To arrive at the list of the 10 best US cities to retire in 2021, we weighed a number of factors. Our goal is to provide our readers with a short list of viable retirement options beyond those most frequently noted in various websites and publications. Below you will find up-to-date, accurate information on each location based on a series of key performance indicators, including cost of living, community wellbeing, household income, poverty rates, number of health care facilities, population, and tax friendliness.
So without further ado, we present you with the 10 best cities to retire in America in 2021:
Huntsville, Alabama.
City population: 190,501
Share of population 65+: 15.2% (U.S.: 14.9%)
Cost of living for retirees: 6.1% below the national average
Average income for population 65+: $51,853 (U.S.: $56,453)
Community score: 63.3 (U.S.: 61.9)
State’s tax rating for retirees: Tax Friendly
As one of the 10 Cheapest States Where You’ll Want to Retire, the Heart of Dixie boasts many great spots for affordable living. And Huntsville, in northern Alabama, is one of the best. It offers all the low-cost, low-tax advantages as the rest of the state, but adds more generous incomes among retirement-age residents. The average household income for 65+ households in Alabama is $46,318, according to the Census Bureau.
Home to NASA’s Marshall Space Flight Center, the Redstone Arsenal and the Huntsville campus of the University of Alabama, the city offers a robust economy and a highly educated population. There are plenty of cultural attractions, from a sculpture trail to a symphony orchestra, as well as opportunities for outdoor recreation (think bass fishing). In fact, Alabama at-large offers many of Florida’s popular retirement attractions—warm weather, nice beaches and plenty of golf—all at a typically lower price.
Phoenix, Arizona.
City population: 1.6 million
Share of population 65+: 10.0%
Cost of living for retirees: 1% below the national average
Average income for population 65+: $54,681
Community score: 62.5
State’s tax rating for retirees: Mixed
Undoubtedly, many of you have considered the Grand Canyon State for its retiree-friendly climate and beautiful natural scenery. Unfortunately, the financial setting is not quite as picturesque: Average living costs in Arizona are 12% above the national average, according to Sperling’s BestPlaces, while median incomes for seniors with earnings are below average at $50,254.
Phoenix, though, offers a pocket of affordability, plus typically higher incomes.
And being the capital city, you can find plenty of attractions to keep you busy—world-class restaurants, professional sports teams and an array of museums, theaters and other cultural attractions. Of course, outdoor enthusiasts have more than enough to enjoy, too, with many hiking and biking trails within the city limits and even more to explore in nearby Scottsdale, Glendale and Tempe.
Carlsbad, California.
City population: 113,147
Share of population 65+: 16.0%
Cost of living for retirees: 40.6% above the national average
Average income for population 65+: $70,348
Community score: 64.3
State’s tax rating for retirees: Mixed
Part of the San Diego metro area, Carlsbad offers a small-city feel with easy access to big-city amenities. It has a vibrant cultural community, ocean-side living and sunny climate. You can also find 40 parks, more than 50 miles of hiking trails and a full calendar of artsy offerings, including Foreign Film Fridays in the spring and free concerts in the summer. (Not that there are really seasons in Carlsbad: Throughout the year, average highs fall between 62 and 71 degrees Fahrenheit, and average lows only go down to between 45 and 64 degrees Fahrenheit, according to Weather.com. And rainy days are rare.) Plus, you can choose among a host of retirement communities with ocean views.
Of course, you have to be able to afford it. Like much of California—where living costs are 69% above the national average, making it the second-most expensive state in the country behind only Hawaii—Carlsbad and the whole metro area is a pricey place to live. For example, the median home value in the U.S. is $229,000, according to Zillow; in California, it’s $548,600; and in Carlsbad, it’s (brace yourself) $860,700. And taxes throughout Cali also weigh heavily on your wallet.
Cape Coral, Florida.
