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10 Best States to Retire in 2027 (Taxes, Cost & Climate Ranked)

Curated byKory White · Fractional CRO · Maryland

10 Best States to Retire in 2027 (Taxes, Cost & Climate Ranked)

📖 2,655 words🗓️ Published Aug 24, 2026

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Direct Answer

The 10 best states to retire are ranked below on measured performance, build quality, price, and how each one actually holds up in daily use rather than how it reads on a spec sheet. Each pick lists what it costs, who it suits, and what it gives up against the one above it, so the list can be read straight down without doubling back.

1. Florida

Florida ranks first because it combines no state income tax, no tax on Social Security or pensions, and no estate or inheritance tax with a constitutional homestead exemption shielding up to $50,000 of assessed home value. The Save Our Homes cap limits annual assessment increases to 3%, protecting long-term homeowners from property tax spikes. Median home prices sit near $390,000 statewide, with inland metros like Ocala and Lakeland running well below coastal Naples or Sarasota.

This state is for retirees who prioritize tax savings and warm weather above all else and can budget for the trade-off: average homeowners insurance runs roughly $6,000 per year, more than triple the national average after recent hurricanes. The retiree population is so large that services, communities, and social networks are built around people over 55, easing the transition.

2. Tennessee

Tennessee ranks second as the best value pick because it fully phased out its Hall income tax on interest and dividends in 2021, leaving zero income tax of any kind on wages, Social Security, pensions, and 401(k) withdrawals. Median home prices hover near $315,000, well below the national figure, and metros like Knoxville and Chattanooga offer mountain scenery and four mild seasons.

This state is for budget-conscious retirees who want low taxes without leaving the temperate Southeast, trading away Florida's warmer winters and extensive 55+ communities for lower housing costs. The main offset to income-tax savings is the high sales tax, which affects everyday purchases. Compared to Florida, Tennessee offers a more affordable entry point but lacks the same scale of retiree-dedicated infrastructure and coastal climate.

3. Texas

Texas ranks third because it has no state income tax, and the warm climate of its southern and Hill Country regions appeals strongly to snowbirds. Median home prices near $340,000 are reasonable, and metros like San Antonio and Austin have strong medical systems. The catch is property tax: Texas has one of the highest effective property tax rates in the nation at roughly 1.6%, so a $340,000 home can carry a $5,400 annual tax bill.

This state is for retirees who want no income tax and don't mind paying more at the property level, especially those buying modestly priced homes where the percentage stings less. Compared to Tennessee, Texas offers a larger and more diverse geography with bigger cities and more healthcare options, but the property tax burden is significantly higher.

4. Wyoming

Wyoming ranks fourth because it is quietly one of the most tax-friendly states in the country, with no state income tax, no estate tax, and a low average effective property tax rate of about 0.55%. The sales tax averages just 5.36%, one of the lowest in the nation, and median home prices near $345,000 reflect demand in scenic areas like Jackson, though most of the state is far cheaper.

This state is for retirees who value open space, low taxes, and a slower pace over warm weather, trading away the mild winters of Texas for dramatic mountain scenery and abundant outdoor recreation. Compared to Texas, Wyoming offers a much lower property tax rate but has fewer large metropolitan areas and less specialized healthcare infrastructure.

5. Arizona

Arizona ranks fifth because it combines a dry, warm climate with a flat 2.5% state income tax, one of the lowest flat rates in the country, and no tax on Social Security benefits. Median home prices near $430,000 are higher in Phoenix and Scottsdale but drop in Tucson and smaller towns, offering a range of affordability.

This state is for retirees who want desert warmth, low income tax, and purpose-built 55+ communities, and who can tolerate intense summers or leave for them. Compared to Wyoming, Arizona offers a much warmer climate and more dedicated retiree infrastructure but has a higher cost of living and a state income tax, albeit a low flat one.

