Best and Worst States for Military Retirees, Ranked From 1 to 50
Those currently in the military can face obstacles they may not be ready for when they retire. They have to consider whether the state they decide to spend their time as a retiree in is right for them. Housing, taxes, and overall quality of life play a huge role in veterans’ decisions.
The step back into civilian life can be daunting, especially considering economic shifts and potential changes to retiree benefits that vary from state to state. It can be surprising to learn how drastically different military retirees’ lives can be depending on which state they live in.
WalletHub ran a study ranking all 50 states based on the best and worst choices for military retirees. If you or someone in your family is a military retiree or is planning to retire soon, we recommend taking a peek at this list.
Measuring Military Retiree Data    Â
The study assembled by WalletHub looks at data related to military retirees across all 50 states. They gathered a variety of data, breaking it down into three categories:
- Economic standings
- Quality of life
- Health care
WalletHub ranked the articles based on total score, with a higher score indicating a state is better for military retirees. In contrast, lower scores for the three category ranks (economic environment, quality of life and health care) indicate better conditions for retirement. In those cases, “1” means a state is the best in its category, and “51” means it’s the worst. The reason why some of the rankings have “51” instead of “50” is because WalletHub included Washington, D.C., in its rankings.
These are the best and worst states for military retirees, starting with the states that are the friendliest toward veteran retirees.
States’ Military Numbers
South Carolina is the best state for military retirees. One factor helping a state’s ranking is how many veterans reside in its borders. When it comes to which state has the highest number of veterans, South Carolina comes in at number six. Texas is first on that list, with approximately 1.4 million veterans.
With 15 total military bases, South Carolina has a large active military population. The Palmetto State comes in eighth on a list of states with the most active duty personnel. Hawaii comes in first with approximately 42,000 personnel across 49 military bases.
Which States Tax More
Military retirees receive monthly benefits which certain states tax. The states of California, Montana, Rhode Island, Utah, and Vermont are where military retirement pay is taxed to its fullest, which is understandably a hurdle for many retirees.
Eight states have no state income tax and don’t tax military benefits, while 26 states have state income tax but don’t fully tax those benefits. The number one state for military retirees, South Carolina, is one of 11 states where military benefits are only partially taxed.
A Divergence
One factor that potentially plays a key role in military retirees’ lives is access to veteran medical facilities. Access to healthcare tied to their military benefits makes a huge impact on retirees’ health.
Reportedly, California has the most VA hospitals in the U.S., with 103 facilities. However, California ranked the tenth-worst in the nation for military retirees to reside in.
Northern State Ranks Lowest
Oregon has the unfortunate distinction of being the worst state for military retirees. In determining the ranking, the quality of veteran affairs facilities and hospitals makes a difference.
Reportedly, one of Oregon’s largest VA hospitals ranks low in terms of quality. The Portland VA hospital received a score of 2 out of 5, according to the U.S. Veterans Affairs system.
50 Best Cities for Retirement
Are you looking for a new city to move to during retirement? These are the top cities to retire in America, according to U.S. News.
50 Best American Cities for Retirement
11 Things That Disappear When You Retire
A survey by Lincoln Financial Group says 60% of retirees would go back in time if they could and change how they planned their retirement during their working years. Whether for better or worse, these are some of the things that disappear upon retiring.
