This article takes a look at 22 US cities to retire on $3,000 a month. If you wish to skip our detailed analysis on navigating the Social Security storm, you may go to 5 US Cities to Retire on $3,000 a Month.
Navigating the Social Security Storm
America has entered the Peak 65 period this year, and an average of 11,000 Americans are expected to celebrate their 65th birthday each day until December. These numbers are likely to wreak havoc on Social Security benefits, with its funds forecast to deplete by 2034. Since Social Security is funded by workers, and the working population is shrinking drastically each year, discussing the profound impacts that it has on the economy is crucial. So what will happen in the years to come considering the massive influx of retirees in the economy? According to the Wall Street Journal, it's a recession perhaps.
Before getting to why they think so, let's discuss this crucial trust fund that the majority of retirees in the US depend on. As of today, the average American worker is confused as to what will happen once Social Security benefits get exhausted. A Wall Street Journal Chief Economics Commentator explains that Social Security is an integral part of the Federal Government, and as long as the Federal Government isn’t bankrupt, Social Security won’t be either.
Robert Aruldoss, a senior financial planning analyst at the Schwab Center for Financial Research from the The Charles Schwab Corporation (NYSE:SCHW), states that even though Social Security is going to be there for Americans, there are surely going to be changes. It could be in the form of later retirement dates, it could mean reduced benefits, or even increases to the Social Security payroll tax.
So should the average American stop worrying about the depletion of these funds? According to experts, not quite.
“Simply because we’re not about to go bankrupt doesn’t mean there’s no problem. There very much is a problem”
According to data from the US Census Bureau, 47% of men and 50% of women aged 55 to 66 have no retirement savings at all. For these people, Social Security benefits are their only means of sustenance. Having been caught in a financial vortex, The Goldman Sachs Group, Inc. (NYSE:GS) reveals that retirees don't get to save much for their golden period anyway. Retirees, especially those who are on the lower end of the income spectrum, tend to spend less money due to their limited incomes as a result. Jason Fichtner, Executive Director of the Retirement Income Institute, explains how limited incomes mean limited spending, which eventually translates into lower economic activity. Less economic activity eventually leads to less employment, with employers having to lay off more people because less money is coming in. A "senior induced recession" is what could be in the works with all these seniors retiring in the years to come, notes Fichtner.
In conclusion, the economic situation is currently challenging, with retirees feeling the impact the most. With minimal retirement savings and so much to spend, retiring on a fixed income is getting harder and harder these days. Due to this reason, we have compiled a list of 29 cities where you can retire on $2000 a month. Considering the average social security check is $1,907 as of January 2024, considering relocation to these cities might just be what an average retiree needs to spend their golden years comfortably. For those who don't even have $2,000 to spare, you can also check out our list of cities where you can retire at $1,500 a month.
For the retiree who can stretch their budgets a bit more and have a little savings at hand, we have other options where they can retire on $3000 a month in the US. If you’re interested to know about these awesome places, read on below.
22 US Cities to Retire on $3,000 a Month
Methodology
To compile the list of US cities to retire on $3000 a month, we have extracted some of the best places from our lists of affordable places to retire in 2024, the best mountain towns for retirement, the best cites to retire in 2024, and best East Coast cities to retire on $3,000 a month. We also checked out forums such as Reddit and Quora to determine what retirees believe are the best cities where living on this figure is possible. Next, we ranked them on their median home prices, average rents, overall cost of living, and livability scores to generate a unique Insider Monkey Score. Places have been ranked in an ascending order from the lowest to the highest scores.
By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a similar consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
Here are the US cities to retire on $3,000 a month:
22. Aiken, South Carolina
Insider Monkey Score: 35
Cost of Living: 84.6
Median Home Price: $273,000
Average Rent (1-bedroom): $1,035
Livability Score: 67
In Aiken, living on $3,000 a month in retirement isn’t a far-fetched dream. With an average rent of only $1,305, there's a decent amount left for groceries, utilities, healthcare, and maybe some entertainment. From exploring historic sites such as the Hopelands Gardens to indulging in outdoor fun at Hitchcock Woods, there’s much to do for the senior folks.
21. Russellville, Arkansas
Insider Monkey Score: 36
Cost of Living: 84.3
Median Home Price: $249,900
Average Rent (1-bedroom): $631
Livability Score: 73
Considered a great place to live and retire, Russellville promises retirees a peaceful yet active lifestyle in a charming Southern setting. Its scenic beauty derives from its ideal location along the Arkansas River, and the financial benefits are only an added plus.
20. Cape Canaveral, Florida
Insider Monkey Score: 38
Cost of Living: 95.6
Median Home Price: $345,000
Average Rent (1-bedroom): $1,226
Livability Score: 82
Known as one of the best East Coast cities to retire, Cape Canaveral is best known for its sunny weather, white sandy beaches, and high quality of life. Seniors can enjoy space exploration at the Kennedy Space Center, relax at the many beaches, and simply mingle with the friendly community.
19. Augusta, Georgia
Insider Monkey Score: 40
Cost of Living: 80
Median Home Price: $188,000
Average Rent (1-bedroom): $993
Livability Score: 63
Also known as “Garden City”, Augusta is an ideal place for those looking to retire on $3000 a month. Seniors can embark on a journey through the city's golfing legacy, tee off at the renowned "The Masters" golf course, and even participate in the many cultural activities this city has to offer.