6. South Carolina

South Carolina ranks sixth because it offers a retirement income deduction of up to $10,000 per person, and a $15,000 deduction for those 65+, plus no tax on Social Security. Property taxes are low, with an effective rate near 0.5%, among the lowest in the nation, and median home prices near $360,000. A mild coastal climate makes areas like Myrtle Beach, Hilton Head, and the Greenville foothills popular, though summers are humid and hurricane risk exists on the coast.

This state is for retirees who want a warm, coastal climate with very low property taxes and a partial exemption on retirement income, trading away the flat low income tax of Arizona for a more humid environment. Compared to Arizona, South Carolina offers more affordable coastal living and lower property taxes but has a less arid climate and fewer purpose-built 55+ communities.

7. Georgia

Georgia ranks seventh because it is generous to retirees: residents 65 and older can exclude up to $65,000 of retirement income per person, or $130,000 per couple, and Social Security is fully exempt. The state income tax is a flat 5.39%, but the large exclusion means many retirees pay little or no state tax on their retirement income. Median home prices near $350,000 and a warm climate make metro Atlanta's suburbs and smaller cities like Savannah and Athens attractive.

This state is for retirees with substantial pension or 401(k) income who benefit most from the high retirement-income exclusion, trading away the no-income-tax status of South Carolina for a higher flat rate but a much larger exemption. Compared to South Carolina, Georgia offers a bigger metropolitan area with more healthcare and cultural options but has a higher property tax rate and a more complex tax structure.

8. North Carolina

North Carolina ranks eighth because it has a flat income tax of 4.25%, scheduled to keep declining, and fully exempts Social Security. Median home prices near $345,000 and a varied geography—mountains in Asheville, beaches on the Outer Banks, and mild Piedmont cities—give retirees diverse options. Property taxes are moderate at roughly 0.7%, and the Research Triangle area offers Duke and UNC hospital systems, providing excellent healthcare.

This state is for retirees who want four-season variety, a declining flat tax, and strong healthcare without coastal Florida insurance costs, trading away the larger retirement income exclusion of Georgia for a simpler, lower flat rate. Compared to Georgia, North Carolina offers a more varied geography and a slightly lower income tax rate but has a smaller retirement income exclusion.

9. Nevada

Nevada ranks ninth because it has no state income tax and no tax on retirement income, with a warm, dry climate outside the higher-elevation north. Median home prices near $450,000 are pushed up by Las Vegas and Reno, the main drawback, though property taxes are low at about 0.5%. There is no estate tax, and Las Vegas offers extensive entertainment, dining, and a growing medical sector, while Henderson is a frequent pick for quieter 55+ living.

This state is for retirees who want no income tax and desert warmth and can afford somewhat higher housing, trading away the lower home prices of North Carolina for a more arid climate and entertainment options. Compared to North Carolina, Nevada offers a zero income tax but has a higher median home price and less geographic variety.

10. Mississippi

Mississippi ranks tenth because it is the most affordable state on this list, with median home prices near $190,000, the lowest in the country, and a low overall cost of living. It does not tax retirement income, including Social Security, pensions, IRA, and 401(k) withdrawals, and the income tax is a flat 4.4% on other income, dropping in coming years. Property taxes are low, and the state offers a warm Gulf Coast climate, though hurricane exposure is a risk.

This state is for the most budget-driven retirees who want to stretch a fixed income further than anywhere else on this list, trading away the healthcare infrastructure of Nevada for significantly lower housing costs. Compared to Nevada, Mississippi offers a much lower median home price and cost of living but has a state income tax on non-retirement income and weaker healthcare access.

How we ranked these

The ranking blends four weighted factors: tax burden (30%), cost of living including housing and insurance (30%), climate (20%), and healthcare quality (20%). Data sources include the Tax Foundation, MIT Living Wage Calculator, Kaiser Family Foundation, and Census American Community Survey. Each state is scored holistically, with no single factor dominating, to identify the best overall and best value options.

