CareScout today released a study on the Best and Worst States to Retire in 2026 which ranks Wyoming the No. 1 best state to retire in 2026. New Jersey is the worst state.
A record 61.2 million Americans are now over 65 and they are facing unprecedented challenges. The Social Security cost-of-living adjustment (COLA) will rise 2.8% in 2026, which will be dwarfed by a nearly 10% rise in Medicare Part B premiums, which will cost over $200 for the first time.
With longevity improving, seniors must choose a retirement destination they can afford for the long haul with good healthcare and lifestyle options.
CareScout analyzed nine categories of data in all 50 states and D.C. across three main categories – affordability, healthcare and quality of life – including from the Social Security Administration, Centers for Medicare and Medicaid Services, Bureau of Labor Statistics, Census Bureau, National Oceanic and Atmospheric Administration, Tax Foundation, and others.
Key Findings:
- 10 Best States to Retire Largely in the Mountain West, Upper Midwest, and Northeast: Wyoming, New Hampshire, Vermont, Montana, South Dakota, D.C., Florida, Alaska, Colorado, and Minnesota.
- Tend to have good senior healthcare, cost of living and low personal income tax.
- No. 1 Wyoming: Has no personal income tax, has the healthiest seniors (44% of seniors have 3+ chronic conditions), 20% of the population is over 65 (No. 11) and has the 16th highest annual Social Security Income at $28,063.
- No. 51 New Jersey: Has among the sickest seniors (68% of Medicare beneficiaries have 3+ chronic conditions, a 10.75 income tax rate (5th highest) of 10.75%, and a high cost of living (index score of 114.6, No. 44).
- Utah No. 1 Most Improved from 2025: Utah improved the most from last year’s study, moving up 24 spots to No. 15.
