The Best and Worst States to Retire in 2025
August 14, 2025
For many Americans, retirement is a time to enjoy life. However, this experience can change a lot based on where you live. According to Bankrate’s 2025 Best and Worst States to Retire study, the top destination this year is New Hampshire, proudly living up to its “Live Free or Die” motto. The Granite State has overtaken last year’s leader, Delaware, which slipped to 11th place.
This year’s top 10 list includes some unexpected winners. Four New England states — New Hampshire, Maine, Rhode Island, and Vermont — earned high marks, joined by three Western standouts: Utah, Wyoming, and Idaho.
At the opposite end of the list is Louisiana, which finished last overall. Surprisingly, several traditional retirement hot spots, including Florida and Texas, also landed in the bottom 10.
How the Rankings Were Determined
Bankrate looked at 15 data points. These points were grouped into key categories. Each category was weighted based on how important Americans think they are in a national survey. The breakdown was as follows:
● Affordability – 28%
● Weather – 18%
● Neighborhood safety – 17%
● Health care quality and access – 16%
● Local taxes – 9%
● Arts, entertainment, and recreation – 7%
● Population of similar age – 3%
● Other factors – 2% (including walkability, community well-being, air and water quality)
Affordability remained the most significant factor, reflecting ongoing concerns that many Americans feel behind on retirement savings. Weather and safety were also top priorities.
“Retirees shouldn’t focus solely on sunshine or tax rates,” said Stephen Kates, CFP and Bankrate financial analyst. “We looked at a broader picture — including healthcare, safety, walkability, and quality of life — to get a truer sense of what living in each state might be like.”
Top Five States for Retirees in 2025
1. New Hampshire
Despite a low ranking for weather (40th), New Hampshire excelled in nearly every other category. It ranked first for neighborhood safety, fifth for healthcare, sixth for taxes, and seventh for having a large community of similar-aged residents. The state also scored well for cultural and recreational opportunities. A modest 3% tax on interest and dividends helps stretch retirement income.
2. Maine
Maine’s strongest attribute is its senior population — 23% of residents are 65 or older — which can make for a more retirement-friendly community. It ranked second for safety, third for healthcare, and fourth for arts and entertainment. Like New Hampshire, Maine struggles with weather (41st) due to limited sunshine.
3. Wyoming
A tax-friendly haven with no state income tax, Wyoming topped the taxes category and ranked fourth for affordability. Safety (7th) and recreation (10th) also boosted its score, though healthcare lagged at 39th.
4. Vermont
Vermont may be one of the cloudiest states (43rd in weather), but it ranked first for healthcare and first for arts and culture venues per capita. It also placed second for the proportion of older residents and 12th for affordability.
5. Idaho
Idaho’s low property crime rate helped it rank third for safety. It also performed well in affordability (9th) and taxes (11th). While its weather score was average (24th), the state scored lower for cultural opportunities (37th) and the share of similarly aged residents (35th).
Bottom Five States for Retirees in 2025
50. Louisiana
Louisiana placed near the bottom in affordability (43rd), safety (48th), and healthcare (37th). Even its sunny climate couldn’t offset the risks from hurricanes and tornadoes, which pulled its weather score down to 39th.
49. Texas
While Texas ranked seventh for taxes, it finished last for healthcare and 49th for population of similar age. Affordability (42nd) and weather (47th, due to storm risk) were also weak points.
48. Oklahoma
Oklahoma’s abundant sunshine earned it a 13th-place weather ranking, but high insurance premiums, low affordability (45th), and poor arts, healthcare, and safety scores kept it near the bottom.
47. Arkansas
Arkansas did well in weather (9th) but performed poorly in safety (46th), healthcare (42nd), and arts and entertainment (48th). Violent crime rates are among the nation’s highest.
46. Nebraska
Nebraska’s 49th-place affordability score — driven in part by the nation’s highest homeowners insurance premiums — overshadowed otherwise average performances in safety, healthcare, and taxes.
A Shift Away from the Sun Belt
One of the biggest takeaways from Bankrate’s 2025 report is that traditional retirement destinations in the Sun Belt didn’t perform as well as expected. In fact, eight of the 10 lowest-ranking states are in the South or Southwest. Florida, a longtime retirement favorite, landed at 41st due to poor healthcare rankings, high insurance costs, and natural disaster risks — despite strong scores in taxes and its large retiree population.
The message is clear: today’s retirees are weighing more than just warm weather when choosing where to live. Safety, healthcare access, affordability, and overall quality of life are playing a much larger role in the decision-making process.
Sources:
https://www.bankrate.com/retirement/best-and-worst-states-for-retirement/#full-ranking
Disclosure:
This information is an overview and should not be considered as specific guidance or recommendations for any individual or business.
This material is provided as a courtesy and for educational purposes only.
These are the views of the author, not the named Representative or Advisory Services Network, LLC, and should not be construed as investment advice. Neither the named Representative nor Advisory Services Network, LLC gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your Financial Advisor for further information.