Arizona
The cost of living in Arizona is higher than the national average by 3 percent. There are 6.7 million people living in the state, with many retirees choosing Green Valley. If you don’t like icy winters, this state is great for you since it offers amazing views and plenty of sunshine, though the dry heat can become unbearable during the summer. For seniors, this place is not the most affordable since the average income for older generation households is 10.8 percent below the national average.
North Dakota
Kiplinger reports that North Dakota is a tax-friendly state for retirees as income taxes are just 1.1 to 2.9 percent. While retirement income is taxed, this should not be a big problem as the cost of living rests only a percent above the U.S. average. On top of that, the natural landscapes are amazing! If you are not keen on big city living, its population of 760,000 makes the state ideal. Rugby is a great city to live in.