5 Places To Retire That Are Just Like New Jersey but Way Cheaper

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Beautiful beaches, quality healthcare, and no taxes on social security make New Jersey look like the ideal state to retire. But if you’re looking for affordability and a low cost of living, you’ll want to look elsewhere. New Jersey is the ninth most expensive state in the country to retire. When you’re looking to stretch your dollar, consider these five states with qualities similar to New Jersey without the high cost.

1. Mississippi

• Population over 65: 16.9%
• Cost of living: #2
• Affordability: # 2 

Mississippi’s median income is $35,467, which is considerably lower than the national average. At the same time, the state has the second cheapest cost of living. It ranks #50 for healthcare, so it’s important to weigh all the pros and cons before you move.

2. Alabama

• Population over 65: 17.8%
• Cost of living: #3
• Affordability: #3

Called the ‘Heart of Dixie,’ Alabama has a median income of $36,953 and a low cost of living. The state has a moderate climate and plentiful scenic vistas, including 60 miles of coastline, making it a popular destination for retirees. 

3. West Virginia

• Population over 65: 20.9%
• Cost of living: #8
• Affordability: #4

West Virginia’s cost of living is low compared to the national average. The median household income is $39,770, which makes it affordable. The state is somewhat tax-friendly. Seniors are partially taxed on social security and retirement benefits, as well as private and public pensions. For working retirees, the state tax rate is 3.54%.

4. Iowa

• Population over 65: 17.9%
• Cost of living: #5
• Affordability: #9

Retirees seeking four seasons move to Iowa for the state’s low cost of living, outdoor activities, friendly communities and vibrant cultural events, including the Iowa State Fair, the Des Moines Arts Festival and the Cedar Rapids Freedom Festival. The median household income for the state is $46,460. 

5. Delaware

• Population over 65: 20%
• Cost of living: #31
• Affordability: #31

Delaware is home to beautiful beaches, abundant nature, several state parks, a thriving cultural scene, and historic sites. 

Although the cost of living is higher in Delaware than our other top picks, it’s worth mentioning because it has no sales tax. That’s a significant difference in savings on almost everything you buy compared to New Jersey’s tax of 6.625%. The median income for Delaware is $49,280 and the state doesn’t tax social security.

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