These Are the Best U.S. Cities to Retire for $2,500 or Less a Month (2024)

FAQs

These Are the Best U.S. Cities to Retire for $2,500 or Less a Month? ›

The cheapest places to retire abroad include Panama, the Philippines, Portugal, Malaysia, Mexico, Thailand and Vietnam. Before making the move, consider expenses such as travel costs, taxes and visas, which can vary significantly from one country to another.

The cheapest places to retire abroad include Panama, the Philippines, Portugal, Malaysia, Mexico, Thailand and Vietnam. Before making the move, consider expenses such as travel costs, taxes and visas, which can vary significantly from one country to another.

Denmark has the highest level of life satisfaction among seniors and retirees, according to the World Happiness Report, which, for the first time ever, ranked countries by age group.

For example, if you get $36,000 a year ($3,000 a month) from Social Security and have no other income, your combined income is $36,000 divided by 2, or $18,000. None of your benefits are taxable if your income is below $25,000 for a single filer or $32,000 for joint filers.

Alaska. Alaska is rated as very tax-friendly for retirees. Alaska has no state income tax. This means no taxes on Social Security benefits, income from public or private pensions, or from any income from employment or self-employment in retirement.

“Retiring on $2,000 per month is very possible,” said Gary Knode, president at Safe Harbor Financial. “In my practice, I've seen it work. The key is reducing expenses and eliminating any market risk that could impact your savings if there were a major market downturn.

Where is the cheapest warm place to retire? ›

Cuenca, Ecuador

Ecuador's retirement visa, requiring proof of stable income, makes settling in Cuenca an attractive option. With monthly living expenses ranging from $800 to $1,200, Cuenca stands out for its affordability without sacrificing quality of life.

Many retirees fall far short of that amount, but their savings may be supplemented with other forms of income. According to data from the BLS, average 2022 incomes after taxes were as follows for older households: 65-74 years: $63,187 per year or $5,266 per month. 75 and older: $47,928 per year or $3,994 per month.

A: The best state to retire in 2024 is sunny Florida, according to WalletHub, thanks to its relative affordability and high quality of life for seniors. That's followed by Colorado, Virginia, and Delaware.

1. Iowa. Iowa ranks as the number one state to retire to. It offers an affordable cost of living and home prices and a strong economy, making it an attractive place to make retirement savings last longer.

But for most people the answer is yes. This should be enough to generate a comfortable income in most parts of the country. Here's how to think about it. (And if you need help planning your own retirement, consider matching with a financial advisor.)

By age 40, you should have accumulated three times your current income for retirement. By retirement age, it should be 10 to 12 times your income at that time to be reasonably confident that you'll have enough funds. Seamless transition — roughly 80% of your pre-retirement income.

According to various studies, including International Living, Portugal is ranked as one of the best for US expats to retire to. Its friendly population, welcoming community of American expats, excellent weather, quality healthcare system, and affordable cost of living are all big draws for American retirees.