Discover Your Perfect Retirement Destination with Our Quiz

Where to live in retirement depends on several factors, but it’s a uniquely personal choice. If you could use some help deciding where to spend that chapter of your life, read on. Our quiz can help you zero in on some options, and you’ll also learn more about the factors that can help you decide where to retire, some common retirement destinations, and more.

Where to Retire Quiz

First, here is a “where to retire quiz” to help you to create your plans.

Factors to Consider When Choosing Where to Retire

There are several criteria you’ll want to consider when choosing where to retire. But first, it may be helpful to think about whether you’ll want to relocate at all.

Should You Relocate?

There are many reasons that you may want to relocate when you retire, but there are also plenty of reasons that you may want to stay where you are. It may be difficult to reacclimate to a new area, for instance, and be away from long-established networks, habits, and friends. If your family is nearby, too, it may make it even more difficult to move away.

But each retiree’s decision will depend on their own circumstances, and whether they’re ready to pack up and move on, or stay put. With that in mind, here are some factors to consider if you are thinking of moving away during retirement.

Climate and Topography

When you picture yourself in your ideal location, what is the weather like? Are you the type who wants to live the “70-plus degrees and sunny” lifestyle year-round? Or do you want to experience the full array of seasons, with fall leaf-peeping and some wintertime snow?

As you think about your surroundings, it can be smart to daydream a bit and envision where you’d like your retirement to be. One person might want to be in the mountains, another in a small city with lots of walking trails.

As you contemplate these options, it can be worthwhile to delve into climate reports for each of the states in the U.S. and check out the “past weather” tabs to see what patterns you may observe.

Friends and Family

When thinking about retirement, don’t overlook the value of having loved ones and their social support nearby. Your dream may be to live where your children or your grandchildren do. If that sounds like you, consider whether these family members are rooted in their communities or if they frequently move (say, for work).

If the first is true, then the situation is probably simpler than if there’s a good chance that your family might move, leaving you in a community that you chose because they were living there.

Do you have close friends that have decided where they want to retire? If so, you might want to consider the area they have in mind. Having the continuity of their friendship could add to your quality of life and help you transition into retirement.

Peace and Quiet? Or Action?

You might love the peace and quiet of small towns, rural areas, and the like, where you can fish, stroll through the woods, and otherwise appreciate the beauty of nature. Or you may want to retire right where the most action is, living in a big city with everything you need within a block or two of your place, plus an array of restaurants, shows, museums, and other attractions to keep you busy. Or you might prefer a suburb that offers the best of both worlds.

Also worth thinking about: Do you want to be in a place where there’s always something going on that you can join? For some people, a 55+ community with ongoing planned activities can be most appealing.

Career Plans

Do you envision saying a permanent goodbye to the workplace in the future, or do you plan to keep working after retirement — perhaps part-time or as a consultant — through your 60s and 70s, and maybe even beyond? Or perhaps you’re looking forward to having a second act in a field of great interest.

You may have pursued your original career because you needed to earn a certain income, but now you can work in an area that brings you joy, perhaps in animal rescue. Or maybe you want to volunteer for an organization you feel passionate about. There are lots of buzzwords describing the new ways people may work as they reach retirement age, such as semi-retirement and unretirement. Regardless of what you call it, some retirement locations may offer more opportunity than others, depending on the path you envision.

Taxes

It’s important to consider the impact of finances on where you choose to retire. Some states are more tax-friendly than others. There can be income tax, property tax, sales tax, and other taxes in the mix, so it can be wise to consider the best places to retire for tax purposes before you commit. For some people, where they choose to live in retirement can wind up making a difference of tens of thousands of dollars in taxes.

As you think about your options of where to live when retired, it can be wise to research the potential tax burden of a move (you can find information online) or meet with a professional who can advise you.

On the subject of taxes and affordability, another factor to keep in mind when thinking about retirement is cost of living. If you imagine retiring to, say, Austin, Texas, you are likely going to need to spend more for that in-demand city life than to live in a small town a couple of hours away from it.

Cost of Living

Taxes may only be one part of a larger concern: The cost of living. Different areas have different associated costs of living. You’re likely going to be paying less for housing and groceries in, say, Minot, North Dakota than you would in San Francisco, for example. There can be a lot of things to take into consideration when thinking about the cost of living and how much you’ll need to retire, but it should be on your list of things to think about – perhaps prominently.

Top 10 Retirement Destinations

Many publications crunch the numbers and release lists of top retirement destinations every year. One such publication is U.S. News & World Report, which analyzes data from 150 cities in the U.S. to assess how well they meet Americans’ retirement needs and expectations. For 2026, here are the top ten cities:

1.    Midland, Michigan

2.    Weirton, West Virginia

3.    Homosassa Springs, Florida

4.    The Woodlands, Texas

5.    Spring, Texas

6.    Rio Rancho, New Mexico

7.    Spring Hill, Florida

8.    Altoona, Pennsylvania

9.    Palm Coast, Florida

10.    Lynchburg, Virginia

Key Findings from Recent Retirement Surveys

Beyond the U.S. News & World Report resource mentioned above, there is a wide variety of information online, whether you want to research housing prices in a given area on a real-estate listing site or read a blog about what it’s like to retire in a foreign country.

Don’t forget about the value of word-of-mouth. Talking to friends, neighbors, colleagues, and family members about their plans and those of members of their circle can help you learn about what like-minded people are thinking. Again, there’s a lot of data to sift through, but it can be worth your time to sit down and do some research.

Affordable Places to Retire

Some of the most recent data out there shows that states like North Carolina, Texas, South Carolina, and Tennessee are attracting a lot of domestic migration. And that some of the least expensive states in the country include Mississippi, Arkansas, West Virginia, and Oklahoma.

