This article may contain references to products or services from one or more of our advertisers or partners. We may receive compensation when you click on links to those products or services. Nonetheless, our opinions are our own.
The information presented in this article is accurate to the best of our knowledge at the time of publication. However, information is subject to change, and no guarantees are made about the continued accuracy or completeness of this content after its publication date.
Retirement marks a meaningful chapter in life, a time to relax, travel, and enjoy the rewards of decades of work. But if you’re retiring on Social Security alone, choosing the right state becomes more than a lifestyle decision; it’s a financial strategy. Some states offer tax breaks, lower healthcare costs, and affordable housing that help stretch every dollar.
This guide explores the best states to retire on Social Security in 2025, highlighting each location’s affordability, tax advantages, healthcare access, and community life. Whether you value mild winters, low costs, or vibrant senior activities, there’s a destination here to support your retirement goals.
Florida
Tax advantage
Florida has no state income tax, allowing retirees to keep more of their Social Security and other retirement income. There is also no tax on estate or inheritance.
Outdoor activities
With year-round sunshine, retirees enjoy golfing, walking coastal trails, fishing, and kayaking across Florida’s diverse landscapes.
Community appeal
Cultural festivals, art galleries, and senior-friendly communities make Florida ideal for active and social retirees.
Why Florida?
Financial freedom, warm weather, and endless leisure options continue to make Florida one of the best states to retire on a budget.
Arizona
Financial benefits
Arizona boasts a lower cost of living compared to many coastal states. Property taxes are also among the nation’s lowest.
Outdoor lifestyle
Hike breathtaking destinations like Sedona, the Grand Canyon, and Saguaro National Park. The desert climate supports year-round recreation.
Community living
Whether you prefer the bustle of Phoenix or the peaceful pace of Prescott, Arizona offers senior-focused communities with healthcare access and entertainment options.
Why Arizona?
Affordable housing and desert scenery combine for a relaxed and budget-conscious retirement.
South Carolina
Tax relief
South Carolina does not tax Social Security income and offers deductions on other retirement income. Property taxes remain below the national average.
Attractions and lifestyle
Explore historic Charleston or relax on the beaches of Hilton Head and Myrtle Beach. The state blends cultural heritage with coastal charm.
Healthcare access
South Carolina has reputable hospitals and a growing number of senior-focused health centers.
Why South Carolina?
It’s a great mix of Southern hospitality, affordability, and beachside retirement living.
Voted "Best Overall Budgeting App" by Forbes and WSJ
Monarch Money helps you budget, track spending, set goals, and plan your financial future—all in one app.
Get 50% OFF your first year with code MONARCHVIP
Texas
Financial perks
Texas has no state income tax, and housing remains relatively affordable in suburban areas like McKinney and San Marcos.
Lifestyle and recreation
Enjoy live music in Austin, historic sites in San Antonio, or nature escapes in the Hill Country. The state’s diversity offers something for every retiree.
Medical services
Texas is home to top-rated hospitals and senior care facilities, particularly in major metro areas.
Why Texas?
With tax savings and varied scenery, Texas caters to retirees seeking both comfort and culture.
Nevada
Income tax savings
Nevada doesn’t tax income, pensions, or Social Security. Housing remains affordable outside of major cities like Las Vegas.
Nature access
Lake Tahoe, Red Rock Canyon, and Mount Charleston provide year-round outdoor adventures.
Peaceful communities
Reno and Carson City offer quieter alternatives with community centers, arts venues, and quality healthcare.
Why Nevada?
Beyond the glitz of casinos, Nevada offers peaceful living and significant tax advantages for retirees.
Tennessee
Low tax burden
Tennessee does not tax Social Security benefits or wages, and overall living costs are below the national average.
Cultural highlights
Explore Nashville’s music heritage or Memphis’s blues scene. Both cities offer entertainment, museums, and local charm.
Natural beauty
The Great Smoky Mountains provide stunning views, hiking trails, and serene rural retreats.
Why Tennessee?
Music, mountains, and affordability make it a standout for retirees who value both culture and cost-consciousness.
Delaware
Tax-friendly for seniors
Delaware has no sales tax and excludes Social Security from state taxation. It also offers low property taxes and pension exemptions.
Real estate advantage
Compared to neighboring Northeastern states, Delaware’s housing market is more affordable for downsizing retirees.
Community & coast
Towns like Rehoboth Beach and Lewes feature walkable downtowns, events, and healthcare services tailored for seniors.
Why Delaware?
Small-state charm meets big tax savings in this underrated East Coast gem.
Bonus Mentions
North Carolina
Combines mild climate, mountain/coastal living, and modest taxes. Ideal for retirees seeking varied geography and good medical access.
New Hampshire
No income or sales tax, and low crime rates. Best suited for those seeking a peaceful, small-town retirement in the Northeast.
Retirement doesn’t have to mean financial stress, especially when you choose a state that supports your lifestyle and budget. Whether it’s Florida’s tax-free sunshine, Nevada’s mountain escapes, or Delaware’s coastal calm, the right location can help your Social Security benefits go further.
When comparing the best states for retiring on Social Security, consider the following factors:
- Tax burden (especially on Social Security and pensions)
- Cost of living (housing, food, utilities, transportation)
- Healthcare availability
- Community resources and recreation
- Climate preferences
Start by listing your top retirement priorities, and match them to a destination that aligns with both your dreams and your budget. With the right location, your golden years can truly shine.
Frequently Asked Questions
Look for low taxes, especially no state income tax on Social Security, affordable housing, and quality healthcare. Climate and community support are also key factors.
Is Florida the best place to retire?
Florida is a top retirement destination due to its tax structure, weather, and senior-friendly communities. However, it may not suit those concerned with natural disasters or urban sprawl.
Yes. Some states without income tax offset this with higher property or sales taxes. Always compare the total tax burden, not just income tax.
How do I compare healthcare access by state?
Check senior care rankings, number of hospitals, and Medicare Advantage plan availability when evaluating a state’s healthcare quality.
What’s the cheapest state to retire in with good services?
States like Tennessee, Arizona, and South Carolina offer a balance of affordability, low taxes, and quality healthcare ideal for retirees living primarily on Social Security.
Reviewed and edited by Albert Fang.
See a typo or want to suggest an edit/revision to the content? Use the contact us form to provide feedback.
At FangWallet, we value editorial integrity and open collaboration in curating quality content for readers to enjoy. Much appreciated for the assist.
Did you like our article and find it insightful? We encourage sharing the article link with family and friends to benefit as well - better yet, sharing on social media. Thank you for the support! 🍉
Article Title: Best States to Retire on Social Security for 2025
https://fangwallet.com/2025/07/29/best-states-to-retire-on-social-security-for-2025/The FangWallet Promise
FangWallet is an editorially independent resource - founded on breaking down challenging financial concepts for anyone to understand since 2014. While we adhere to editorial integrity, note that this post may contain references to products from our partners.
The FangWallet promise is always to have your best interest in mind and be transparent and honest about the financial picture.
Become an Insider
Subscribe to get a free daily budget planner printable to help get your money on track!
Make passive money the right way. No spam.
Editorial Disclaimer: The editorial content on this page is not provided by any of the companies mentioned. The opinions expressed here are the author's alone.
The content of this website is for informational purposes only and does not represent investment advice, or an offer or solicitation to buy or sell any security, investment, or product. Investors are encouraged to do their own due diligence, and, if necessary, consult professional advising before making any investment decisions. Investing involves a high degree of risk, and financial losses may occur including the potential loss of principal.
Source Citation References:
+ Inspo
There are no additional citations or references to note for this article at this time.
