What are some of the worst places to retire in the U.S.? A new study from WalletHub compared the 50 states across 46 key indicators, from tax rates and the cost of living to access to quality medical care and fun activities, to find the least desirable places to retire.
As you think about where you want to retire, you might want to choose a place that offers a healthy and happy retreat from the day-to-day grind. Or, maybe just somewhere to live comfortably with easy access to quality healthcare and lower housing costs.
But unlike our companion story, Best Places to Retire in the U.S., these ten worst places to retire in 2024 generally have higher taxes and crime rates, and inadequate healthcare facilities. So, before you hand in your change of address card, consider carefully where you want to live (or don't want to live) before you move on.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Bottom 10 places to retire in 2024
What are the worst states to retire to? We've highlighted the bottom 10.
| Rank | State | Total Score* | Affordability | Quality of Life | Healthcare |
| 41 | Illinois | 47 | 47 | 16 | 26 |
| 42 | Arkansas | 47 | 13 | 49 | 42 |
| 43 | Washington | 47 | 45 | 17 | 27 |
| 44 | New York | 47 | 50 | 10 | 12 |
| 45 | Louisiana | 46 | 16 | 46 | 47 |
| 46 | Oklahoma | 46 | 17 | 47 | 45 |
| 47 | Rhode Island | 45 | 42 | 42 | 23 |
| 48 | Mississippi | 44 | 12 | 50 | 48 |
| 49 | New Jersey | 44 | 49 | 35 | 20 |
| 50 | Kentucky | 43 | 32 | 41 | 44 |
*Rounded up or down. A rank of 1 represents the best conditions for that metric category.
The worst 10 states to retire
1. Kentucky
Although Kentucky is known for its horse racing, bourbon, bluegrass music and southern hospitality, the state is prone to various natural disasters, including floods, tornadoes, and earthquakes. Kentucky can also be pretty humid in the summertime, attracting pesky bugs. Mosquitoes are common throughout the state and can be a nuisance when you are outdoors. Plus, quality healthcare is hard to get, as Kentucky comes in at #40 (out of 50). Even so, the cost of living in Kentucky is 17.7% lower than the U.S. average and a typical home costs around $195,000, which is 42.5% less expensive than the national average.
2. New Jersey
The cost of living in New Jersey is 19.8% higher than the U.S. average, which can make it more difficult to live in the state on a fixed income. A typical home costs $432,100, which is 27.8% more expensive than the national average, and the state is known for its subtropical climate, with warm summers and cold winters. However, the state offers a wide range of medical facilities, so you can access the care you need close to home. Plus, the cost of that quality healthcare is less than the U.S. average.
3. Mississippi
Mississippi is home to vibrant cities and wide expanses of natural beauty. It also offers many opportunities for outdoor recreation or just enjoying a slower pace of life. The cost of living is 21.3% lower than the U.S. average, and the average home will only set you back $155,300, which is 54.1% less expensive than the national average. If you like a tepid climate, then Mississippi may be the best place to retire — it has a humid subtropical climate with hot and humid summers and mild to warm winters. But crime is high and quality healthcare is harder to come by than in most other states.
4. Rhode Island
Rhode Island offers beaches and scenic beauty, but the cost of living is high — 12.5% higher than the U.S. average. Buying a home in Rhode Island can put a strain on your budget and set you back an average of $401,200, which is 18.7% more expensive than the national average of $338,100. Taxes are also higher, although sales tax is lower than in many places in the U.S. (Read our Rhode Island State Tax Guide). Healthcare is rated high, but the state has fewer hospitals and healthcare facilities compared to larger states. If you drive, get ready to be stuck in traffic no matter the time of day.
5. Oklahoma
The Oklahoma skyscape goes on for miles and miles in every direction, and you can find cowboy towns mixed with modernity from advances made in the oil industry. The cost of living in Oklahoma is 17.8% lower than the U.S. average, and the median home price is around $174,600, which is significantly lower than the national average.
Groceries also tend to be particularly low when compared to other states. Healthcare is rated good, but comes at a cost — about 14% higher than the national average. On the downside, Oklahoma is also known for its severe weather, particularly tornadoes, and public transportation is lacking in most areas.
6. Louisiana
Louisiana offers a diverse culture, great food and music. Housing costs are below average, but insurance rates can be high. Healthcare is important to senior citizens, and unfortunately, Louisiana doesn't rank very high.
Social Security benefits aren't taxed in Louisiana, but retirement account withdrawals are. The state also has a relatively low cost of living, and housing and utility costs are particularly low. The typical home price in Louisiana was recently only $198,053, according to Zillow, which is less than half the national average. Car insurance, though, averages just over $4,200 per year, 42% above average.