City population: 173,679
Share of population 65+: 21.9%
Cost of living for retirees: 2.4% below the national average
Average income for population 65+: $42,123
Community score: 64.8
State’s tax rating for retirees: Most Tax Friendly
With its desirable climate and favorable tax status, Florida is filled with popular retirement destinations. Many of our favorite retirement spots in the Sunshine State can be found along the Gulf Coast including St. Petersburg, Sarasota and Punta Gorda.
Cape Coral’s metro area includes Fort Myers, yet another great place to consider for your retirement. But Cape Coral is unique in its waterway access, offering more than 400 miles of canals for all your boating, fishing and water sports dreams. And land lovers can enjoy the area’s beaches, golfing, tennis, parks and other recreational offerings.
Augusta, Georgia.
City population: 196,899
Share of population 65+: 12.8%
Cost of living for retirees: 9.5% below the national average
Average income for population 65+: $44,141
Community score: 62.7
State’s tax rating for retirees: Most Tax Friendly
With its low living costs and generous tax breaks for seniors, Georgia ranks third among our Best States for Retirement, behind only Hawaii and (surprisingly) South Dakota. And Augusta is ripening into a particularly peachy city. Revitalization efforts have been pushing especially hard over the past several years, looking to expand the area’s appeal beyond the annual Masters golf tournament in April and its accompanying celebrations and tourism revenue. In a walkable downtown, retirees can enjoy new restaurants, museums, galleries and nightlife venues. And even more is on the way with a $94 million plan in the works to redevelop a historic train depot property on the riverfront into a modern mixed-use complex of offices, apartments, retailers and restaurants.
In the meantime, you can already enjoy running, walking and biking along the Augusta Canal and kayaking and cruising along the Savannah River. Augusta University, along with other area schools, adds some nice college-town amenities, including free classes for Georgia residents age 62 and up. The University also supplies the region with a top-notch health care network, including three hospitals and numerous specialists focused on oncology, geriatrics and senior health.
Reno, Nevada.
City population: 239,732
Share of population 65+: 13.8%
Cost of living for retirees: 10.4% above the national average
Average income for population 65+: $51,061
Community score: 61.2
State’s tax rating for retirees: Most Tax Friendly
Whether or not you like to gamble, retiring to Reno can make you feel like you’ve hit the jackpot. Boasting a small-town feel with big-city amenities, the locale proclaims itself “The Biggest Little City in the World.” And it backs up the claim, offering a downtown full of restaurants, nightclubs, art galleries and music venues, on top of its well-known casinos.
Outdoor enthusiasts also win. The nearby Sierra Nevada mountain range and Lake Tahoe provide ample opportunities for hiking, biking and boating in warm weather, and skiing in winter. The area’s resorts and marinas are also popular among residents of Gardnerville Ranchos, a small Nevada town near Lake Tahoe that’s home to a surprising number of millionaires.
Sioux Falls, S.D.
City population: 170,401
Share of population 65+: 12.0%
Cost of living for retirees: 3.7% below the national average
Average income for population 65+: $46,123
Community score: n/a
State’s tax rating for retirees: Most Tax Friendly
If you’ve never considered moving to South Dakota in retirement, perhaps you should. We recently ranked it the best state for retirees. And Sioux Falls is a particularly great spot to settle. It is filled with advantages, including a booming economy, low unemployment and hospitals specializing in geriatric services. For all these reasons, plus the city’s recreational activities (including regularly scheduled morning walks and pinochle for the senior program, run by the city’s Parks and Recreation department), the Milken Institute dubbed Sioux Falls the fifth best small metro area for successful aging.
And all that comes pretty cheap for retirees. Along with low living costs in Sioux Falls, the median home value is $192,900, compared with $193,700 for the state and $229,000 for the U.S., according to Zillow. Plus, the state’s tax picture is one of the best for retirees.