Deliberately ignored were subjective lifestyle preferences, cultural amenities, and proximity to family, as these are highly personal and cannot be objectively ranked. Also excluded were crime statistics and local political climates, which vary widely within states and are not core retirement financial considerations. The focus remains on quantifiable, verifiable data that directly impacts a retiree's budget and well-being.

What to look for

When choosing between these states, the real differentiators are your income sources, housing costs including property taxes and insurance, and healthcare access. Map your retirement income—Social Security, pensions, 401(k) withdrawals—to each state's tax rules. A retiree living on Social Security cares less about income tax than someone with a large pension. Add property tax and insurance to the housing math; Florida's no-income-tax advantage shrinks with $6,000 insurance premiums.

The most common mistake is focusing solely on income tax while ignoring property taxes, sales taxes, and insurance costs. Texas's 1.6% property tax and Florida's hurricane insurance can erase tax savings. Another error is not visiting in the worst season—tour Arizona in July or the mountains in January before committing. Finally, don't underestimate healthcare quality; proximity to top hospitals matters more as you age, so check U.S. News rankings for your target metro.

FAQ

What is the best state overall for retirement in 2027?

Florida is widely considered the top pick due to its combination of no state income tax, no estate tax, and a homestead exemption that protects up to $50,000 of home value. Its warm climate and large retiree community also make it a popular choice, though hurricane risk and rising insurance costs are factors to consider.

Which state offers the best value for retirement?

Tennessee stands out as the best value pick, with no income tax on wages or retirement income and average home prices around $315,000, well below the national median. This makes it an affordable option for retirees seeking low taxes and a moderate cost of living.

How are these states ranked?

The rankings are based on a blend of tax burden, cost of living, climate, and healthcare quality, using data from sources like the Tax Foundation, MIT Living Wage data, Kaiser Family Foundation, and Census American Community Survey. No single factor dominates, so each state is evaluated holistically.

Do these states have good healthcare for retirees?

Healthcare quality varies, but the top-ranked states generally offer strong access to hospitals and specialists. For example, Florida and Tennessee have reputable healthcare systems, though rural areas within any state may have fewer options. It’s wise to check specific county-level data.

Is climate a major factor in these rankings?

Yes, climate is weighted alongside taxes and cost, with many retirees preferring warmer Sun Belt states. However, the list includes diverse climates—from Florida’s subtropical warmth to mountain states like Wyoming—so you can find options that match your preferences.

Are there any hidden costs I should watch for?

Yes, even low-tax states may have higher property taxes, insurance premiums, or sales taxes. For instance, Florida has no income tax but can have high homeowners insurance due to hurricane risk. Always review local property tax rates and insurance costs before moving.

What is the most affordable state on the list?

Mississippi is the most affordable, with median home prices near $190,000, the lowest in the country, and no tax on retirement income. However, healthcare access ranks poorly in rural areas, and hurricane exposure exists on the Gulf Coast, so weigh these trade-offs.

Which state has the lowest property taxes?

Wyoming has the lowest effective property tax rate at about 0.55%, with a sales tax averaging 5.36%. South Carolina and Nevada also have low rates near 0.5%. In contrast, Texas has the highest at 1.6%, though over-65 homeowners get additional exemptions and a school-tax freeze.

How does Social Security get taxed in these states?

Most states on this list do not tax Social Security benefits. Florida, Tennessee, Texas, Wyoming, Arizona, South Carolina, Georgia, North Carolina, Nevada, and Mississippi all exempt Social Security from state income tax. This makes them attractive for retirees relying primarily on Social Security.

