Bottom 3 States for Retirement 2025

48. Mississippi
Mississippi maintains its place near the bottom of WalletHub’s rankings thanks to placing last (50th) for quality of life and 47th for healthcare, and despite placing 9th for affordability. Mississippi’s total score was 45.33.

49. Louisiana
A 48th-place rank for healthcare and a 46th-place rank for quality of life led Louisiana to the next-to-last place in WalletHub’s latest rankings with a total score of 44.54. The state did manage to finish in the top half for affordability (24th).

50. Kentucky
Kentucky once again retained its spot at the very bottom of WalletHub’s annual rankings, also placing there each of the past two years. The Bluegrass State placed 45th for health care, 41st for quality of life, and 36thfor affordability on its way to the lowest overall score at 42.46.
Here are a few other notable takeaways from WalletHub’s 2025 analysis:
• Quotable: “The financial impact of inflation has introduced several new concerns for future retirees as they reconsider where to retire. Rising housing costs, even in traditionally affordable areas, are making long-term affordability a significant challenge. Additionally, healthcare expenses are increasing at a rate that outpaces general inflation, forcing retirees to allocate more of their budgets to medical care. Compounding these issues is the erosion of purchasing power, as fixed incomes often struggle to keep up with the rising costs of essentials like food, utilities, and transportation. These factors underscore the importance of careful financial planning and selecting a retirement location that balances affordability, access to quality healthcare, and overall cost of living stability.” — Juan E. Gallardo, Ph.D. – Director, Texan Smart Financial Education Center; Instructor, Tarleton State University
• Alabama (ranked 37th overall) has the lowest adjusted cost-of-living index for retirees, 2.2 times lower than in Hawaii (ranked 41st), where it is highest.
• Mississippi (ranked 48th) has the lowest median annual cost of elderly housekeeping, 3.3 times lower than in Montana (ranked 22nd), where it is highest.
• South Dakota (ranked 5th) has the highest share of the population aged 65 and older still working, 1.8 times higher than in West Virginia (ranked 43rd), where it is lowest.
• Maine (ranked 15th) has the highest share of the population aged 65 and older, which is 1.9 times higher than in Utah (ranked 18th), where it is lowest.
• To view the full report, please visit: https://wallethub.com/edu/best-and-worst-states-to-retire/18592
SEE ALSO:
• 5 Best and Worst States for Retirement 2024
• Best and Worst U.S. Cities to Retire in 2024: WalletHub
• 2025’s Best Places in the World to Retire
Veteran financial services industry journalist Brian Anderson joined 401(k) Specialist as Managing Editor in January 2019. He has led editorial content for a variety of well-known properties including Insurance Forums, Life Insurance Selling, National Underwriter Life & Health, and Senior Market Advisor. He has always maintained a focus on providing readers with timely, useful information intended to help them build their business.