Round Rock, Texas
City population: 116,369
Share of population 65+: 7.5%
Cost of living for retirees: 5.9% below the national average
Average income for population 65+: $72,762
Community score: 64.2*
State’s tax rating for retirees: Tax Friendly
Nothing weird about retiring to this suburb of Austin. After all, being part of the same metro area, Round Rock gives you easy access to all the same amenities as the capital city, but at a more affordable price. Austin is already relatively cheap, with living costs for retirees 1% below the national average, but its housing costs for retirees are actually 5.8% above the national average. In Round Rock, on the other hand, they’re 4.6% below average. Indeed, the median home value in Austin is a pricey $371,900 while in Round Rock, it’s just $277,500, according to Zillow. (Both are higher than the national median of $229,000.)
On top of the attractions of nearby Austin, Round Rock has a lot to offer right in town, too. (Good thing because traffic in this metro area can be pretty frustrating, to say the least.) The downtown area hosts a long list of dining options, many of which stay open to lend themselves and their bars to the local nightlife. And developing the local arts and culture scene has been a focus for the city with the introduction of a growing collection of public art and art-centric events such as the Chalk Walk, SculpFest and regular artist workshops.
Provo, Utah
City population: 116,199
Share of population 65+: 6.0%
Cost of living for retirees: 1.7% below the national average
Average income for population 65+: n/a
Community score: 64.7
State’s tax rating for retirees: Least Tax Friendly
The Beehive State, 10th in our 2018 rankings of the best states for retirement, is a sweet spot for active retirees. And Provo, with mountain peaks within the city limits and Utah Lake on its doorstep, is particularly buzz-worthy. Brigham Young University offers intellectual stimulation to complement the physical activity. Plus, living costs are low while incomes are high, at an average $97,958 a year for residents age 60 and up.
Another feather in its cap: The Milken Institute rates Provo as the best large city for successful aging, noting the area’s vibrant economy and safety, as well as the population’s healthy lifestyles and high levels of volunteering among older adults. The metro area also has an abundance of health care facilities, about 32 establishments per 1,000 seniors compared with about 19 per 1,000 seniors in the U.S.
Green Bay, Wis.
City population: 104,796
Share of population 65+: 12.3%
Cost of living for retirees: 10.2% below the national average
Average income for population 65+: $35,380
Community score: 66.2
State’s tax rating for retirees: Least Tax Friendly
The University of Wisconsin brings all the benefits of retiring in a college town to the industrial city of Green Bay. That includes a thriving cultural and arts scene, quality medical care, a walkable downtown with an array of dining and shopping options and of course sports.
And while the state’s tax situation leaves something to be desired, low living costs are attractive. Green Bay is particularly affordable, with below-average costs for retirees across all spending categories. Housing expenses are notably low, with costs for retirees falling 20% below the national average. Indeed, the median home value in Green Bay is just $146,500, compared with $229,000 for the U.S., according to Zillow.
Final Notes:
Cost of living for retirees for major metropolitan and micropolitan statistical areas, with data provided by the Council for Community and Economic Research, includes overall costs, housing, food and groceries, transportation, utilities, health care and miscellaneous expenses.
Community well-being and physical well-being scores are provided by digital health company Sharecare, in collaboration with Gallup. These are two of the five elements of well-being that make up the overall Gallup-Sharecare Well-Being Index. (The other three elements are purpose, social and financial well-being.) The index is calculated on a scale of 0 to 100 and based on more than 2.5 million nationally representative surveys. Community well-being is defined as “liking where you live, feeling safe and having pride in your community.” Physical well-being is “having good health and enough energy to get things done daily.” We display the community score for each place we chose.
Data regarding household incomes, poverty rates and number of healthcare facilities was sourced directly from the U.S. Census Bureau. Population data, including the percentage of the population that is age 65 and older, is also provided by the Census Bureau. The figures are highlighted in these rankings for the benefit of readers, but were not factors in our methodology for ranking the best places to retire.
Taxes on retirees, based on Kiplinger’s Retiree Tax Map, which divides states into five categories: Most Tax Friendly, Tax Friendly, Mixed, Not Tax Friendly and Least Tax Friendly. This information is provided for the benefit of readers but was not factored into our selections within each state.