Where America's Retirees Settle: Comparing Living Costs Across 11 High-Retirement States in 2025

Across the United States, eleven states have seen their senior populations reach critical mass, with at least one-fifth of residents aged 65 and older. These destinations attract retirees for varied reasons — some offer stunning natural landscapes, while others provide genuine financial relief through lower costs of living. Understanding the actual expenses in these retirement-focused states becomes essential for anyone planning their golden years.

The Research Behind the Numbers

A comprehensive analysis examined household income patterns, regional cost-of-living variations, and Social Security benefit levels across all 11 states. The cost-of-living index, sourced from the Missouri Economic Research and Information Center (MERIC), provides crucial context: values above 100 signal expenses exceeding the national average, while figures below 100 indicate more affordable regions.

The Budget-Friendly Tier: Where Retirement Dollars Stretch

West Virginia leads the affordability category with a cost-of-living index of just 88.6. Single retirees in the state face monthly living expenses of approximately $2,264 after Social Security contributions, while couples manage on $1,309 monthly. This remarkable efficiency makes it one of America’s five most cost-conscious retirement locations.

New Mexico follows with similarly attractive economics. The state’s MERIC index of 94.2 reflects broadly affordable pricing across most categories — groceries, housing, and utilities all undercut national norms. A single retiree there spends around $2,534 monthly, couples approximately $1,579. The Taos population area, known for its artistic community and cultural attractions, represents one of the state’s more intriguing affordable retirement pockets.

Montana and Wyoming round out the budget-conscious options. Montana’s cost-of-living index sits at 96, with monthly expenses of $2,640 for individuals and $1,685 for couples. Wyoming operates at index 97, requiring $2,669 monthly for singles and $1,714 for couples. Both states feature notably depressed housing costs that offset higher healthcare and grocery expenses.

The Mid-Range Options: Balancing Cost and Lifestyle

Pennsylvania presents a middle-ground approach, ranking 25th nationally with an index of 97.5. Monthly living costs run $2,693 for individuals and $1,738 for couples. The state’s particular strength lies in consistently lower grocery, healthcare, and housing prices, though utilities and transportation demand higher spending.

Florida emerges as a tropical alternative with moderate costs relative to its popularity. The Sunshine State’s index score of 102 makes it more accessible than many assume. Singles spend roughly $2,910 monthly, couples $1,955. Its subtropical appeal combined with this affordability explains its enduring magnetism for retirees.

Delaware and New Hampshire occupy similar middle positions. Delaware’s cost of living runs 3.5% above national average (index 17th highest at 103.5), requiring $2,983 monthly for individuals and $2,028 for couples. New Hampshire’s index of 110.1 produces monthly expenses of $3,301 for singles and $2,346 for couples, with highly variable component costs — cheap groceries offset by expensive utilities.

The Premium Destinations: Natural Beauty at a Price

Maine and Vermont command substantially higher outlays despite their natural appeal. Maine’s 23.5% retirement-age population (the highest concentration) lives within a cost-of-living index of 113.4, generating monthly expenses of $3,460 for individuals and $2,505 for couples. Vermont’s 22.9% senior demographic faces nearly identical pressures with index 113.7, spending $3,474 monthly for singles and $2,520 for couples.

Hawaii represents the ultimate premium choice, with an index value of 182.3 — more than 80% higher than the national average and substantially above every other state in this analysis. Massachusetts ranks second in cost at 145.1, but Hawaii’s Pacific island status drives its exceptional pricing. Retirees there confront $6,782 monthly expenses as individuals and $5,828 as couples — figures that fundamentally reshape retirement planning calculations.

The Geographic Patterns

Several trends emerge from this state-by-state comparison. Northeastern states (Maine, Vermont, New Hampshire) cluster in the expensive range, while Mountain West and Southern states generally prove more economical. The Pacific exception — Hawaii — defies regional patterns through its unique island economics.

The data reveals that retirement location choice carries profound financial implications, ranging from approximately $1,300 monthly for couples in West Virginia to nearly $5,800 in Hawaii. This five-fold cost variation underscores why thoughtful destination selection matters significantly for retirement security and lifestyle quality.