14. Virginia
Cost of living: 7 percent above U.S. average
Population: 8.3 million
Best city: Roanoke
CON: Seniors with less dispensable incomes may find living in Virginia too expensive. Although there are cool cities to check out in Virginia, like Lexington, Roanoke, and Richmond, it is no ‘big city life’ in the way of L.A. or New York City.
Virginia
PRO: Although the cost of living in Virginia is not cheap, incomes are generally high in this state too. A major financial concern for seniors is healthcare, which in this state is generally not too expensive. Additionally, there is no tax on Social Security, and residents over 65 can deduct $12K of their income.
13. Alabama
Cost of living: 13 percent below U.S. average
Population: 4.8 million
Best city: Orange Beach
CON: Spring and November are known here for the intense storms which can occur, and like most southern states, Alabama can get seriously hot during the summer.
Alabama
PRO: Alabama, otherwise known as the Heart of Dixie is very budget-friendly. The average retired couple here spend 4.4 percent less than the those elsewhere in the U.S. on healthcare, Social Security benefits are exempt from tax, and incomes are only taxed at 2 to 5 percent.
