A lot of the perks of more expensive retirement hotspots like Boulder, Boca Raton or Asheville are readily available in up-and-coming places. And for $5,000 a month, you have plenty of options. Here are five of our favorites.
If You Want a Walkable City Near the Beach: Savannah, Georgia
Arguably one of the prettiest cities in America, Savannah boasts walkable town squares, towering oak trees draped in Spanish moss and flowers throughout the year. Located just 20 miles inland from the Atlantic Ocean, residents of Savannah can choose between living downtown, in close proximity to public parks and local restaurants, or closer to the water, near one of the city’s many tidal marshes. Due to a warm and temperate climate, residents of Savannah can spend much of the year playing golf or tennis outdoors, or merely going for walks in picturesque neighborhoods. A little money will go a long way in Savannah. The cost of living is 16.8% lower than the national average; health care is 17% lower than the national average; and the median home price is $131,700. Georgia has favorable tax policies for retirees, including no taxes on Social Security benefits, a maximum deduction of $65,000 for other types of retirement income and no estate or inheritance taxes.
If You Want a Thriving Downtown: Provo, Utah
Bustling with bookstores, art galleries, live music venues and antique shops, downtown Provo hosts a gallery stroll every first Friday of the month to showcase local artists, whose work adorns outdoor murals on the sides of buildings. It’s also has all the college town amenities many retirees crave (the city of 117,000 is home to Brigham Young University) and a wealth of social services and support systems for older residents (it was recently ranked the No. 1 city for successful aging by the Milken Institute). What’s more, Provo, which is close to five national parks, is great for people who love the outdoors, as well as winter activities such as snowshoeing and skiing. Though the cost of living in Provo is just 5.7% higher than the national average and the median home cost is $306,900, the average rent for an apartment in Provo is just $1,459 a month, which leaves retirees with plenty of options for affordable housing. Utah does tax Social Security income, as well as other forms of retirement income, at a flat rate of 4.95%. However, seniors can claim credits against those taxes when they file their returns.
If You’d Like to Live Near a Lake: Bella Vista, Arkansas
Located in the foothills of the Ozark Mountains, Bella Vista was first established as a summer resort destination for travelers from nearby cities—and no wonder. Home to seven lakes and a number of picturesque waterfalls, Bella Vista boasts plenty of nature trails, fishing holes and boating spots, as well as year-round golf. Due to the general ease of living, the population of Bella Vista has been growing for years—between the 2000 and 2010 Census, the city increased its population by 71%. The cost of living is 9.3% lower than the national average, and the median home price is $178,900. Arkansas is generally tax-friendly for retirees too: Social Security income is not taxed, and property taxes are among the lowest in the country.
If Warm Weather and Good Health Care Are a Priority: Gainesville, Florida
The only city in Florida on the Milken Institute’s Top 20 list of best cities for successful aging, Gainesville is home to the University of Florida, as well as the Florida Museum of Natural History. Located less than two hours away from white sand beaches, the city boasts year-round warm temperatures, as well as a lush tree canopy—more than 47% of Gainesville is covered in trees, leading to it being designated a “tree city of the world” by the United Nations. The cost of living in Gainesville is 10.1% lower than the national average, and the median home cost is $183,000, leaving plenty of wiggle room on a budget of $5,000 or less a month. The city has more than double the number of physicians per resident as the national average, with plenty of access to orthopedic surgeons and physical therapists—at roughly the national average in cost. Florida has very beneficial tax policies for retirees: There is no state income tax and no inheritance or estate taxes.
If You Want Both Culture and the Outdoors: Greenville, South Carolina
In recent years, South Carolina has become the fifth-most-popular state in the United States for people of retirement age to move to, according to census data, behind Florida, Arizona, North Carolina and Texas. And there are good reasons for it. South Carolina has some of the friendliest retiree tax policies in the country. There is no inheritance or estate tax, no tax on Social Security benefits and generous exemptions on other forms of retirement income. The state itself has all four seasons, but winters are mild and summers, especially in the foothills of the Blue Ridge Mountains where Greenville is located, are temperate compared to coastal areas. Greenville has renowned cultural institutions such as the Greenville County Museum of Art, as well as a plethora of hiking trails, lakes and waterfalls. Named one of the top-three-friendliest cities in America by Travel + Leisure magazine in 2017, Greenville is also affordable. Living costs are 10.2% lower than the national average, the median home cost is $187,500 and health care costs are slightly lower than the national average.
Brienne Walsh is a writer based in Savannah, Ga. She contributes to Forbes, Rangefinder and MarketWatch, among other publications.
LEARN MORE: 5 Awesome Places to Retire for $6000 a Month or Less