depend on an individual or couple's budget, lifestyle, and values. Toughest States for Retirees. The states cost of living has been rising, although the tax burden remains light. Reminder: You still have time to add to your IRA for 2022 . The state includes plenty of recreational opportunities for seniors, according to resident Torrey Stephen Whitman on Quora. Bankrate looked at several public and private datasets related to the life of a retiree. South Carolina ranks poorly for its crime and safety it has one of the highest property crime rates in the country and health care, but its relatively affordable to live in. At an elevation of 20 feet, Charleston is moderately walkable and very bikeable. Midwestern states scored well in our ranking for affordability, healthcare, and safety, leading to. These states might offer blue skies and beaches or affordable housing and health care but its important to have a decently-sized nest egg before you decide where to live in your retirement. You wont get taxed on your Social Security benefits, but any retirement income from your pension or other accounts are fair game. Seattle has a relatively high (but not very high) natural hazard risk. Oregon 9. Iowa offers a lower cost of living, better healthcare, and lower home prices, making it safe and affordable. With 120 nearby wineries, this quaint rural town 260 miles southeast of Seattle, boasts a surprisingly robust fine dining scene. Melbourne, FL 5. Serious crime rate is higher than national average. This haven for foodies has a big arts/culture scene, more than 60 area golf courses, lots of other outdoors activities, a culture of volunteering and free senior citizen auditing of classes at Portland State University. It ranked within the top 15 states for the lowest rates of identity theft, fraud, and violent crime. The 2023 leave year begins for most federal employees on Sunday, Jan. 1, 2023. 1 on its list for housing costs. Massachusetts and Maryland are more expensive in these categories, according to the report, while Hawaii and New Mexico are less expensive, with some costs nearly 50% lower. Among the downsides: Austin has a relatively high (but not very high) risk for natural hazards and a serious crime rate above the national average. Decide whats truly worth it while picking out a place for your golden years. Quotes displayed in real-time or delayed by at least 15 minutes. The offers that appear on this site are from companies that compensate us. More: How to get your retirement plan back on track. In its own world 30 miles northwest of Denver, Boulder is the center of a large recreational open space abutting the Rockies at an elevation of 5,400 feet. The end of your career also raises new questions about where and how to spend your days now that youre no longer tied to a specific location. Aside from its overall ranking, WalletHub also found how different states ranked within a few of those 47 measurements. Idahos considered one of the safest states to live in, thanks to its low crime rate, and has one of the lowest average monthly health insurance premiums in the country, according to WalletHub. I don't want to go to any state with excessive bugs or . Richmond has an amazing food and culture scene. We are an independent, advertising-supported comparison service. Our methodology: We combined each state's retirement rankings from WalletHub, MoneyRates and The Motley Fool to create . Despite an elevation of just 10 feet, Hilton Head has a moderate FEMA rating for natural hazard risk. Another downside: a serious crime rate above the national average. Nevada. Aug 1, 2022. ), Bankrate, LLC NMLS ID# 1427381 | NMLS Consumer Access Idaho 8. The state is considered relatively safe to live in as well and The Motley Fool ranks it No. Some states offer tax breaks on retirement income. Americas Dairyland is renowned for its beer and cheese but retirees tend to relocate to the state for its wide-open spaces and recreational opportunities. Weve averaged three recent state rankings to create one master list. While some scenic destinations top the list, like sunny Florida and mountainous Colorado, the bottom of the list features two of the most populated states in the northeast. Kelly Miller, AARP, Updated January 2011 . Led by famous century-old Pinehurst Resort, some 40 golf courses plus golf schools surround this idyllic village with a temperate climate, 90 miles east of Charlotte. Alabama #7. Because of all the tourists there is a lot to do in the summer in terms of restaurants, musical performances, theater and outdoor activities.. I paid $189,000 under a USDA loan. Idaho is gorgeous. As a resident of Delaware who is looking to retire in five years, I can personally state that I will be retiring in the state of Delaware because it is centrally located between major cities and modes of transportation and the cost of living will work well with our retirement funds, writes Antionette Blake on Quora. In fact, the two top states in WalletHub's rankings, Florida and Virginia, are both among the 10 most affordable states in the U.S. Our editorial team does not receive direct compensation from our advertisers. The states low taxes and lack of crime make Wyoming sound rather idyllic. If youre interested in Florida or Arizona or California, stay there for a while and see if you like the climate at the time of year youre going to be living there. Top criteria include the happiness of local residents, housing affordability, tax rates and health care quality. I am well aware of what a house/acreage like this would cost in LA or NY.. Other pluses include good air quality, a low serious crime rate and a high number of doctors per capita. City is very bikeable but not so walkable. Pennsylvania3rd best state to retire in Also, ranking high on our list is Pennsylvania. We are surrounded by mountains, forests, rivers, lakes, the whole shebang Overall cost of living is pretty low here, although property values in Laramie are higher here than some other parts of the state.. When I see people retire and move to different parts of the country, 70 to 80 percent of the time, its to be close to family. Florida 2. Idahos graduated state income tax rate hits a top rate of 6% at just $15,878 of income for married couples. If you love the outdoors, you can settle down by the sea and take part in sailing, surfing and fishing Rhode Islands coastline stretches for 400 miles. Named for a 17th century ship captain, this Atlantic Ocean barrier island sits near 67 golf courses and affords all kinds of outdoor recreation opportunities on land and water, including hiking, fishing, kayaking and boating. It also scored third place on both WalletHubs and The Motley Fools tax rankings there are no sales taxes, property taxes are quite low and Social Security is only partially taxed. The state was dragged down by back-of-the-pack scores in affordability and weather. For this study, Bankrate looked at five broad categories: affordability, wellness, culture, weather and crime. Do these seven things now. Uruguay. Colorado ranks fourth in the United Health Foundation's senior health rankings, with particularly high marks in clinical care and positive behaviors. The Small Wonder might not be the first state that comes to mind when you think of retirement its not flashy and hot like Florida or adventure-filled like Arizona but it is the one of the most affordable states to retire to in the U.S. Delaware has no sales or estate and inheritance taxes, extremely low property taxes and wont tax you on your Social Security benefits. Worst State: 2x Difference Alabama vs. Hawaii Annual Cost of In-Home Services Lowest 1. Plenty of golf courses, if that's for you. Aimlockbelch on Quora recommends the local eateries in the state. Youll enjoy low property taxes, no taxes on your Social Security and a sizable deduction on other forms of retirement income. 3. Elevation of 2,100 feet makes most summers non-sweltering. Property and sales taxes are relatively low and Social Security benefits dont get taxed at all. Thats why a number of otherwise appealing choices, including New York City, didnt make the cut. Elevation is 500 feet.