New Hampshire
A tax-friendly state, New Hampshire is a great option since retirement income is not taxed here. Gilford is a great choice if you want to live in this small state, which has 1.3 million people. According to the United Health Foundation, New Hampshire is the fifth-best state for senior health. The living cost is 18 percent over the U.S. average, but the tax conditions alleviate concerns. Also, it has awe-inspiring landscapes, though some people might not like the cold winters and humid summers.
Oregon
Oregon has 4 million people and most retirees appear to prefer settling in Gold Beach. There are plenty of outdoorsy activities that senior citizens can do, but the rainy season in September can be a problem. At 2.6 percent below the national average, healthcare costs are quite good. Social Security is tax-exempt, but most retirement income is not. As a matter of fact, the state income tax is 9.9 percent, one of the highest in the country. The living costs are higher than the national average by 18 percent, but the average income of senior citizens is around $45,000, which is on the lower end.