12 Worst States for Retirement: 2023

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Choosing a place to live in retirement is a major life decision and a highly personal one, according to a new report from Bankrate on the best states for retirement and the worst ones.

Most Americans tend to age in place after they leave the workforce. From 2015 to 2019, only 6.2% of the population older than 65 had moved in a given year, compared with 15% of younger people, according to a 2022 U.S. Census Bureau report.

Many senior movers want to be closer to family, reside in a better neighborhood or reduced housing costs.

Among retirees who relocate, an increasing number are renters, including those with lower incomes, those who live alone and those with higher housing cost burdens, Bankrate noted, referencing an analysis from the American Planning Association.

In order to identify places that are more and less affordable for retirees looking to stretch their retirement income, Bankrate researchers crunched a bevy of statistics from the 50 states in five broad categories: affordability, overall well-being, the cost and quality of health care, weather and crime.

The category they weighed most heavily was affordability, to reflect the challenges that many Americans face in today’s economy, including lack of confidence about their retirement savings.

The housing market remains competitive, with high borrowing costs, expensive housing prices and low inventory. At the same time, inflation over the last two years has left many looking for ways to stretch their savings.

A personal finance expert cited by Bankrate, Shang Saavedra, says that for retirees to know where they’re going, they need to understand where they are with their retirement savings. “Once you know that, look at your expenses today and ask yourself: ‘Can I afford that?’ If not, then the biggest impact would be determining where to live.”

See the gallery for the 12 worst states for retirees in 2023, according to Bankrate.

(Image: Shutterstock)

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