4. Minnesota
Cost of living: 4 percent above U.S. average
Population: 5.5 million
Best city: Osseo
PRO: If you are a health-conscious retiree, then this state could be for you! It was ranked as the “healthiest in the country for seniors” by the United Health Foundation, as well as home to the well-known Mayo Clinic in Rochester, which is great for dealing with complex health issues.
Minnesota
CON: This state has a less than desirable combination of below-average annual income and higher than average living costs, as well as taxes on Social Security and retirement incomes.
3. Kentucky
Cost of living: 14 percent below average
Population: 4.4 million
Best city: Lexington
PRO: Although not the healthiest place for retirees, also known as the Bluegrass State, Kentucky has low living costs as well as quite a few tax breaks. Social Security plus $41,110 of income are exempt from tax.
Kentucky
CON: Senior health costs are neither cheaper nor more expensive than other states – about average for the U.S., however it ranks badly for senior health. There are high rates of physical inactivity, smoking, and poverty here, as well as low numbers of quality nursing homes for senior care.