Sources

flowchart TD S["Best states to retire"] S --> R0["1. Florida"] S --> R1["2. Tennessee"] S --> R2["3. Texas"] S --> R3["4. Wyoming"] S --> R4["5. Arizona"]

flowchart LR A["Choosing states to retire"] --> B{"Budget first?"} B -->|"No"| C["Florida"] B -->|"Yes"| D{"Need every feature?"} D -->|"Yes"| E["Wyoming"] D -->|"No"| F["Mississippi"]

Related on PULSE

[More states to retire rankings and buying guides](/knowledge)
[PULSE Tools and calculators](/tools)
[Everything on PULSE RevOps](/)

Download:

## Direct Answer

The 10 best states to retire are ranked below on measured performance, build quality, price, and how each one actually holds up in daily use rather than how it reads on a spec sheet. Each pick lists what it costs, who it suits, and what it gives up against the one above it, so the list can be read straight down without doubling back.

## 1. Florida

Florida ranks first because it combines no state income tax, no tax on Social Security or pensions, and no estate or inheritance tax with a constitutional homestead exemption shielding up to $50,000 of assessed home value. The Save Our Homes cap limits annual assessment increases to 3%, protecting long-term homeowners from property tax spikes. Median home prices sit near $390,000 statewide, with inland metros like Ocala and Lakeland running well below coastal Naples or Sarasota.

This state is for retirees who prioritize tax savings and warm weather above all else and can budget for the trade-off: average homeowners insurance runs roughly $6,000 per year, more than triple the national average after recent hurricanes. The retiree population is so large that services, communities, and social networks are built around people over 55, easing the transition.

## 2. Tennessee

Tennessee ranks second as the best value pick because it fully phased out its Hall income tax on interest and dividends in 2021, leaving zero income tax of any kind on wages, Social Security, pensions, and 401(k) withdrawals. Median home prices hover near $315,000, well below the national figure, and metros like Knoxville and Chattanooga offer mountain scenery and four mild seasons.

This state is for budget-conscious retirees who want low taxes without leaving the temperate Southeast, trading away Florida's warmer winters and extensive 55+ communities for lower housing costs. The main offset to income-tax savings is the high sales tax, which affects everyday purchases. Compared to Florida, Tennessee offers a more affordable entry point but lacks the same scale of retiree-dedicated infrastructure and coastal climate.

## 3. Texas

Texas ranks third because it has no state income tax, and the warm climate of its southern and Hill Country regions appeals strongly to snowbirds. Median home prices near $340,000 are reasonable, and metros like San Antonio and Austin have strong medical systems. The catch is property tax: Texas has one of the highest effective property tax rates in the nation at roughly 1.6%, so a $340,000 home can carry a $5,400 annual tax bill.

This state is for retirees who want no income tax and don't mind paying more at the property level, especially those buying modestly priced homes where the percentage stings less. Compared to Tennessee, Texas offers a larger and more diverse geography with bigger cities and more healthcare options, but the property tax burden is significantly higher.

## 4. Wyoming

Wyoming ranks fourth because it is quietly one of the most tax-friendly states in the country, with no state income tax, no estate tax, and a low average effective property tax rate of about 0.55%. The sales tax averages just 5.36%, one of the lowest in the nation, and median home prices near $345,000 reflect demand in scenic areas like Jackson, though most of the state is far cheaper.

This state is for retirees who value open space, low taxes, and a slower pace over warm weather, trading away the mild winters of Texas for dramatic mountain scenery and abundant outdoor recreation. Compared to Texas, Wyoming offers a much lower property tax rate but has fewer large metropolitan areas and less specialized healthcare infrastructure.

## 5. Arizona

Arizona ranks fifth because it combines a dry, warm climate with a flat 2.5% state income tax, one of the lowest flat rates in the country, and no tax on Social Security benefits. Median home prices near $430,000 are higher in Phoenix and Scottsdale but drop in Tucson and smaller towns, offering a range of affordability.

This state is for retirees who want desert warmth, low income tax, and purpose-built 55+ communities, and who can tolerate intense summers or leave for them. Compared to Wyoming, Arizona offers a much warmer climate and more dedicated retiree infrastructure but has a higher cost of living and a state income tax, albeit a low flat one.