18. Kalamazoo, Michigan
Insider Monkey Score: 41
Cost of Living: 85.4
Median Home Price: $190,000
Average Rent (1-bedroom): $1,017
Livability Score: 75
Affordable living expenses, scenic parks, and a vibrant cultural scene describe Kalamazoo best. Seniors in the city can engage in an array of activities, such as exploring the Kalamazoo Institute of Arts, strolling through the picturesque Bronson Park, and even discovering the city's many craft breweries and vineyards.
17. Clarkesville, Georgia
Insider Monkey Score: 42
Cost of Living: 82.7
Median Home Price: $478,000
Average Rent (1-bedroom): $1,125
Livability Score: 71
Picturesque landscapes, small-town charm, and a friendly community make living in Clarkesville a pleasure. From savoring leisurely walks in surrounding scenic landscapes to exploring arts and culture and even participating in community events, retirees won't have the time to feel bored.
16. Huntsville, Alabama
Insider Monkey Score: 44
Cost of Living: 94.2
Median Home Price: $319,000
Average Rent (1-bedroom): $1,003
Livability Score: 81
Next on our list of US cities to retire on $3,000 a month is Huntsville, Alabama. Affordable living expenses, a thriving cultural scene, and proximity to outdoor activities make it a great retirement destination. Seniors can enjoy a stroll in Huntsville Botanical Garden, explore the many parks and trails, and even attend the many local arts and music festivals.
15. Muskogee, Oklahoma
Insider Monkey Score: 45
Cost of Living: 76
Median Home Price: $149,000
Average Rent (1-bedroom): $684
Livability Score: 62
This Southern city is a keeper owing to its friendly community, affordable living costs, and its ultimate blend of historic charm and natural beauty. Seniors can relish leisurely moments along the picturesque Arkansas River, participate in numerous local events like the vibrant Azalea Festival, and explore the tranquility of parks such as the enchanting Honor Heights Park and Gardens.
14. Macon, Georgia
Insider Monkey Score: 46Cost of Living: 76.3 Median Home Price: $195,000Average Rent (1-bedroom): $1,107Livability Score: 73 From savoring renowned Southern cuisine in the city to participating in community events and even exploring historic districts, Macon provides retirees "an unbeatable quality of life". Affordable housing, reasonable living expenses, and gorgeous scenery add to the charm of this gem of a city.
13. Okmulgee, Oklahoma
Insider Monkey Score: 47
Cost of Living: 75.3
Median Home Price: $85,000
Average Rent (1-bedroom): $983
Livability Score: 61
Okmulgee effortlessly meets our criteria for affordability, making it a comfortable choice for seniors aiming to retire on $3,000 a month. Seniors in Okmulgee can engage themselves in the city's rich cultural heritage, explore scenic parks, and enjoy community events.
12. Huntington, West Virginia
Insider Monkey Score: 48
Cost of Living: 83.5
Median Home Price: $119,000
Average Rent (1-bedroom): $810
Livability Score: 80
From restaurants and music to arts and all amenities a senior could desire, Huntington is a dream destination for the potential retiree looking for the best of everything. From exploring the vibrant downtown arts scene to relishing sweet treats at Austin's Homemade Ice Cream, and joining in the laughter at local comedy shows, there's something fun for everyone.
11. Pittsburgh, Pennsylvania
Insider Monkey Score: 48
Cost of Living: 91.8
Median Home Price: $250,000
Average Rent (1-bedroom): $1,294
Livability Score: 82
A great livability score, attractive home prices, and modest rent make Pittsburgh another one of the best US cities to retire on $3,000 a month.
10. Springfield, Missouri
Insider Monkey Score: 49
Cost of Living: 78.95
Median Home Price: $185,000
Average Rent (1-bedroom): $874
Livability Score: 72
Whether you're influenced by its affordable living, diverse cultural offerings, or the scenic beauty of the Ozarks, Springfield is a charmer for retirees.
9. Florence, Alabama
Insider Monkey Score: 51
Cost of Living: 83.1
Median Home Price: $231,000
Average Rent (1-bedroom): $675
Livability Score: 81
A charming Southern ambiance, rich cultural scene, and scenic beauty along the Tennessee River are key attractions of Florence, Alabama.
8. Brownsville, Texas
Insider Monkey Score: 52
Cost of Living: 79.9
Median Home Price: $230,000
Average Rent (1-bedroom): $775
Livability Score: 78
A warm climate, affordable living, and a rich blend of cultural diversity make Brownsville a keeper. However, affordability may not persist for long, given that this city has consistently made it to many of our lists.
7. McAllen, Texas
Insider Monkey Score: 52
Cost of Living: 78.3
Median Home Price: $284,000
Average Rent (1-bedroom): $790
Livability Score: 74
Another vibrant community, McAllen allures seniors with its cultural richness, favorable weather, and a variety of recreational opportunities. It is easily one of the best US cities to retire on $3,000 a month.
6. Tupelo, Mississippi
Insider Monkey Score: 53
Cost of Living: 78.1
Median Home Price: $267,000
Average Rent (1-bedroom): $774
Livability Score: 73
With its warm Southern hospitality and access to recreational amenities, Tupelo is our one and only pick from Mississippi. Mississippi itself is one of the best states one can retire to considering its tax-friendly environment and low cost of living.
