Here are the 3 best states in America to retire in 2025 — and the 3 worst ones. Do you live in any of them?

The three best states to retire

WalletHub ranked all 50 states based on affordability, healthcare access and quality of life. Based on these factors, these three states ranked the highest overall.

Florida

Florida has long been a haven for retirees thanks to its warm climate and lack of a state income tax. The state also receives more funding per senior than almost every other state from the Older Americans Act, which supports transportation and nutrition programs. However, homeowners insurance costs have soared in Florida in recent years due to major storms, and new condo laws have increased the cost of homeownership. As a result, a growing number of Florida retirees are returning to the workforce.

Minnesota

If you can handle Minnesota’s harsh winters, you might enjoy a high quality of life there as a retiree. The state excels in health care access, boasting the most health care facilities per capita, the second-most nursing homes and the third-most home health aids.

Colorado

Spending time outdoors has been shown to offer both physical and mental health benefits, so it's no surprise that Colorado ranks highly. The state's many parks and trails make it easy for retirees to stay active and engaged without spending a fortune. Notably, Colorado has the fourth-highest percentage of seniors in good health.

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The three worst states to retire

On the flip side, WalletHub identified several states that may not be ideal for retirement. These three states ranked the lowest.

Kentucky

Poor overall scores in affordability, quality of life and health care access make Kentucky the lowest-ranked state to retire. In 2023, it had the sixth-highest poverty rate in the country, with an estimated 13.1% of residents aged 65 and older living below the poverty line.

Louisiana

Louisiana's moderate cost of living and warm climate may appeal to some retirees, but it ranks near the bottom for quality of life (47th) and health care access (49th). Additionally, 14.8% of adults 65 and older live below the poverty line.

Mississippi

Mississippi may be affordable, but it ranks last in quality of life and 47th in health care access. Despite the state’s relatively low cost of living, the poverty rate among adults aged 65 and older increased by 20% in Mississippi between 2016 and 2022.

How to pull off a comfortable retirement no matter where you live

Regardless of where you decide to retire, the right amount of planning can help you maintain a comfortable and fulfilling lifestyle.

One effective strategy is to invest in income-generating assets to supplement Social Security. Consider options like dividend stocks, CDs and bonds — especially municipal bonds, which offer tax-exempt interest at the federal level.

Another way to maximize your retirement income is to delay Social Security until you reach your full retirement age (FRA) to increase your monthly benefit for life. If you were born in 1960 or later, your FRA is 67, and you can rack up delayed retirement credits until age 70.

As of the start of 2025, the average monthly Social Security benefit was $1,976. However, delaying your claim could significantly boost your monthly income.

Finally, choose your Medicare coverage wisely and review your plan yearly during the program’s fall open enrollment period.

Your choice of a Medicare Advantage plan will determine both your health care costs and the providers available to you. If you stick to your original Medicare with a Part D drug plan, that plan will impact your medication costs.

Fidelity estimates that a 65-year-old retiring in 2024 will spend $165,000 on health care throughout retirement. However, by selecting the right coverage, you may be able to keep your costs down — freeing up more money for hobbies, travel and other rewarding activities.