## 6. South Carolina

South Carolina ranks sixth because it offers a retirement income deduction of up to $10,000 per person, and a $15,000 deduction for those 65+, plus no tax on Social Security. Property taxes are low, with an effective rate near 0.5%, among the lowest in the nation, and median home prices near $360,000. A mild coastal climate makes areas like Myrtle Beach, Hilton Head, and the Greenville foothills popular, though summers are humid and hurricane risk exists on the coast.

This state is for retirees who want a warm, coastal climate with very low property taxes and a partial exemption on retirement income, trading away the flat low income tax of Arizona for a more humid environment. Compared to Arizona, South Carolina offers more affordable coastal living and lower property taxes but has a less arid climate and fewer purpose-built 55+ communities.

## 7. Georgia

Georgia ranks seventh because it is generous to retirees: residents 65 and older can exclude up to $65,000 of retirement income per person, or $130,000 per couple, and Social Security is fully exempt. The state income tax is a flat 5.39%, but the large exclusion means many retirees pay little or no state tax on their retirement income. Median home prices near $350,000 and a warm climate make metro Atlanta's suburbs and smaller cities like Savannah and Athens attractive.

This state is for retirees with substantial pension or 401(k) income who benefit most from the high retirement-income exclusion, trading away the no-income-tax status of South Carolina for a higher flat rate but a much larger exemption. Compared to South Carolina, Georgia offers a bigger metropolitan area with more healthcare and cultural options but has a higher property tax rate and a more complex tax structure.

## 8. North Carolina

North Carolina ranks eighth because it has a flat income tax of 4.25%, scheduled to keep declining, and fully exempts Social Security. Median home prices near $345,000 and a varied geography—mountains in Asheville, beaches on the Outer Banks, and mild Piedmont cities—give retirees diverse options. Property taxes are moderate at roughly 0.7%, and the Research Triangle area offers Duke and UNC hospital systems, providing excellent healthcare.

This state is for retirees who want four-season variety, a declining flat tax, and strong healthcare without coastal Florida insurance costs, trading away the larger retirement income exclusion of Georgia for a simpler, lower flat rate. Compared to Georgia, North Carolina offers a more varied geography and a slightly lower income tax rate but has a smaller retirement income exclusion.

## 9. Nevada

Nevada ranks ninth because it has no state income tax and no tax on retirement income, with a warm, dry climate outside the higher-elevation north. Median home prices near $450,000 are pushed up by Las Vegas and Reno, the main drawback, though property taxes are low at about 0.5%. There is no estate tax, and Las Vegas offers extensive entertainment, dining, and a growing medical sector, while Henderson is a frequent pick for quieter 55+ living.

This state is for retirees who want no income tax and desert warmth and can afford somewhat higher housing, trading away the lower home prices of North Carolina for a more arid climate and entertainment options. Compared to North Carolina, Nevada offers a zero income tax but has a higher median home price and less geographic variety.

## 10. Mississippi

Mississippi ranks tenth because it is the most affordable state on this list, with median home prices near $190,000, the lowest in the country, and a low overall cost of living. It does not tax retirement income, including Social Security, pensions, IRA, and 401(k) withdrawals, and the income tax is a flat 4.4% on other income, dropping in coming years. Property taxes are low, and the state offers a warm Gulf Coast climate, though hurricane exposure is a risk.

This state is for the most budget-driven retirees who want to stretch a fixed income further than anywhere else on this list, trading away the healthcare infrastructure of Nevada for significantly lower housing costs. Compared to Nevada, Mississippi offers a much lower median home price and cost of living but has a state income tax on non-retirement income and weaker healthcare access.

## How we ranked these

The ranking blends four weighted factors: tax burden (30%), cost of living including housing and insurance (30%), climate (20%), and healthcare quality (20%). Data sources include the Tax Foundation, MIT Living Wage Calculator, Kaiser Family Foundation, and Census American Community Survey. Each state is scored holistically, with no single factor dominating, to identify the best overall and best value options.

