There are around 67% of married couples in the United States, with children between the ages of 0-17, and a majority of the population are couples in their 40s. At this age, most couples see their teens move out and go on with their lives while parents start to plan for retirement.
However, with retirement 401(k) balances losing about 1/4th of their value in 2022, retiring early may sound impossible. In fact, the Employee Benefit Research Institute says that by the age of 45, American households only have about $86,582 in their retirement savings accounts, which is $880,418 less than the amount needed for a comfortable retirement.
It is also estimated that about 75% of Americans don’t have enough retirement savings, and 21% of them don’t save at all. Despite the devastating statistics, here’s the good news: Saving for retirement at 45 is very much possible for couples as long as there is a budget and comprehensive retirement plan in place.
Moreover, according to GoBankingRates, 50% of retired people claimed they had retired before they liked due to different reasons, like layoffs, health issues, financial shifts, and responsibilities. With layoffs increasing 5 times in 2023 across many fields, especially tech, it is always better to plan ahead. And so, at this stage in life, you must start managing your living expenses and saving up for your dream retirement.
Cost of Living in the United States
As a prospective retiree couple, it is important to consider the cost of living of whichever place you choose to move to. The United States has a total GDP of $23.0 trillion and is considered one of the world’s most prominent economic powers. But, after the global pandemic struck, alongside the rest of the world, the USA's economy suffered too.
Currently, the United States is undergoing the most severe inflationary situation. In April 2023, inflation increased by 4.9% in a 12-month period, weakening the purchasing power of the US dollar. And, according to data collected and distributed by the International Monetary Fund (IMF), the U.S. Consumer Price Index (CPI) may grow up to 339.39 from 305.84 by 2028. Resultantly, in the coming years, inflation is expected spike up further too.
Note that inflation is directly proportional to the cost of living. The fortunate news, however, is that the economic conditions vary from state to state in the States. Some states have better business growth, labor market, and economic conditions than others. For this very reason, 27,059,000 people relocated to different states within the country in 2021.
If you consider the current and future economy of America as a prospective retiree couple, places with the most affordable living costs and highest employment rates are the best places to relocate to in 2023. Moving to these states can help you save enough for retirement while also improving your quality of life.
15 Best Places to Live for Couples in Their 40s
Our Methodology
For our list, we've gathered the best places to live for couples in their 40s based on two main factors — the cost of living and job market, since, as mentioned earlier, people in their 40s would be in the workforce but nearing retirement.
Here are the top 15 best places to live for couples in their 40s.
15. Ann Arbor, Michigan
Ann Arbor, the home to the University of Michigan, has a population of 372,428 and an employment rate of 93%. Considering the quality of life it offers, it is the #1 place to live in Michigan.
Despite the healthy job market, Ann Arbor is not very affordable when it comes to accommodation; the median housing cost is $391,633, $30,000 more than the national average. However, the median monthly rent is only $1,218, and the average annual salary for working individuals is $61,010.
In Ann Arbor, housing is expensive, but utilities are cheap. But the pricey aspect balances out with higher salaries, a healthy job market, coupled with a safe environment.
14. Reading, Pennsylvania
When compared to other metro areas of its size, Reading is one of the most affordable and safest places in the United States. The Median home price in this city is $210,816, and the median monthly rent is only $985. Also, as per the population demographics, Reading has a median age of 40 years old and a total population of 426,967.
The annual average salary in the city is $51,680, but the unemployment rate is a little higher than other cities in this list — 10.2%. Aside from this, Reading also has a lower crime rate than the national average.
13. Huntsville, Alabama
With a population of 483,366 and a crime rate of 262 violent crimes per 100,000 people, Huntsville seems to be one of the safest and fastest-growing cities in Alabama, United States. The majority of the population of Huntsville (about 40.3%) is between the 35-65 age group, and the median age of the city population is 37.5. 51% of the city population is married.
