10 of the Happiest Places to Retire in the U.S. (2024)

FAQs

10 of the Happiest Places to Retire in the U.S.? ›

Countries Natixis ranked as secure retirement locations are mostly concentrated in Europe but also include New Zealand and Australia. The top three countries in the rankings are Norway, Switzerland and Iceland, all of which have life expectancies of 83 years, compared to 77 in the U.S. and the world average of 72.

Countries Natixis ranked as secure retirement locations are mostly concentrated in Europe but also include New Zealand and Australia. The top three countries in the rankings are Norway, Switzerland and Iceland, all of which have life expectancies of 83 years, compared to 77 in the U.S. and the world average of 72.

1 state to retire in, Virginia has taken the top spot this year, according to personal finance website WalletHub's “2023′s Best States to Retire” study. WalletHub evaluated all 50 U.S. states in three key categories: affordability, quality of life and access to health care.

Ecuador. If you're looking for a country where you can retire outside the US comfortably with $800 per month and experience one of the most ecologically diverse places in the world, then Ecuador might be for you. The go-to city for US retirees in Ecuador is Cuenca, which also happens to be a UNESCO World Heritage site.

Fortunately, there are some states that don't charge taxes on retirement income of any kind: Alaska, Florida, Nevada, South Dakota, Tennessee, Texas, Washington and Wyoming.

“U.S Treasury securities are considered the safest investment option, as they are backed by the full faith and credit of the U.S government. These investments come in several forms such as savings bonds, treasury notes, treasury bills, and more,” Chavez said.

The top five states to retire, according to the site, are Virginia, Florida, Colorado, Wyoming and Delaware, in that order. You can see the rest of the state rankings in WalletHub's report. WalletHub uses 47 “key indicators” in three areas — affordability, quality of life and healthcare — to calculate its rankings.

Where are retirees moving to in 2023? ›

“In addition to inflation, housing prices and increasing costs of living in Florida, retirees are also leaving for other reasons,” says Dutch Mendenhall, Founder of RAD Diversified REIT. “Higher auto and home insurance along with a 7% sales tax on already high-inflation goods can put a strain on retirement income.”

If you have a low living cost and can supplement your income with a part-time job or a generous pension, then retiring on $3,000 a month is certainly possible.

Florida tops standings

About 234,000 Americans retired to a different state in 2022, according to Hire A Helper, which reviewed data from the Census Bureau's Current Population Survey and its Annual Social and Economic Supplements for 2022.

Which states have the youngest and oldest average age of retirement in the U.S.? Alaska and West Virginia both have the youngest average retirement age in the USA, 61 years old.

But as the state becomes too popular for its own good thanks to the number of remote workers and ultrawealthy individuals who decamped there during the pandemic, many retirees are finding themselves priced out.

Why is everyone moving to Arizona? Arizona is one of the top U.S. retirement destinations, just behind Florida – and it's easy to see why. The state offers affordable living, plenty of national parks like the Grand Canyon, warm weather and sunshine, and some of the best health care in the nation.

Average Monthly Retirement Income

According to data from the BLS, average incomes in 2021 after taxes were as follows for older households: 65-74 years: $59,872 per year or $4,989 per month. 75 and older: $43,217 per year or $3,601 per month.

About 40% of older Americans rely exclusively on Social Security for retirement income, according to recent research from the National Institute on Retirement Security.

How do I get the $16728 Social Security bonus? ›

To acquire the full amount, you need to maximize your working life and begin collecting your check until age 70. Another way to maximize your check is by asking for a raise every two or three years. Moving companies throughout your career is another way to prove your worth, and generate more money.

Social Security benefits may or may not be taxed after 62, depending in large part on other income earned. Those only receiving Social Security benefits do not have to pay federal income taxes.

If you receive pension or annuity payments before age 59½, you may be subject to an additional 10% tax on early distributions, unless the distribution qualifies for an exception.

Yes, Social Security is taxed federally after the age of 70. If you get a Social Security check, it will always be part of your taxable income, regardless of your age. There is some variation at the state level, though, so make sure to check the laws for the state where you live.

Certificate of deposit (CD)

Like a savings account, a certificate of deposit (CD) is often a safe place to keep your money. One big difference between a savings account and a CD is that a CD locks up your money for a set term. If you withdraw the cash early, you'll be charged a penalty.

Where are retirees going instead of Florida? ›

Towns like Sequim, Washington, Linden, Michigan, and Thermopolis, Wyoming offer perks like more affordable housing, favorable tax treatment and proximity to major metros.