7. New York
If you're looking to hike the breathtaking trails of the Adirondacks or soak up the charm of small towns along the Hudson River, you'll love the diverse beauty of New York state. Contrary to popular belief, the cost of living in New York state is actually quite low compared to many other areas of the country. However, home prices have jumped in the past several years with the average home price coming in at $481,904. New York taxes most retirement income, like 401(k)s and IRAs, although Social Security is not taxed.
Winters can be long and cold in New York, but at least you'll enjoy the four seasons, with Fall being particularly beautiful. There are over 150 independent living communities in New York state, and the state has one of the best healthcare systems in the country.
8. Washington
Washington state has a lot to offer, from gorgeous mountains, long coastlines, many rivers, lakes, and, of course, great spots for coffee lovers. It also has plenty of rain, up to 120 inches per year in some places, which is not ideal for retirees who might want to enjoy the outdoors year-round. .
Washington does not have state income taxes, so your retirement income, including pensions, 401(k)s, and IRAs, are not taxed by the state. Property taxes are relatively low, but housing prices can be high, averaging about $589,272, according to Zillow. Washington also boasts top-tier healthcare systems, with cities like Seattle and Spokane known for their medical centers and specialized healthcare services.
9. Arkansas
Arkansas has a lower cost of living compared to many areas in the U.S., and healthcare, housing and groceries are all cheaper than the national average. The climate is temperate, allowing many opportunities for outdoor activities. On the downside, the state has high crime rates, including violent and property crime, a tough economy and lower education levels than many other areas of the country.
The state has many healthcare facilities, including major medical centers, but access to healthcare in more rural areas is limited. It is also home to the University of Arkansas for Medical Sciences, a world-class facility that provides outstanding care for retirees. Although Social Security is not taxed, pensions, 401(k) and IRA distributions are.
10. Illinois
From big city life in Chicago to the serene beauty of Illinois' rural landscapes, the state offers many opportunities for retirees. Overall, the state offers excellent healthcare facilities (some of the best in the U.S.) and no taxes on retirement income or Social Security.
The state is also home to world-class museums and beautiful parks,. However, property taxes in Illinois are among the highest in the nation, and a home will set you back about $266,000, on average. Keep in mind, however, that a crime occurs every minute (on average) in Illinois.
Winters can be cold and snowy in Illinois, which may not be ideal for retirees seeking a milder climate during their retirement years. Of course, you could join the hundreds of other snowbirds who seek out the warmer temps by "vacationing" for six months in Florida or Arizona.
The next 15 worst states to retire to
Of the ten worst states to retire in, Kentucky holds the unfortunate distinction of being No. 1, followed by New Jersey, Mississippi, Rhode Island, Oklahoma, Louisiana, New York, Washington, Arkansas and Illinois.
Although each of these states has its redeeming qualities, these next 15 states also represent a less-than-ideal place to live for retirees.
- Hawaii
- Alaska
- Iowa
- Kansas
- Georgia
- New Mexico
- Texas
- Nevada
- Connecticut
- Indiana
- Vermont
- Oregon
- Maryland
- Tennesee
- West Virginia
It's likely there is no one perfect place to retire that matches all of your needs. If that were the case, choosing an area of the country would be simple. To find the best place that makes sense for you, carefully consider various factors such as your health, ideal climate, finances and how you plan to spend your well-earned free time.
Related Content
-
Social Security Benefits Are ShrinkingSocial Security benefits are shrinking relative to Medicare premium increases, leaving older adults with less cash at the end of the month.
-
Should You Buy a Vacation Home?If you vacation to a beloved destination again and again, purchasing a home there may be a smart move — but don’t overlook the costs and effort that go into it.
-
Social Security Benefits Are Shrinking
Social Security benefits are shrinking relative to Medicare premium increases, leaving older adults with less cash at the end of the month.
-
Should You Buy a Vacation Home?
If you vacation to a beloved destination again and again, purchasing a home there may be a smart move — but don’t overlook the costs and effort that go into it.
-
Why Retirement Goals, Like New Year's Resolutions, Often FailCheck out these practical strategies for creating the habits that can help support your retirement goals and lead to a happy retirement.
-
Are Investment Fees Putting Your Retirement at Risk?Sneaky investment fees may delay your retirement by four years if you're not careful. Here's how to spot and rein in those fees.
-
Four Ways to Prepare for a Retirement Full of TravelWho wouldn't want to explore the world? But first think about what you hope to get out of your travels — and take a good look at your finances.
-
I Got Whooping Cough So You Don't Have ToCases of whooping cough, or pertussis, have risen sharply this year. Here's my Dickensian experience of this disease that should be history.
-
Key 2025 IRS Updates: What You Need to KnowFrom IRA contributions to Social Security COLAs and the standard deduction, several changes are headed our way. Get ready to make the most of them.
-
While Winding Down From the Holidays, Many Wind Up for DivorceJanuary is known as Divorce Month for a reason. Here's how women in particular can protect their financial future, especially when going through a gray divorce.
