This article takes a look at the 20 best places to retire in the US. If you wish to skip our detailed analysis of retirement realities in the US, you may go to the 5 Best Places to Retire in the US.

Retirement Realities in the US

Not everyone plans to retire at the tender age of 65. After all, the full extent of social security benefits cannot be realized until reaching the Full Retirement Age (FRA). And just so you know, Medicare doesn’t kick in before 65, either. The National Center for Health Statistics (NCHS) agrees, stating that average life expectancy has risen to 76, and even the nature of work has changed. Countries are getting older too, and raising the retirement age in response seems the only possible way to ease economic pressure. Nevertheless, the average American is still retiring at the age of 62, giving up on their chance at a higher social security check along the way.

To top it all, respondents in The Charles Schwab Corporation (NYSE:SCHW) 2023 401(k) Participant Survey reveal that they have identified a new benchmark they believe represents the ideal figure for Americans to achieve a “comfortable” retirement. Rising to $1.8 million, this number reflects a 37% decrease in confidence among workers who doubt their ability to accumulate such a sum before reaching retirement. If potential retirees are retiring before the FRA and that too without significant retirement savings, why aren’t individuals retiring in later years anyway? According to USA Today, the reality of retirement in America is that a departure from employment isn’t always as one would envision it to be. Elements like deteriorating health or corporate downsizing frequently shatter an employee’s envisioned departure from the workplace. Amazon.com, Inc. (NASDAQ:AMZN), Citigroup Inc. (NYSE:C), BlackRock, Inc. (NYSE:BLK), and Google have initiated a cascade of layoff announcements as the new year unfolds. According to the Layoff-tracking website Layoffs.fyi, 48 companies have sacked an estimated 7,528 employees as of January 15. Even worse, Google and Amazon.com, Inc. (NASDAQ:AMZN) plan on cutting more jobs this year in an attempt to cut down on costs.

“Some teams are continuing to make these kinds of organizational changes, which include some role eliminations globally.”

-Spokesperson at Google.

Moreover, a Transamerica study confirms that 56% of retirees had retired sooner than they had originally planned. 7% retired later, and only 37% retired as was scheduled. The bottom line? Working beyond the age of 60 may look easy but life can get in the way. Nevertheless, health experts such as Dr. Pinchas Cohen, dean of the Leonard Davis School of Gerontology at the University of Southern California, agree that retirement under the age of 65, for many types of professions, “makes no sense”.

“Even 65 is a 20th-century number.”

– Dr. Pinchas Cohen.

This is because many individuals are capable of maintaining and strengthening their cognitive abilities simply by staying in the workforce. Delaying retirement has also been associated with decreased death risk, regardless of the state of your health before retirement. Even then, owing to health risks and other complications, individuals may not be able to retire later in life.

Consequently, it’s always best to start saving for retirement as early as possible. Living on fixed incomes and limited savings is hard, but having a plan that can help make the most of one’s retirement income is the way to go. Some of the states that are best for retirees financially include Mississippi, Oklahoma, Alabama, and West Virginia. Not only do these states offer reasonable costs of living, but are also friendly in terms of taxes. Many cities are also affordable enough for seniors to retire on $2000 a month in the US, including Shreveport in Louisiana, Wichita in Kansas, and Laredo in Texas.

For those who haven’t started saving, it’s not necessarily too late. Even if you are 50 and have no retirement savings, there is hope for you still. Following some of the best practices to catch up on savings, and retiring to the best places that can give you the ideal balance of living expenses, healthcare, and quality of life, can help you ace your golden years.

Methodology

To compile the list of 20 best places to retire in the US, we have used several sources such as our list of 25 Best US Cities Where You Can Retire on $2500 a Month, US News & World Report, Business Insider, and BankRate. Additionally, we also used forums such as Reddit and Quora to ascertain what the best places are in the eyes of retirees. Next, we sorted out the list that comprised over 100 selected cities, ranking them on factors such as housing affordability, cost of living, and quality of life. Scores were summed up and places were then ranked in an ascending order from the lowest to the highest scores. The cost of living index has been sourced from Best Places, median home prices are taken from Redfin Corporation (NASDAQ:RDFN), while livability scores are taken from Area Vibes.

Before deciding on where to live in retirement, consider visiting the desired place, exploring neighborhoods, and talking to locals or other retirees who have chosen to live there. Additionally, consulting with a financial advisor, considering healthcare options, and factoring in personal preferences will contribute to making an informed decision about whether a certain area is suitable for retirement.

By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a similar consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.

Here are the best places to retire in the US:

20. Allentown, Pennsylvania

Insider Monkey Score: 79

Cost of Living Index: 97.9

Median Home Price: $237,000               

Livability Score: 78           

One of the best places to retire in the US is Allentown, Pennsylvania. Retirees get to take advantage of a range of healthcare choices and a robust job market as well. Plus, there are plenty of spots for recreation and entertainment, making it a great place to enjoy a high-quality life during retirement. The weather is quite ideal too, boasting 70 degrees Fahrenheit in summer and 20 degrees Fahrenheit in wintertime.

