Lexington, Ky.: A Great Place to Retire for Your Health
In the heart of Kentucky’s bluegrass country, Lexington offers horse culture, Kentucky Wildcats basketball, and plenty of specialists at Baptist Health Lexington.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
You are now subscribed
Your newsletter sign-up was successful
Want to add more newsletters?
Delivered daily
Kiplinger Today
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more delivered daily. Smart money moves start here.
Sent five days a week
Kiplinger A Step Ahead
Get practical help to make better financial decisions in your everyday life, from spending to savings on top deals.
Delivered daily
Kiplinger Closing Bell
Get today's biggest financial and investing headlines delivered to your inbox every day the U.S. stock market is open.
Sent twice a week
Kiplinger Adviser Intel
Financial pros across the country share best practices and fresh tactics to preserve and grow your wealth.
Delivered weekly
Kiplinger Tax Tips
Trim your federal and state tax bills with practical tax-planning and tax-cutting strategies.
Sent twice a week
Kiplinger Retirement Tips
Your twice-a-week guide to planning and enjoying a financially secure and richly rewarding retirement
Sent bimonthly.
Kiplinger Adviser Angle
Insights for advisers, wealth managers and other financial professionals.
Sent twice a week
Kiplinger Investing Weekly
Your twice-a-week roundup of promising stocks, funds, companies and industries you should consider, ones you should avoid, and why.
Sent weekly for six weeks
Kiplinger Invest for Retirement
Your step-by-step six-part series on how to invest for retirement, from devising a successful strategy to exactly which investments to choose.
Lexington is home to the University of Kentucky (where the Wildcats play) and Keeneland Race Track (where you can see thoroughbred horse racing). Its low taxes, low cost of living and affordable housing make it a great place to retire, too. It’s one of 10 small or midsize cities we found that offer first-class health care.
Lexington stats
Population: 322,000
What $300,000 will buy: 1-bedroom, 1.5-bath, 984-square-foot penthouse condo with a view of downtown
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free 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.
Best place to exercise: Raven Run Nature Sanctuary
5-star hospital*: Baptist Health Lexington
The city, in the heart of Bluegrass Country, is surrounded by horse farms. A visit to the Kentucky Horse Park ($20) gets you access to the International Museum of the Horse as well as American Saddlebred Museum. You’ll find locally owned boutiques at The Shops at Lexington Center, in the heart of the city. Nearby is Rupp Arena, where the Wildcats routinely demolish their opponents.
Outdoor enthusiasts can get their fix at Jacobson Park, a 216-acre park in east Lexington, which has fishing and boat rentals. Another option south of the city is Raven Run Nature Sanctuary, a 734-acre park along the Kentucky River that has more than 10 miles of hiking trails.
Baptist Health Lexington, located a few miles south of the city center, is a 391-bed facility that employs specialists in heart and stroke care, cancer, orthopedics, and rehabilitation.
The median home price in Lexington is about $166,000, according to the National Association of Realtors. If you’re looking to rent rather than buy, $995 per month will get you a 1,200-square-foot downtown condo with three bedrooms and one bath.
Kentucky is one of Kiplinger’s top-10 tax-friendly states for retirees. It exempts Social Security benefits from state income taxes, plus up to $31,110 per person in retirement income.
Blue Grass Airport is five miles west of the city and offers direct flights to a slew of cities on the East Coast and in the Midwest.
* Rating developed by the Centers for Medicare and Medicaid Services.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

-
Dow Leads in Mixed Session on Amgen Earnings: Stock Market TodayThe rest of Wall Street struggled as Advanced Micro Devices earnings caused a chip-stock sell-off.
-
How to Watch the 2026 Winter Olympics Without OverpayingHere’s how to stream the 2026 Winter Olympics live, including low-cost viewing options, Peacock access and ways to catch your favorite athletes and events from anywhere.
-
Here’s How to Stream the Super Bowl for LessWe'll show you the least expensive ways to stream football's biggest event.
-
Mom Needs a Nursing Home. Should I Spend Down Her Assets So She Qualifies for Medicaid?We asked expert financial advisers for their advice.
-
Trump’s Tax Cut Risks Your SNAP, Medicaid BenefitsTax Cuts The GOP budget blueprint could slash lifesaving programs for millions of U.S. households.
-
457 Plan Contribution Limits for 2026Retirement plans There are higher 457 plan contribution limits in 2026. That's good news for state and local government employees.
-
Medicare Basics: 12 Things You Need to KnowMedicare There's Medicare Part A, Part B, Part D, Medigap plans, Medicare Advantage plans and so on. We sort out the confusion about signing up for Medicare — and much more.
-
The Seven Worst Assets to Leave Your Kids or Grandkidsinheritance Leaving these assets to your loved ones may be more trouble than it’s worth. Here's how to avoid adding to their grief after you're gone.
-
SEP IRA Contribution Limits for 2026SEP IRA A good option for small business owners, SEP IRAs allow individual annual contributions of as much as $70,000 in 2025, and up to $72,000 in 2026.
-
Roth IRA Contribution Limits for 2026Roth IRAs Roth IRAs allow you to save for retirement with after-tax dollars while you're working, and then withdraw those contributions and earnings tax-free when you retire. Here's a look at 2026 limits and income-based phaseouts.
-
SIMPLE IRA Contribution Limits for 2026simple IRA For 2026, the SIMPLE IRA contribution limit rises to $17,000, with a $4,000 catch-up for those 50 and over, totaling $21,000.