Overall retirement ranking: #14
Population: 12.8 million
Share of population 65+: 16.7%
Cost of living: 3% below U.S. average
Average income for 65+ households: $48,706
Average health care costs for a retired couple: Below average at $411,414
Tax rating for retirees: Most Tax Friendly
The Keystone State locks in an affordable standard of living for retirees. Health care costs for a 65-year-old retired couple come in 2.9% below the national average. And the tax situation, among the 10 friendliest in the U.S. for retirees, can boost your bottom line even more: Most retirement income, including Social Security benefits, is not taxed. Unfortunately, Pennsylvania’s own budget is not so sturdy. With not enough cash to cover short- or long-term obligations, its fiscal health ranks a low 45th among all 50 states, according to rankings from the Mercatus Center at the George Mason University.