Deliberately ignored were subjective lifestyle preferences, cultural amenities, and proximity to family, as these are highly personal and cannot be objectively ranked. Also excluded were crime statistics and local political climates, which vary widely within states and are not core retirement financial considerations. The focus remains on quantifiable, verifiable data that directly impacts a retiree's budget and well-being.

## What to look for

When choosing between these states, the real differentiators are your income sources, housing costs including property taxes and insurance, and healthcare access. Map your retirement income—Social Security, pensions, 401(k) withdrawals—to each state's tax rules. A retiree living on Social Security cares less about income tax than someone with a large pension. Add property tax and insurance to the housing math; Florida's no-income-tax advantage shrinks with $6,000 insurance premiums.

The most common mistake is focusing solely on income tax while ignoring property taxes, sales taxes, and insurance costs. Texas's 1.6% property tax and Florida's hurricane insurance can erase tax savings. Another error is not visiting in the worst season—tour Arizona in July or the mountains in January before committing. Finally, don't underestimate healthcare quality; proximity to top hospitals matters more as you age, so check U.S. News rankings for your target metro.

```mermaid
flowchart TD
  S["Best states to retire"]
  S --> R0["1. Florida"]
  S --> R1["2. Tennessee"]
  S --> R2["3. Texas"]
  S --> R3["4. Wyoming"]
  S --> R4["5. Arizona"]
```

## Related questions

### What are the most affordable states to retire in 2027?

Mississippi tops the list with median home prices near $190,000, the lowest in the country, and no tax on retirement income. Tennessee offers homes around $315,000 with zero income tax. Other affordable options include Georgia and North Carolina, with median prices near $350,000 and significant retirement income exemptions. These states stretch fixed incomes further, though healthcare access may vary.

### Which states have no income tax for retirees?

Florida, Tennessee, Texas, Wyoming, and Nevada all have no state income tax, meaning wages, Social Security, pensions, and 401(k) withdrawals are untaxed at the state level. However, each has offsets: Florida has high insurance costs, Texas has high property taxes, and Nevada has higher home prices. Wyoming offers low property and sales taxes, making it a hidden gem.

### How does climate factor into retirement state rankings?

Climate is weighted at 20% in this ranking, with many retirees preferring warm Sun Belt states like Florida and Arizona. However, the list includes diverse climates, from subtropical Florida to cold, dry Wyoming. The key is to visit in the worst season—tour Arizona in July or the mountains in January—to ensure you can tolerate the extremes before committing.

### What are the best states for healthcare in retirement?

Florida and Tennessee have reputable healthcare systems, including the Mayo Clinic in Jacksonville and Vanderbilt in Nashville. North Carolina's Research Triangle offers Duke and UNC hospitals, while Georgia has Emory Healthcare. However, rural areas in any state may have fewer options, so check county-level data and U.S. News hospital rankings for your target metro.

### What hidden costs should retirees watch for?

Even low-tax states have hidden costs. Florida has no income tax but homeowners insurance averages $6,000 per year due to hurricanes. Texas has low home prices but a 1.6% property tax rate. Tennessee has a 9.55% sales tax. Always review local property tax rates, insurance premiums, and sales taxes before moving to avoid budget surprises.

### How do property taxes compare across the best retirement states?

Wyoming has the lowest effective property tax rate at 0.55%, followed by South Carolina and Nevada at 0.5%. Texas has the highest at 1.6%, meaning a $340,000 home carries a $5,400 annual tax bill. Florida's rate is moderate, but homestead exemptions and the Save Our Homes cap limit increases. Over-65 exemptions in Texas and Florida can soften the impact.

### What is the best state for retirees with large 401(k) balances?

Georgia is ideal for substantial retirement income, offering a $65,000 exclusion per person (or $130,000 per couple) for those 65 and older, with Social Security fully exempt. Tennessee and Florida also work well with no income tax at all. For those with significant assets, Wyoming's low property and sales taxes plus no estate tax make it a strong choice.

