10 Best and Worst States to Retire 2023: WalletHub

New states claim top and bottom spots on just-released rankings of the best states for retirement

We have a new state topping WalletHub’s just-released 2023 list of the “Best States to Retire,” and conversely a new state bottoming out the rankings as well.

According to the new study—which compared the 50 states across three key dimensions: affordability, quality of life and health care using 47 key metrics—Virginia is the “Best Place to Retire” in the U.S. this year.

The Old Dominion State swapped places with Florida to take over the No. 1 spot in this year’s rankings. Virginia’s total score of 57.55 just topped Florida’s 57.43, with Colorado remaining closely behind in the third spot for the second consecutive year at 57.41.

While Virginia didn’t crack the top 10 in affordability (16^th), quality of life (11^th) or health care (11^th), and didn’t make the top five in the lowest adjusted cost of living, annual cost of in-home services, taxpayer ranking, percentage of workforce age 65 and older, museums per capita, theaters per capita, population age 65 and older, property crime rate, or life expectancy, a solid performance in the top half of most metrics led to the top overall ranking.

Surprisingly, Wyoming came in at No. 4 with a score of 55.60, up dramatically from the 13^th spot in the 2022 rankings. Top-10 rankings in “affordability” and “quality of life” spurred the rise, and Wyoming also ranked 5^th in WalletHub’s “taxpayer” ranking.

Rounding out the top five is Delaware at 55.49, down one spot from 4^th last year. Delaware ranked 6^th in affordability, and 2^nd in “taxpayer” ranking, but 33^rd in quality of life.

The rest of the top 10 include No. 6 New Hampshire (55.00), No. 7 South Dakota (53.61), No. 8 Minnesota (53.50), No. 9 Idaho (53.20) and No. 10 North Dakota (53.03). See the embedded map for complete rankings.

NEXT PAGE: 10 Worst States to Retire

Worst States to Retire

When it comes to the worst state for retirement, Kentucky gets the dubious honor for 2023, thanks to ranking in the bottom-half in each of the three metrics: 46^th in health care, 41^st in quality of life, and surprisingly 33^rd in affordability. Kentucky dropped from 47^th in the 2022 rankings to the bottom of 2023 with a total score of 38.80, while last year’s No. 50 New Jersey moved up a single spot to No. 49 (40.23) in 2023. An affordability ranking of 49 continues to be an albatross for the Garden State in this survey.

Mississippi (48^th at 40.80), Oklahoma (47^th at 43.61) and New York (46^th at 43.69) rounded out the bottom five. Despite cracking the top 10 for affordability, Mississippi ranked 48^th for health care and dead last for quality of life. While New York cracked the top 10 for quality of life, it ranked 50^th for affordability and 16^th for health care.

The rest of the bottom 10 consist of Louisiana (45^th at 43.90), Illinois (44^th at 44.30), Washington (43^rd at 44.46), Maryland (42^nd at 44.35) and Arkansas (41^st at 44.73).

NEXT PAGE: Best vs. Worst

Best vs. Worst

The WalletHub survey also includes graphics showing the best and worst five states for a variety of metrics.

WalletHub further notes that even in the most affordable areas of the U.S., most retirees cannot rely on Social Security or pension checks alone to cover all of their living expenses as they replace only about 37% of the average worker’s earnings. WalletHub also reports 25% of all nonretired adults having no retirement savings, citing Federal Reserve statistics.

Here are a few statistics singled out by WalletHub:

• Alabama has the lowest adjusted cost-of-living index for retirees, 85.88, which is 2.2 times lower than in Hawaii, where it is highest at 185.37.

• West Virginia has the lowest median annual cost of elderly housekeeping, $42,328, which is 1.9 times lower than in Minnesota, where it is highest at $80,080.

• Vermont has the highest share of the population aged 65 and older still working, 23.84%, which is 1.8 times higher than in West Virginia, where it is lowest at 13.56%.

• Maine has the highest share of the population aged 65 and older, 20.60%, which is 1.9 times higher than in Utah, where it is lowest at 11.10%.

To view the full report including each state’s rank, visit:
https://wallethub.com/edu/best-and-worst-states-to-retire/18592

SEE ALSO:

• Florida Best, New Jersey Worst for 2022 Retirement: WalletHub

• 11 Best Places to Retire in the World in 2023: International Living

• There’s a New ‘Best Place to Retire’ – And It’s Not in Florida