In the U.S., more than 10,000 people a day turn 65, aka the age of retirement, according to AARP. It’s a milestone for many that’s met with excitement about a new chapter that’s about to unfold. However, it’s also one that can often be met with financial uncertainty. But, according to a new study by GoBankingRates, there are a number of places sprinkled across America where one can retire comfortably for less than $2,500 a month.
To figure out which cities across the nation someone can live out their golden years for less, the team at GoBakingRates took a list of cities via the U.S. Census Bureau American Consumer Survey and analyzed cost of living data it collected from the Bureau of Labor Statistics 2022 Consumer Expenditure Survey for people age 65 and older.
Henryk Sadura/Getty Images
Next, the team dug into data from Zillow’s Home Value Index to find the average July 2023 home value for each city, along with the 30-year fixed national mortgage rate, which it found via Federal Reserve Economic Data. GoBankingRates then combined the cost of a mortgage and the cost of living to find the total monthly cost of each city and tossed every city that had an expenditure higher than $2,500 a month. For those cities left, the team then looked at their livability index on AreaVibes, and combined all the data to come up with its top 15 cities.
As for its top pick, that goes to Akron, Ohio.
GoBakingRates noted in its findings that, “Akron isn’t the least expensive place on the list, but it’s [number] one largely due to its livability score of 81,” which it added, is the highest score in the study. The study added that Akron’s average monthly mortgage payments reach just $699 a month, monthly necessities here are $1,662, and total monthly expenditures come out to $2,361.
Joining Akron in the top five cities is Pampa, Texas, in second, followed by Robstown, Texas, Johnstown, Pennsylvania, and Borger, Texas. As for the absolute cheapest place to live, that would be Jackson, Mississippi, where a retiree can expect a total monthly expenditure of $2,159.
See where else you can retire for less at gobankingrates.com.