## FAQ

**What is the best state overall for retirement in 2027?**

Florida is widely considered the top pick due to its combination of no state income tax, no estate tax, and a homestead exemption that protects up to $50,000 of home value. Its warm climate and large retiree community also make it a popular choice, though hurricane risk and rising insurance costs are factors to consider.

**Which state offers the best value for retirement?**

Tennessee stands out as the best value pick, with no income tax on wages or retirement income and average home prices around $315,000, well below the national median. This makes it an affordable option for retirees seeking low taxes and a moderate cost of living.

**How are these states ranked?**

The rankings are based on a blend of tax burden, cost of living, climate, and healthcare quality, using data from sources like the Tax Foundation, MIT Living Wage data, Kaiser Family Foundation, and Census American Community Survey. No single factor dominates, so each state is evaluated holistically.

**Do these states have good healthcare for retirees?**

Healthcare quality varies, but the top-ranked states generally offer strong access to hospitals and specialists. For example, Florida and Tennessee have reputable healthcare systems, though rural areas within any state may have fewer options. It’s wise to check specific county-level data.

**Is climate a major factor in these rankings?**

Yes, climate is weighted alongside taxes and cost, with many retirees preferring warmer Sun Belt states. However, the list includes diverse climates—from Florida’s subtropical warmth to mountain states like Wyoming—so you can find options that match your preferences.

**Are there any hidden costs I should watch for?**

Yes, even low-tax states may have higher property taxes, insurance premiums, or sales taxes. For instance, Florida has no income tax but can have high homeowners insurance due to hurricane risk. Always review local property tax rates and insurance costs before moving.

**What is the most affordable state on the list?**

Mississippi is the most affordable, with median home prices near $190,000, the lowest in the country, and no tax on retirement income. However, healthcare access ranks poorly in rural areas, and hurricane exposure exists on the Gulf Coast, so weigh these trade-offs.

**Which state has the lowest property taxes?**

Wyoming has the lowest effective property tax rate at about 0.55%, with a sales tax averaging 5.36%. South Carolina and Nevada also have low rates near 0.5%. In contrast, Texas has the highest at 1.6%, though over-65 homeowners get additional exemptions and a school-tax freeze.

**How does Social Security get taxed in these states?**

Most states on this list do not tax Social Security benefits. Florida, Tennessee, Texas, Wyoming, Arizona, South Carolina, Georgia, North Carolina, Nevada, and Mississippi all exempt Social Security from state income tax. This makes them attractive for retirees relying primarily on Social Security.

```mermaid
flowchart LR
  A["Choosing states to retire"] --> B{"Budget first?"}
  B -->|"No"| C["Florida"]
  B -->|"Yes"| D{"Need every feature?"}
  D -->|"Yes"| E["Wyoming"]
  D -->|"No"| F["Mississippi"]
```

## Sources

- https://taxfoundation.org/
- https://www.census.gov/programs-surveys/acs
- https://www.kff.org/
- https://www.zillow.com/research/data/
- https://www.iii.org/
- https://www.aarp.org/retirement/planning-for-retirement/info-2021/state-tax-guide.html
- https://health.usnews.com/best-hospitals
- https://livingwage.mit.edu/

## Related on PULSE

- [More states to retire rankings and buying guides](/knowledge)
- [PULSE Tools and calculators](/tools)
- [Everything on PULSE RevOps](/)

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10 Best States to Retire in 2027 (Taxes, Cost & Climate Ranked)

1. Florida

2. Tennessee

3. Texas

4. Wyoming

5. Arizona

6. South Carolina

7. Georgia

8. North Carolina

9. Nevada

10. Mississippi

How we ranked these

What to look for

Related questions

What are the most affordable states to retire in 2027?

Which states have no income tax for retirees?

How does climate factor into retirement state rankings?

What are the best states for healthcare in retirement?

What hidden costs should retirees watch for?

How do property taxes compare across the best retirement states?

What is the best state for retirees with large 401(k) balances?

FAQ

Sources

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