19. Greenville, South Carolina

Insider Monkey Score: 80

Cost of Living Index: 91.3

Median Home Price: $380,000               

Livability Score: 80

AARP’s best places to retire include the scenic city of Greenville in South Carolina. Boasting a temperate climate and affordable living costs, the city flaunts the Blue Ridge Mountains in the backdrop and a charming, bustling downtown to compliment it. Retirees can choose from the many independent living options available here.

18. Melbourne, Florida

Insider Monkey Score: 83           

Cost of Living Index: 95.6

Median Home Price: $330,000   

Livability Score: 81                       

Melbourne in Florida is deemed a retirement-friendly city where one can easily retire on $3,000 or less. The city offers excellent healthcare, a warm and sunny climate, and a diverse blend of art, cuisine, and culture for residents to enjoy. The cost of living is 4.4% lower than the national average.

17. San Angelo, Texas

Insider Monkey Score: 84           

Cost of Living Index: 83

Median Home Price: $295,000   

Livability Score: 75

The best thing about San Angelo is that it is home to numerous hospitals and medical healthcare facilities. Homes in the area are retiree-friendly, as 43% of them provide easy access without the need for stairs. The art scene is incredible, and retirees get to enjoy plenty of activities under the sunny skies.

16. Fort Myers, Florida

Insider Monkey Score: 85           

Cost of Living Index: 104.2

Median Home Price: $378,000   

Livability Score: 84

Fort Myers makes it to our list of best places to retire in the US because residents aged 65-84 are the largest demographic in this city. Known as a golfer’s paradise, it is home to more than 40 public and private golf courses. The coastal city has numerous local festivals, restaurants, and recreation spots to keep busy.

15. Abilene, Texas

Insider Monkey Score: 87

Cost of Living Index: 80.2

Median Home Price: $275,000

Livability Score: 73

Abilene is one of the best places to retire in Texas where a retiree can afford to live on less than $2,500 a month. The mid-sized city is surprisingly well-known for its eclectic arts scene and boasts a growing music scene as well. Year-round public events tend to keep the community close all year round.

14. Cedar Rapids, Iowa

Insider Monkey Score: 93

Cost of Living Index: 81.8

Median Home Price: $214,000

Livability Score: 74

Numerous reports and studies have been deeming Cedar Rapids as one of the best places to retire in the US owing to its high-quality healthcare, thriving downtown area, and abundance of activities. Homes are quite affordable here, and the cost of living is 18.2% lower than the national average.

13. Pittsburgh, Pennsylvania

Insider Monkey Score: 96

Cost of Living Index: 91.8

Median Home Price: $218,000

Livability Score: 82

Another thriving city to retire to is Pittsburgh, Pennsylvania. Besides the affordable housing and reasonable cost of living, this city is also known for its abundant doctors, walkability, and comfortable climate.

12. Sioux Falls, South Dakota

Insider Monkey Score: 101

Cost of Living Index: 90.7

Median Home Price: $344,000

Livability Score: 84

Sioux Falls is another great place to consider for retirement, with a cost of living affordable enough to survive on social security alone. Not only this, but the city also happens to boast several shopping centers, cultural attractions, and restaurants.

11. Scranton, Pennsylvania

Insider Monkey Score: 101

Cost of Living Index: 97.9

Median Home Price: $175,000

Livability Score: 84

According to the US News & World Report, Scranton is one of the best places to retire in the US in 2024. This welcoming community has secured a spot in their list, as well as ours, due to factors such as affordability, healthcare, and overall quality of life.

10. Lansing, Michigan

Insider Monkey Score: 103

Cost of Living Index: 83.6

Median Home Price: $135,000

Livability Score: 78

One of the fastest-growing cities in Michigan, Lansing appeals to retirees because of its friendly neighborhoods, affordable housing, rich history, and reasonable cost of living.

9. Harrisburg, Pennsylvania

Insider Monkey Score: 104

Cost of Living Index: 89.8

Median Home Price: $229,000

Livability Score: 83

Harrisburg receives praise for offering high-quality healthcare, affordable living costs, and a downtown area that is more beautiful than many people realize. The cost of living here is 10.2% lower than the national average.

8. Fargo, North Dakota

Insider Monkey Score: 105

Cost of Living Index: 90.6

Median Home Price: $290,000

Livability Score: 84

For the retiree considering living in North Dakota, Fargo can be one of their best bets. Besides affordable homes and reasonable cost of living, there are plenty of amenities here that make it a retirement-friendly city. The arts and culture scene is thriving, and it is one of the cheapest places across America where you will want to retire.

7. Peoria, Illinois

Insider Monkey Score: 106

Cost of Living Index: 75.6

Median Home Price: $123,000

Livability Score: 74

Situated on the Illinois River, Peoria appeals to retirees owing to its robust economy, mesmerizing riverfront views, and affordable housing options. Some of the best neighborhoods to live here include Dunlap and Peoria Heights.

6. Norman, Oklahoma

Insider Monkey Score: 108

Cost of Living Index: 88.4

Median Home Price: $225,000

Livability Score: 83

Norman can be considered one of the best places to retire in the US for those who wish to stretch their retirement incomes further. Retirees can engage in lifelong learning at the University of Oklahoma, avail the many healthcare options available, and outshine many other US cities in terms of affordability.

Click to continue reading and see the 5 Best Places to Retire in the US.

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Disclosure: none. 20 Best Places to Retire in the US is originally published on Insider Monkey.