Overall retirement ranking: #12
Population: 4.8 million
Share of population 65+: 15.8%
Cost of living: 7% below the U.S. average
Average income for 65+ households: $43,340
Average health care costs for a retired couple: Below average at $408,343
Tax rating for retirees: Tax Friendly
If the mild weather and southern charm of the Palmetto State aren’t enough of a retirement draw, surely the affordability can tempt you. On top of below-average living costs, the tax situation goes easy on a fixed income, too. South Carolina doesn’t tax Social Security benefits and offers generous exemptions on other types of retirement income. It also does not levy an inheritance or estate tax. Property taxes tend to be very low.