There's no single "best" state, as it depends on what seniors value, but New Hampshire, Minnesota, Colorado, Wyoming, and Florida consistently rank high for excellent overall benefits, combining low taxes, good healthcare access, and high quality of life, though New Hampshire excels in safety and taxes, while Florida and Texas offer great tax benefits and lifestyle, and Minnesota shines in healthcare quality, according to recent 2025 studies.
States with no income tax — like Florida, Texas, and Wyoming — are often considered tax-friendly for retirees. These states typically don't tax Social Security benefits, pensions, or retirement account withdrawals, though property and sales taxes may still apply.
Most Affordable States for Retirement
According to Zillow, Wichita, Kansas, has the highest number of apartments costing less than $1,000 per month, with slightly more than 54% of apartments. Not far behind is McAllen, Texas, at 50.6%, which is the only other city to have more than half of their apartments under $1,000.
Vermont, Utah, and Minnesota were the top-ranked states across our Medicare performance indicators for 2025. For Medicare beneficiaries, access to needed care varies greatly depending on where they live.
Utah Ranks as the Happiest State for Seniors
This state in the Western U.S. boasts the highest happiness score on the index: 7.69/10. One reason that Utah is cited as the happiest state for older adults is its high number of elders who engage in volunteering.
Hot Springs Village, Arkansas, is the best place to retire with little to no savings. More than 60 percent of the town's population is aged 65 and above, and annual expenses are estimated to be $21,114. Foley, Alabama, and The Villages, Florida, are the second and third best places to retire without savings.
West Virginia tops the list of the cheapest places to live in the U.S., with a cost of living 15.9% below the national average. Southern and Midwestern states like Oklahoma, Kansas and Mississippi consistently offer low-priced housing.
Best affordable warm states with soaring home prices
Ecuador, Colombia, and Peru deliver some of the lowest costs of living and most accessible pension visas in Latin America, where a typical $2,000 monthly Social Security check can comfortably cover housing, healthcare, and everyday expenses.
You can deposit any amount of cash without being automatically flagged if it's under $10,000 in a single transaction, but banks must report deposits of $10,000 or more to the IRS via a Currency Transaction Report (CTR). While large, legitimate deposits are fine, making multiple deposits to stay under $10,000 (structuring) is illegal and triggers Suspicious Activity Reports (SARs), leading to potential account freezes or law enforcement scrutiny, so transparency with your bank is best for large sums.
I tell young people all the time, by the time you hit 33 years old you should have at least $100,000 saved somewhere. Make that your goal. That's the age when it's really time to start getting FOCUSED on saving.
Renting in retirement offers flexibility, less maintenance, and frees up cash for travel/hobbies, while homeownership provides stability, potential equity, tax breaks, and the freedom to renovate for aging in place, but comes with upkeep costs and less mobility. The best choice depends on your financial situation, health, desire for freedom vs. stability, and long-term plans, with renting often favored for lifestyle freedom and buying for long-term financial security if the home is paid off.
The answer is yes, living on Social Security alone is doable. But to pull it off, Debbie may need to make a few sacrifices in order to stretch her benefit income as far as it can go.