Florida used to be the undisputed king of retirement destinations. For decades, retirees packed their bags, dreaming of sunny beaches and palm trees swaying in the breeze. That dream, though, is shifting. Let’s be honest, things have changed.
Florida now ranks at number 41 in Bankrate’s 2025 retirement study, performing poorly for healthcare, home insurance costs and natural disasters. The median home value has soared to nearly $393,000, and the state’s insurance crisis is spiraling toward catastrophe as hurricanes become more frequent and severe. More retirees are exploring alternatives that offer financial stability, quality healthcare, and peace of mind without breaking the bank. So which states are stealing Florida’s thunder? Here are ten places where retirement dreams are taking root instead.
New Hampshire: The Granite State’s Surprising Appeal
New Hampshire is the best state for retirement in 2025 according to Bankrate’s latest study, unseating last year’s top scorer Delaware. Yes, you read that right. Cold, snowy New Hampshire beat the Sunshine State.
The state mixes an affordable lifestyle with strong quality-of-life factors including safety, healthcare and the arts. Sure, the weather isn’t tropical, but while it scored poorly for lack of sunshine, it ranked 14th for affordability and excelled in categories that actually matter day to day. Healthcare access is solid, crime rates are low, and honestly, you can always escape to Florida for a week in January if you need a sunshine fix. Living among people of a similar age is one reason retirees flock to Florida and Arizona, yet New Hampshire tends to fly under the radar in this regard.
South Carolina: The Affordable Southern Charmer
United Van Lines’ 2023 National Movers Study found that nearly 27 percent of people moving to the Palmetto State did so for retirement, the third-highest proportion in the country. It’s clear why South Carolina is surging in popularity.
South Carolina provides an affordable alternative to Florida and North Carolina with a $15,000 retirement income deduction for those 65 and older, no Social Security tax, and a cost of living roughly 11 percent below the national average. With mild weather and ample sunshine, South Carolina’s climate is ideal for enjoying the outdoors year-round. Cities like Charleston, Beaufort, and Greenville combine southern hospitality with cultural richness and historic charm. Among recent movers, nearly 27 percent cited retirement as their reason, while family and lifestyle factors drove others to the state.
Delaware: Tax Benefits That Can’t Be Ignored
Delaware might not scream “retirement paradise” at first glance, but the numbers tell a different story. Delaware does not tax Social Security retirement benefits, is one of just four states with no sales tax at the state or local level, and has some of the lowest property tax rates of any state.
Retirees age 60 and older may exclude up to $12,500 of pension or retirement income from a qualified retirement plan in Delaware. Think about what that means for your wallet every month. Combined with a relatively low cost of living, stunning beaches, and convenient access to cities like Philadelphia, New York City, and Washington D.C., Delaware offers an unbeatable mix of affordability and lifestyle appeal. The First State delivers financial perks without sacrificing proximity to major urban centers or coastal beauty.
Massachusetts: The Unexpected Northern Star
This one shocked everyone. Massachusetts was the number one destination for older adults moving to a new state specifically for retirement in 2024, edging out perennial favorite Florida, with just over 20 percent of retirement-specific moves choosing Massachusetts.
Research found that people moving for retirement tend to be more affluent than the average American, with median household income for retirees who relocated in 2023 at $88,347, meaning they can afford to be picky and choose expensive places like Massachusetts. U.S. News and World Report ranks Massachusetts second among the states for healthcare, behind only Hawaii. Cape Cod and the Berkshires offer idyllic coastal and mountain living, four distinct seasons, and rich cultural experiences. It’s pricey, no doubt about that, but wealthier retirees clearly think it’s worth every penny.
Wyoming: Big Sky, Low Taxes
Wyoming offers something Florida can’t match: wide open spaces and true solitude. Wyoming takes the top spot according to Empower data in having a competitive approach to state taxes, and there’s no state income tax whatsoever.
Wyoming has no state income tax, making it an ideal location for retirees looking to minimize their tax burden, and also has a low overall cost of living and affordable housing options. The study’s top-10 list included three Western states, including Utah, Wyoming and Idaho, with four New England states also featured. If you’re an outdoor enthusiast who loves hiking, fishing, and endless mountain views, Wyoming could be your retirement haven. The weather can be harsh, sure, but the financial freedom makes up for bundling up a few extra months.
