Retirement should be a time of relaxation and enjoyment, but for many Americans, it’s a source of financial anxiety.
More than half (56%) of American workers believe they’re behind on saving for retirement — and 37% feel they’re “significantly behind,” according to a recent Bankrate survey.
But where people choose to live out their golden years can make or break their retirement. A new study from WalletHub reveals the best states for retirees, evaluating crucial factors like tax rates, cost of living, access to quality healthcare and fun activities.
Related: The No. 1 State to Retire in Might Not Even Be on Your Radar, According to a New Report
Here are the top five states to retire in the U.S., per the report:
1. Florida offers retirees lower taxes and absent estate, inheritance or income taxes. Additionally, costs for essential services like adult day health care and homemaker services remain competitive. The state has a vibrant senior community and comes with abundant volunteering opportunities and leisure activities.
Image Credit: Alexander Spatari | Getty Images. Miami, Florida.
2. Colorado promises a retiree-friendly tax environment, high-quality healthcare and a community where seniors are less socially isolated and predominantly in good health and financial standing. The active lifestyle and excellent geriatric care might especially appeal to health-conscious retirees.
3. Virginia looks after its seniors’ well-being with robust elder abuse protections and highly regarded medical care. The state has a reputation for being tax-friendly without estate or inheritance taxes and also boasts miles of shoreline, low crime rates and clean air.
4. Delaware has one of the lowest tax burdens nationwide. Its significant senior population translates to a strong sense of community and minimal social isolation. It also has the lowest poverty rate among seniors aged 65 and up.
5. Wyoming stands out for its commitment to elder safety, clean air and a sense of community evidenced by high senior volunteering rates. It also has low tax burdens, with no estate or inheritance taxes.
Image Credit: christiannafzger | Getty Images. Snake River near Jackson, Wyoming.
Related: Looking to Retire? Here Are the Top Five States to Consider