With its sunny beaches and friendly tax code, Florida is the best state to retire in, according to an annual study by WalletHub. However, if you're looking for a lower cost of living and don't mind experiencing all four seasons, you'll find great alternatives in the Western and Midwestern states.
Using data from a variety of sources, including the U.S. Census Bureau, the U.S. Bureau of Labor Statistics and the Centers for Disease Control and Prevention, the study rated each state on three main weighted categories: affordability, quality of life and health care. These categories included 46 secondary measures, such as the proportion of the population aged 65 and older, the quality of public hospitals and overall tax friendliness.
Florida has sun and sand, yes. But it also has the third highest proportion of older residents and there is plenty for them to do. And then there's what doesn't exist: state income, inheritance or estate taxes.
“There's a lot of talk in Florida right now about eliminating the property tax, which would make it even more attractive to retirees,” said Chip Lupo, a WalletHub analyst, but cautioned that high prices are causing some retirees to look elsewhere.
Minnesota is colder and less tax-friendly, but ranked second thanks to its excellent health care, with the highest number of facilities (including the original and largest Mayo Clinic campus) and the second-most nursing homes of any state. Overall, seniors are healthier and safer.
Colorado, with its excellent health care and lack of estate or inheritance taxes, came in third, followed by Wyoming and South Dakota. Wyoming emerged as the most affordable state and offered a high quality of life, but ranked 38th in health care “because it is sparsely populated and access could be an issue,” Mr. Lupo said. South Dakota scored points with its many working seniors, strong nursing workforce and top-notch geriatric hospitals.