Idaho: Quiet, Safe, and Surprisingly Affordable
Idaho was the seventh-fastest-growing state in 2024 by percentage growth according to data from the U.S. Census Bureau. Something’s drawing people to the Gem State, and it isn’t just potatoes.
Idaho scored well in neighborhood safety ranking third and had the lowest rate of property crimes in the country, while also doing well on affordability ranking ninth and taxes ranking 11th. Crime rates are astonishingly low, making it an incredibly safe place to settle down. While the state ran in the middle of the pack for weather, it fell in the bottom third for arts and people of a similar age. Idaho may not have the most vibrant arts scene or the largest retiree community yet, but if tranquility and security are top priorities, this state delivers in spades.
Iowa: Affordable Heartland Living
The best state to retire isn’t actually Florida despite its high population of seniors, and Iowa has been ranked as the top state for retirement by multiple studies. Surprised? You’re not alone.
Iowa was cited as the best state for retirement in 2024 due to the state’s outstanding healthcare system, low crime rates, affordable housing, and low cost of living expenses, meaning retirees can hold onto their retirement savings longer. Retirees can anticipate spending around $400 in transportation costs and about $622 in healthcare expenses monthly, with the total monthly cost of living coming out to about $3,910. Sure, Iowa winters can be brutal, but warm summers and a strong sense of community make this Midwestern gem an increasingly attractive choice for budget-conscious retirees.
Virginia: Historic Charm Meets Modern Convenience
Virginia ranks as the seventh-best state for retirement, and unfortunately the beautiful scenery and charm come with a cost of living roughly 7 percent above the U.S. average. Yet, it still beats Florida in several key areas.
Healthcare costs for a retired couple are below average at $408,950, and Virginia does not tax Social Security benefits, with those 65 and older able to deduct up to $12,000 per person. From the Blue Ridge Mountains to colonial Williamsburg and charming coastal towns, Virginia offers diversity you simply can’t find in Florida’s flat landscape. Minnesota ranked second among all retirees who moved to a new state, attracting 7.1 percent of movers, followed by Virginia at 6.7 percent. Rich history, four seasons, and proximity to Washington D.C. add to Virginia’s retirement appeal.
Colorado: Mountain Majesty for Active Retirees
Colorado ranks as the second-best state for retirees according to WalletHub, and although Colorado residents face high sales tax, property taxes are lower than other states, and the state allows for tax deductions for certain retirement income sources for qualified taxpayers.
Colorado has one of the lowest rates of social isolation for seniors, boasts the 10th-best geriatric hospitals in the country, and is home to the fourth-highest percentage of seniors who are in good health and the third-highest percentage who are physically active in 2025. If you picture retirement filled with skiing, hiking, and breathtaking scenery, Colorado is calling your name. Housing costs can be steep in certain areas like Aspen or Vail, but smaller mountain towns offer peaceful lifestyles and comfortable living without the luxury price tag.
Georgia: Southern Comfort Without the Price Tag
Georgia is the third-best state for retirement, with a cost of living about 7 percent below the national average and the sixth-lowest average cost for a retired couple in the U.S.. If you’re seeking southern warmth without Florida’s inflated costs, Georgia might be your answer.
Social Security is exempt from state taxes in Georgia, and up to $35,000 of most types of retirement income for those between 62 and 64, and up to $65,000 per taxpayer 65 and older ($130,000 per couple) is also exempt, combined with warm summers and mild winters. Atlanta offers big-city amenities, while Savannah brings historic charm and coastal beauty. Peaches, pecans, and a slower pace of life make Georgia a delightful retirement option that won’t drain your savings account.
Florida’s allure hasn’t disappeared entirely. For many, it still holds a special place in retirement dreams. Yet rising costs, insurance nightmares, and increasingly severe weather events are pushing retirees to reconsider. The ten states above prove that paradise doesn’t have to come with palm trees. Whether you crave mountains, four seasons, lower taxes, or simply a safer, more affordable lifestyle, alternatives abound.
The beauty of retirement is that you get to choose what matters most to you. Maybe it’s proximity to grandkids, access to world-class healthcare, or simply stretching your Social Security dollars further. Florida may have been the default answer for generations, but in 2025, retirees are writing their own stories in places they never expected. What’s your ideal retirement destination? The options are wider than you might think.