The latest edition of the Best States rankings project finds a new No. 1 and a strong showing from the West and Midwest in the top 10. Utah has taken the No.

Rather, Alabama is the most affordable state to retire in, according to WalletHub's “2023 Best States to Retire.” The analysis compared all 50 states across three key categories: health care, quality of life and affordability.

Social Security benefits and Supplemental Security Income (SSI) payments will increase by 8.7% in 2023. This is the annual cost-of-living adjustment (COLA) required by law.

Under terms of the bill, anyone who is a current Social Security recipient, or who will turn 62 in 2023, would receive an extra $200 in each monthly check.

As of Jun 1, 2023, the average annual pay for the Retirement jobs category in Florida is $45,609 a year. Just in case you need a simple salary calculator, that works out to be approximately $21.93 an hour. This is the equivalent of $877/week or $3,800/month.

A new ranking by banking and credit union library Bank Locations listed Texas as the best state for retirees in 2023. Michigan also beat out Florida as a more appealing locale for older Americans, based on factors like cost of living, quality of life and access to healthcare.

In fact, statistically, around 10% of retirees have $1 million or more in savings.

Average Social Security retirement benefits in 2023

Average payments for all retirees enrolled in the Social Security program increased to approximately $1,827, according to the Social Security Administration (SSA).

How much do most people retire with? ›

The Federal Reserve's most recent data reveals that the average American has $65,000 in retirement savings. By their retirement age, the average is estimated to be $255,200.

Northeast States Are Aging Quickly

Vermont and Maine are the states that are aging the fastest, according to new five-year estimates released Thursday by the U.S. Census Bureau.

Maine topped The Motley Fool's list of best U.S. states to retire, with high marks for quality of life, safety, and health care cost and quality. The state has the highest percentage of residents over age 65, so retirees can find like-minded neighbors who enjoy the outdoors, natural beauty, and reliable health care.

67-70 – During this age range, your Social Security benefit, if you haven't already taken it, will increase by 8% for each year you delay taking it until you turn 70.

Among those looking ahead to retirement, many expect to step away from work at age 65, according to the 2023 Retirement Confidence Survey. Although 65 is the anticipated median retirement age, workers report retiring at a median age of 62, the survey found.

1. Florida. The poster child for states to retire in, Florida offers beautiful weather, zero income tax, and numerous outdoor offerings for relaxation and entertainment. It also has an affordable cost of living with one drawback – higher-than-average health care costs.

Maine topped The Motley Fool's list of best U.S. states to retire, with high marks for quality of life, safety, and health care cost and quality. The state has the highest percentage of residents over age 65, so retirees can find like-minded neighbors who enjoy the outdoors, natural beauty, and reliable health care.

One of these is the retiree's home and also the home mortgage. According to Moss, the happiest retirees are those who have paid off their mortgage or will have it paid off soon. And, it isn't necessarily the house that leads to happiness but often the neighborhood or community the home is in.

Retirement distributions from 401(k) plans or IRAs are considered income for tax purposes. Fortunately, there are some states that don't charge taxes on retirement income of any kind: Alaska, Florida, Nevada, South Dakota, Tennessee, Texas, Washington and Wyoming.

What is the best age to retire in USA? ›

67-70 – During this age range, your Social Security benefit, if you haven't already taken it, will increase by 8% for each year you delay taking it until you turn 70.

According to data from the BLS, average incomes in 2021 after taxes were as follows for older households: 65-74 years: $59,872 per year or $4,989 per month. 75 and older: $43,217 per year or $3,601 per month.

The basic idea is that if you retire with $500,000 in assets, you should be able to withdraw $20,000 per year for 30 years (or longer). However, this rule has been debunked in recent years, and the appropriate withdrawal rate is roughly 2.8%.

That means that many will need to rely on Social Security payments—which, in 2021, averages $1,544 a month. That's not a lot, but don't worry. There are plenty of places in the United States—and abroad—where you can live comfortably on $1,500 a month or less.

Many well-established urban — and often suburban — locales are highly walkable as rated by Walkscore, which rates cities and neighborhoods on their relative walkability. San Francisco, New York, Boston, Chicago and Washington, D.C., were the highest-rated cities in the Walkscore rating system.

Here's Everything You Need to Know. Of the 1,045 respondents, 33% said that they're most concerned about running out of money in retirement. 22% are worried about the cost of healthcare, while another 21% worry about maintaining an income stream.

The Average Retirement Age In America

63% of Americans retire between the ages of 61-69. In a quest to live a better-than-average life, it's logical to conclude the ideal retirement age should at least be below 61-65, the majority age range of when Americans retire.