1. Tennessee
With no state income tax and a relatively low cost of living, Tennessee has become a favorite for early retirees looking to stretch their retirement dollars further. The state is also known for its vibrant music scene, rolling hills, and charming small towns, making it a wonderful place for people to start a new chapter in life without breaking the bank.
2. Arizona
Arizona’s combination of beautiful desert landscapes, low cost of living, and abundance of retirement communities is making it a haven for early retirees. Cities like Scottsdale and Tucson offer tons of recreational activities, affordable housing options, and a lower-than-average state tax burden. The dry climate also makes it appealing for those looking to escape harsher winters up north.
3. Georgia
Georgia’s mild climate, low taxes, and affordable housing market have made it a retirement destination for people looking to escape the hustle and bustle of bigger cities. Areas like Savannah and the Georgia coast offer retirees a relaxed pace of life, along with rich history and cultural attractions. Georgia’s tax exemptions on retirement income only sweeten the deal.
4. Texas
Texas is another state where people are retiring younger, thanks to its strong economy, affordable housing, and no state income tax. Many retirees are flocking to cities like Austin, San Antonio, and Houston, where the cost of living is significantly lower than other major metro areas. Not to mention, Texas offers a warm climate and plenty of outdoor activities, from hiking to boating.
5. Florida
When it comes to retirement, Florida has always been a top choice, and for good reason. With its warm weather, no state income tax, and affordable cost of living in many areas, it’s the perfect place for people to hang up their work boots earlier than they might have in other states. People flock to Florida to enjoy a relaxed lifestyle, whether it’s lounging on the beach or enjoying the golf courses year-round.
6. Nevada
Nevada is seeing more early retirees than ever, largely due to its favorable tax policies and affordable housing in areas like Reno and Las Vegas. Beyond the appeal of the low cost of living, Nevada’s desert landscape, outdoor recreation opportunities, and entertainment scene make it a fun place to retire. And of course, there’s no state income tax to worry about!
7. North Carolina
North Carolina is rising on the radar of early retirees who want to enjoy a mild climate, rich culture, and low taxes. Retirees flock to cities like Asheville and Charlotte for their affordable living and outdoor activities like hiking and golfing. The state’s moderate tax policies on pensions and other retirement income make it even more appealing.
8. Idaho
Idaho is an underrated gem for retirees looking for peace and serenity at an affordable price. With its stunning mountain views, access to outdoor adventures like hiking and skiing, and low property taxes, it’s an easy place for people to retire early and embrace nature. Cities like Boise offer a good balance of small-town charm with modern amenities.
9. South Carolina
Retirement in South Carolina has become increasingly popular due to its laid-back lifestyle and picturesque coastline. Cities like Charleston and Myrtle Beach attract retirees with their mix of history, culture, and moderate living costs. Plus, the state offers tax breaks for retirees, including exemptions on certain types of retirement income.
10. Montana
Known for its wide-open spaces and breathtaking landscapes, Montana is becoming a popular destination for early retirees who crave peace and nature. With no sales tax and a relatively low cost of living in rural areas, retirees can enjoy a quieter, slower-paced life. Outdoor enthusiasts will appreciate the opportunities for fishing, hiking, and skiing in this stunning state.
11. Kentucky
Kentucky’s combination of affordable housing, low property taxes, and beautiful landscapes is drawing more early retirees. The state offers a slower pace of life and plenty of charm in areas like Lexington and Louisville, with a love for horse racing, bourbon, and country music. It’s a great place to settle down for those looking for a more relaxed retirement.
12. Alabama
Alabama has long been a favorite for retirees, and more people are retiring younger than ever in this southern state. The cost of living is one of the most affordable in the U.S., and retirees enjoy the state’s warm climate, low property taxes, and access to beautiful beaches on the Gulf Coast. Alabama also offers a number of retiree-friendly tax breaks, including exclusions on pensions and Social Security income.