And when it comes to tax burdens, the states with the lowest total tax burdens (which includes property taxes, sales taxes, excise taxes, and income taxes) are Alaska, New Hampshire, Tennessee, Florida, and Delaware.

Conversely, states like Hawaii, Massachusetts, California, and New York tend to have the highest costs of living — so, you may want to keep that in mind, too.

Safest Places to Retire

If safety is your top concern, then you may be looking for states with relatively low crime rates, low mortality rates, and perhaps that are even shielded from disastrous weather patterns like hurricanes. While there isn’t a perfect place, by any measure, there are some cities and towns that tend to be safer than others.

Here are some of the safest affordable places to retire as of 2026, according to an analysis from GOBankingRates:

1.    Columbus, Indiana

2.    Broadview Heights, Ohio

3.    Auburn, Indiana

4.    Mayfield Heights, Ohio

5.    Savannah, Georgia

Happiest Places to Retire

If happiness is your aim — and why shouldn’t it be? — you may be interested in the key findings from a 2026 SoFi study that outlines the happiest cities in the U.S. for retirees. The study identified key elements that contribute to happiness — social well-being, financial security, and health — and examined 13 pivotal rankings within them, such as community, cost of living, and health care access.

Here’s the list:

1.    Portland, Maine

2.    Madison, Wisconsin

3.    Appleton, Wisconsin

4.    Manchester, New Hampshire

5.    Sioux Falls, South Dakota

Best Places to Retire Early

Some people want to retire before they reach 65 or 70. If you are among that group, consider the Rule of 25, which says that someone should save 25 times their annual expenses to retire — not annual earnings, but annual retirement expenses.

So if you are calculating how to retire early with annual expenses of $75,000, that means that someone would need to save about $1,875,000 to stop working (at a minimum).

Important note: As you do the math, remember that this figure can’t include Social Security benefits because those aren’t available until the designated time (meaning, not during early retirement).

It can also make sense to spend less and save more now to maximize what you’ll have saved for retirement. This can have a doubly good impact. First, spending less can lower the amount needed to save for early retirement, because you’ll have fewer expenses. In addition, the money not being spent today may be invested.

Here’s another way to calculate what may be needed. Take a look at the current budget, cut out what you reasonably can, and then figure out how this budget may change in retirement years. What may require more funds (health care, for instance)? Less (like money spent on your kids)? This can help you forecast what your line item budget may look like in the years ahead.

As for some of the best states in the U.S. to retire early? Smart Asset lists Kentucky, South Dakota, Wyoming, and Tennessee as top choices. That can give you a headstart on places to check out, but there are many more.

Recommended: The Strategic Guide to Early Retirement

Planning Your Retirement

As far as when to start saving for retirement, the answer is as soon as possible. If you’re not sure how to start, you can consult a retirement planning guide, and in terms of how to save, you may have such options as:

•   401(k) Retirement Plans: These are employer-sponsored plans and can be a convenient way to start saving for retirement.

•   IRAs (Individual Retirement Accounts) Whether or not your employer offers a retirement plan, you can open an IRA yourself. There are two popular types — traditional and Roth — which are treated differently, tax-wise.

•   Self-Employment Retirement Plans: There are several types of retirement plans for the self-employed, including SEP IRAs, Simple IRAs and a Solo 401(k). Contribution limits are generally higher, because you’re both the employer and the employee.

•   Pension Plans: If you work for the government or military (or possibly for a large company), you may also benefit from a pension plan. These are less common than they used to be, but they still exist.

As you save, it can be wise to frequently check in on how your savings are performing. This can help you monitor whether you’re on track, regardless of which of the different types of retirement plans you are utilizing, and make any necessary adjustments.

If you find you aren’t heading towards your targets, you may want to rebalance your portfolio to help meet your goals.

The Takeaway

Deciding where to retire is a big decision. Lifestyle factors and proximity to family play a key role, as do cost of living, affordability, and taxes. Saving for retirement and calculating how much will be needed to retire comfortably, are important for making sure individuals will be able to enjoy their golden years — wherever they may choose to spend them.

Prepare for your retirement with an individual retirement account (IRA). It’s easy to get started when you open a traditional or Roth IRA with SoFi. Whether you prefer a hands-on self-directed IRA through SoFi Securities or an automated robo IRA with SoFi Wealth, you can build a portfolio to help support your long-term goals while gaining access to tax-advantaged savings strategies.

Help build your nest egg with a SoFi IRA.

FAQ

What is the #1 best place to retire?

The best place to retire depends on a number of factors, but many lists and analyses rank cities in states with low taxes, low costs of living, and relatively mild weather near the top. The best place to retire will ultimately come down to an individual’s preference, however.

When should I retire?

It’s difficult to say when any individual should retire, so perhaps the best answer is when you’re prepared. That means having enough money saved and invested to carry you through your retirement, and being prepared financially and emotionally to walk away from full-time employment.

Am I ready to retire?

Every person’s situation is unique, so you may wish to consult with a financial professional to gauge whether you’re ready to retire from a financial perspective. Other than that, you may want to sit down and consider your lifestyle, health, social well-being, and other factors that may change after you retire.

How much do I need to retire?

How much you’ll need to retire will depend on your specific circumstances, including where you live and your lifestyle choices. You might want to consider some common rules of thumb. For example, the 80% rule says you will need 80% of your pre-retirement income per year when you retire. Another guideline recommends having 10 times your annual salary saved by the time you’re 67. However, depending on your specific personal circumstances and financial situation, you may need to save more or less than the guidelines suggest.

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Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.
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