
As you plan for a fulfilling retirement, the choice of where to live can weigh heavily on your mind. Some states in the US have a significantly higher cost of living, which can jeopardize your savings. To help you enjoy your golden years without worries about financial security, here are 15 states retirees should consider avoiding.
New York

While New York offers plenty of opportunities, retirees may be disappointed to learn that it ranks as the least affordable state to retire in the US for 2024, according to a published article by the New York Post. Plus, taxation on local properties (as stated on Britannica) is high in the state.
California

According to Forbes’ income tax report, living in California will bind you to pay state income tax rates in the range of 1% to 12.3%. Plus, California consistently ranks as one of the most expensive states to live in, with state income taxes, housing costs, and property taxes.
Alaska

Adventure enthusiasts often envision retiring in Alaska. However, many overlook the challenges posed by the state’s high expenses. According to Bankrate’s report, Alaska is one of the worst states to retire in for 2024, primarily due to burdensome heating, transportation, and housing costs that can impact those seeking a comfortable retirement.
New Jersey

On March 20th, the New Jersey Business & Industrial Association (NJBIA) released a Monmouth University Poll indicating that nearly 48% of residents are contemplating leaving the state. Although New Jersey is conveniently located near major cities, rising property taxes and living expenses may cause many to reconsider their long-term plans.
Hawaii

Although Hawaii offers beautiful scenery and a tropical climate, its living costs are among the highest in the country. According to a report on CNBC, Hawaii is one of the twelve American states that impose an estate tax. The state’s general excise tax can also increase the price of everyday items.
Massachusetts

Retirees should be wary of Massachusetts due to its housing costs and income tax rates. Healthcare is also expensive in the state, and cities like Boston contribute to the state’s high living costs. While the state offers good services, the financial burden on retirees can be overwhelming.
Maryland

Maryland provides retirees with coastal beauty and proximity to cultural hubs like Washington, DC. The state imposes significant taxes, including both estate and inheritance taxes, which can affect retirees if they have substantial assets. Social Security aids are exempt from state taxes, but other retirement income may be subject to taxation.
Minnesota

It can get extremely cold in Minnesota, and this means older people have to spend a lot on heating bills. As temperatures drop, expenses can soar dramatically. Rising income and property taxes put further strain on retirees, especially those with limited disposable income. Navigating these financial challenges can be daunting for many in the state.
Colorado

According to insights from Colorado Property Group, living expenses in Colorado are approximately 7% higher, with an annual average cost of $53,374. This substantial amount can be challenging for retirees. Even if the state offers abundant outdoor activities, the increased expenses may pose difficulties for those on a fixed income.
Oregon

Oregon is a retiree’s paradise with its beautiful coastlines, mountains, and forests. On the flip side, living here can be pricey, especially in trendy spots like Portland. High-income taxes that affect most retirement income might stretch the budget. But if you’re attracted by Oregon’s natural beauty, smart financial planning can help.
Rhode Island

For all the love for Rhode Island’s beautiful scenery, its property taxes and housing costs, particularly in coastal areas, can discourage retired people. Plus, old people living in Newport won’t enjoy the congestion during the holidays, as it eventually leads to increased transportation costs and added stress during peak seasons.
Illinois

Americans generally consider Illinois to be a high-tax state. A report published by The Center Square highlights Illinois as one of the least affordable states in the country. The state also faces budgetary issues that could lead to increased taxes for all inhabitants, impacting both the young and the elderly.
North Dakota

While North Dakota may seem like an affordable option due to its rural nature, the living expenses can still be surprisingly high in some areas. Harsh winters can lead to expensive heating bills. Additionally, housing in areas benefiting from the energy boom can be higher than anticipated, making budget planning essential for residents.
Connecticut

One of the highest property tax rates in the country can be found in Connecticut. It attracts retirees with its coastal views and excellent connectivity. Unfortunately, the state’s elevated living expenses and steep housing costs can significantly strain retirement budgets. Plus, everyday expenses add up quickly for those on fixed incomes.
Vermont

Social Security benefits are partially taxed in Vermont, which can impact your retirement budget. While the state offers stunning scenery and charming communities, the steep cost of living may outweigh its appeal. With higher-than-average prices for goods and services, Vermont might not be the ideal retirement destination.