When compared to other metro areas across the country, Huntsville has a much healthier job market— a 4% lower unemployment rate than the national average of 8.7%. Also, the annual average salary is $61,140, slightly lower than the national average of $58,260.
However, the living costs happen to be high, especially in the upper bound of the city. Citizens of Huntsville pay a little more for healthcare than the rest of the state but less for transportation and living. For utilities and groceries, the costs are the same as the American average, making it one of the best places for couples approaching their 40s.
But, the median home price in the city is $304,290, while the monthly rent is $912— less than other metro areas across the States.
12. Topeka, Kansas
Topeka is the capital city of Kansas, US. According to the US Bureau of Labor Statistics, Topeka has an unemployment rate of only 3.2% as of March 2023. Compared to the national average, the cost of living in Topeka is also 17.9% lower — utilities, healthcare, housing, and transportation included.
In Topeka, the average housing price is $106,500, the median rent is $865, and the median household income is $50,870. Although it’s one of the best places to move to when you look at finances, there is a bit of compromise on safety as the crime rate is higher than the national average.
11. Montgomery, Alabama
Montgomery is a city in Alabama that has a reputation for cheap cost of living. Today, it ranks 25th on the list of cheapest places to live in the United States. With a population of 384,791, Montgomery also has the lowest taxes and housing rates compared to the rest of the country.
According to data collected in 2021, the average housing cost in the city is $192,367, which is almost half of the national average. It also has a healthy job market with only a 7.4% unemployment rate. As of today, Montgomery has a lower violent and property crime rate than the national average, with only 1.6% of crimes committed per 100,000 people.
10. Ocala, Florida
Ocala is one of the fastest-growing and safest places in the United States. It is also ranked #11 on the list of best places to live in Florida. There is no state income tax within the state, but sales and property tax rates are almost the same in Ocala as the state average.
Ocala has a population of 370,372, with half being married and approximately 30% being in their 40s. The city has an unemployment rate of 7.2% and lower housing costs ($253,840) than most metro areas of the same size. Also, the crime rate here is 1,009 crimes committed per 100,000 people, which is lower than the national average.
9. Birmingham, Alabama
Apart from being a culturally rich city in Alabama, Birmingham has made a name for itself in affordable urban living. With the median house price being $293,471, Birmingham has an overall low cost of living— healthcare and utility expenses included.
The job market in Birmingham is healthy as the city has an employment rate of 94.3% and an average annual salary of $51,720 per working individual. Working couples in this city can easily earn up to $100,000 annually and save up to half of it. Also, the crime rate is significantly lower than the national rate as the city scores 8.7/10 in safety, according to our data.
8. Manchester, New Hampshire
With an employment rate of 93.1%, Manchester is one of the top 12 places to live in the United States. There is also a relief on taxation in the state; there is no general sales or personal income tax here.
The average annual salary of individuals in this city of New Hampshire is $59,920, which is $1,660 higher than the national average. It also has a score of 9.1/10 on the safety index, with a crime rate of 182.8 per 100,000 people. All these factors make Manchester, New Hampshire, one of the best places to live for couples in their 40s.
7. Youngstown, Ohio
Home to a population of 542,459 people, Youngstown is the largest city in Ohio. According to data, the cost of living in this city is way below the national average. In addition, the average housing cost in Youngstown is $129,969, while the national average is $365,616.
If we talk about crime rates and safety, Youngstown has a lower crime rate than most metropolitan areas of its size, with only 137.2 violent crimes committed per 100,000 people. The job market in this city is not as healthy as most cities on this list— the unemployment rate is 10.3%.
6. York, Pennsylvania
York is one of the cheapest and safest places to live in the United States. The median age in this city is 40.8 years old, and the quality of life in this city is quite favorable to the age group too.
The average salary of a working individual in York is $51,240, while the employment rate is 91.5%. Also, the housing costs are a lot lower than the national average. Buying a house in the city can cost about $210,546, whereas the median gross rent for 2017-2021 in the city was $881.
