Affordable Retirement Havens: 12 Small Towns Where $60K Goes Far

As workers reach retirement age, many discover that despite making a retirement plan, their nest egg isn't quite as big as they had hoped.

If you fall into this category, it might be time to look at the following smaller towns where a budget of $60,000 can let you live like a millionaire. 

Editor's note: All home price figures come from Zillow, and median rent figures for a two-bedroom are from BestPlaces, unless otherwise noted.

Decatur, Alabama

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Median rent: $833 (RentCafe one bedroom)

Median home price: $219,402

The city of Decatur is located on the banks of the Tennessee River, making outdoor recreation on the water a staple for the residents from the first warm days of spring through the late sun-dappled fall.

There are several festivals throughout the year, including a farmers market with roots that stretch back to 1937.

Alabama doesn't tax Social Security, and homeowners 65 and older are exempt from state property taxes.

Las Vegas, New Mexico

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Median rent: $790

Median home price: $230,621

Las Vegas, New Mexico, shares a name with its more famous Nevada counterpart, but it's much smaller. There are nearly 1,000 historical buildings here, making it attractive to those looking for ties to the past.

This is also a great place if you are looking for a milder climate for your golden years.

Columbia, Missouri

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Median rent: $970

Median home price: $314,972

Located midway between St. Louis and Kansas City, Columbia helps retirees avoid state taxation of Social Security benefits. There are also no state estate or inheritance taxes.

This is a college town, which may appeal to seniors who want to continue their education. One downside is that the city is not very pedestrian-friendly, so it's better suited to those who enjoy driving.

Plattsburgh, New York

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Median rent: $990

Median home price: $238,663

If you love the thick green of summer forests that transition to the firework colors of fall foliage, upstate New York's Plattsburgh might be a great retirement destination for you.

The city rests on the shores of Lake Champlain, which is home to the mythical lake monster known as Champ. This idyllic town has a vibrant community atmosphere, with local markets and many cultural events that create a fulfilling and active retirement life.

Sun City West, Arizona

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Median rent: $1,730

Median home price: $379,370

If you're looking to spend your golden years with others in the same stage of life, you might consider Sun City West. Seniors who are 65 or older account for more than 86% of the population.

This vibrant retirement community has a laid-back lifestyle with a lot of outdoor recreational activities that make the most of the warm climate. There are four recreation centers, more than 90 chartered clubs, seven golf courses, a bowling alley, a private library, a performance theater, and more.

However, if you want to make this town affordable, you will probably need to buy a home, as rentals are expensive.

Newark, Delaware

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Median rent: $1,490

Median home price: $357,902

Delaware is a popular state for those seeking to avoid taxes in retirement. There are no state taxes on Social Security income, no state taxes on estates and inheritances, and pensioners are offered tax breaks.

The area is great for those who enjoy a milder beach climate that doesn't get too hot in summer or too cold in winter. This is another town where buying may be more affordable than renting over the long run.

Pomeroy, Washington

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Median rent: $1,090

Median home price: $251,522

If you're looking for the smallest of small towns in retirement, Pomeroy has a population of about 1,400 and is surrounded by agricultural land that gives it a rustic charm.

The city is particularly affordable for retirees due to Washington's tax-free treatment of Social Security and retirement account withdrawals. Annual events held by the tiny town include the Pioneer Day and Tumbleweed Festival, as well as a county fair and other events.

Eagle Pass, Texas

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Median rent: $1,050

Median home price: $224,051

Have you considered the benefits of a border town retirement? Eagle Pass is situated along the Rio Grande River and has a rich heritage drawn from Native American and Mexican cultures.

The town is home to two international bridges that make trips into Mexico easy and convenient. The bridges let retirees take advantage of favorable currency exchange rates.

Wildwood, Florida

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Median rent: $1,200

Median home price: $291,770

Located about 10 minutes from Florida's famed The Villages retirement community, Wildwood is among the fastest-growing cities in the Sunshine State.

The small city has a very low crime rate. And if you want to continue to work during your golden years, the average commute time is the shortest in Sumter County.

Winchester, Virginia

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Median rent: $1,270

Median home price: $396,555

Winchester is located in the Shenandoah Valley and has a rich history tracing back to a time when the land was inhabited by Native Americans.

The town often hosts community events, such as the summertime Neighborhood Nights that occur monthly and allow local residents to come together.

Virginia also has no state tax on Social Security income, estates, or inheritances.

Auburn Hills, Michigan

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Median rent: $1,480

Median home price: $271,413

Retirees should feel at home in Auburn Hills. It has been designated as a "Community for a Lifetime" by the Michigan Office of Services to the Aging and has also been accepted into AARP's Age Friendly Communities Network.

Rent is a bit expensive here, but home prices are relatively reasonable.

Willoughby Hills, Ohio

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Median rent: $1,120

Median home price: $342,303

Willoughby Hills is a picturesque community in northeast Ohio that maintains the delicate balance between country and city life. Nestled against the Chagrin River, it has a population of around 10,000.

The town also maintains a robust senior center and offers services to seniors such as help with raking leaves.

Bottom line

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Everybody wants a stress-free retirement, but that can feel like a big task if you are living on a modest budget in an expensive place.

Finding the perfect retirement destination in a small town might make your retirement dreams more attainable. Perhaps one of the towns on this list will suit both your budget and your personal preferences.

We can help boost your earning potential even further!

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