Wyoming Is America’s Least-Populated State. Here’s How It Became A Top 3 Destination To Retire In

Wyoming is best known for its wide-open spaces, rugged mountains and national parks, but it has something new to add to its reputation: It’s one of the top states in America for retirement. Despite being the nation’s least-populated state, Wyoming ranked third overall in Bankrate’s 2025 Best and Worst States to Retire Study.

The Cowboy State finished well ahead of more traditional retirement destinations such as Florida and Arizona. But while it shines in some of the categories most important to retirees, its weaknesses are significant enough that moving there requires a clear-eyed look at the trade-offs.

Why Wyoming ranked third as the best state to retire

Wyoming’s top-three finish isn’t a fluke — it reflects strong scores in the categories retirees value most, especially low taxes, affordability, safety and recreation. That mix of financial security and outdoor lifestyle helps offset the challenges of a rural, sparsely populated state.

But the drawbacks are real: Wyoming ranked just 39th in health care and a middling 21st in weather, making it far from perfect for every retiree.

Affordability and low taxes make Wyoming stand out

Money matters most in Bankrate’s study, and Wyoming delivers there. The combination of affordability and low taxes is Wyoming’s biggest draw. It was the only state to rank in the top five in both categories.

With affordability and low taxes weighted most heavily in the methodology, retirees looking to stretch their nest eggs will likely see the state as a clear win.

Wyoming has no individual income tax, no tax on retirement income and relatively low property taxes (averaging $1,306 per month), giving it the top spot in the country for local taxes. That puts more retirement income back into residents’ pockets compared to higher-tax states like California or New York.

“For retirees relocating from higher-cost states, all areas of Wyoming might seem affordable due to lower essential living expenses, taxes and insurance,” says Stephen Kates, a CFP and financial analyst at Bankrate.

Housing costs are also below the national average. Everyday expenses like groceries and utilities are also cheaper than average. Still, the picture varies depending on exactly where in the state you settle. Living in Jackson Hole is far more expensive than living in Casper or Cheyenne, for example.

“Affordability is relative,” notes Kates.

Safety and quality of life boost Wyoming’s appeal

Wyoming’s seventh-place finish in neighborhood safety is another selling point. Violent and property crime rates are well below the national average. For retirees who prioritize peace of mind, this is a strong plus.

The state also punched above its weight in arts, entertainment and recreation (10th place). Beyond its iconic Yellowstone and Grand Teton parks, the state offers more outdoor activities than its small population might suggest. Meanwhile, small towns like Cody and Sheridan boast strong artistic communities, while Cheyenne and Laramie are home to museums, theaters and lively festivals.

Where Wyoming struggles: Health care and weather

If there’s one issue that keeps Wyoming from reaching the No. 1 or No. 2 spot, it’s health care. At 39th overall, the state sits near the bottom nationally.

A lack of quality health care providers, distance to health care facilities and a lack of mental health treatment are the biggest challenges. Specialists are limited, and retirees with chronic conditions may need to travel significant distances for advanced care.

“Health care is one of the major expenses retirees need to plan for,” says Kates. “Both quality and access to health care are equally important, and Wyoming scores below average in both categories.”

The weather is another category where Wyoming is average at best, ranking 21st. While the state enjoys plenty of sunny days in some areas, winters can be long and harsh, especially at higher elevations.

Wyoming also experiences its share of natural disasters, averaging 10 tornadoes a year and a whopping 85 earthquakes, making it one of the most earthquake-prone states in the country. Only Alaska, California, Nevada and Oklahoma averaged more earthquakes per year.

Temperature swings and heavy snow add to the challenges, though summers are typically mild.

“Those planning to relocate should consider visiting and experiencing life as locals in the areas they are interested in before making the move,” suggests Kates.

How Wyoming compares in other categories

• People of similar age — 16th: About 19.2 percent of Wyoming’s population is aged 65 or older, roughly in line with the national average. Retirees will find a decent-sized peer group, though not on the scale of Florida.
• Miscellaneous factors — 27th: Wyoming lags in walkability, community well-being scores and public transportation. Retirees who prefer car-free living will struggle.

Wyoming as a retirement destination: By the numbers

To rank the best and worst states for retirees, Bankrate compared all 50 states across 15 data points spanning eight categories. Below are the eight categories used to rank the best states, including their weighting in the survey and how Wyoming performed.

Affordability (28 percent)

Wyoming ranked: 4th

Weather (18 percent)

Wyoming ranked: 21st

Neighborhood safety (17 percent)

Wyoming ranked: 7th

Health care (16 percent)

Wyoming ranked: 39th

Local taxes (9 percent)

Wyoming ranked: 1st 

Arts, entertainment and recreation (7 percent)

Wyoming ranked: 10th

People of similar age (3 percent)

Wyoming ranked: 16th

Other* (2 percent)

Wyoming ranked: 27th

*This metric included various factors, including walk score from Walkscore.com (2025), Community Well-Being Index from Sharecare (2023), air pollution particles per cubic meter from the American Health Ranking (2023) and percentage of state public water systems with violations from the Environmental Protection Agency (2024).

Bottom line

Wyoming may not be the first place people think of when planning retirement, but the numbers tell a clear story: Low taxes, affordability and safety push it into the top three nationally. Retirees willing to trade easy access to health care for financial peace of mind — and who don’t mind long winters — could find the Cowboy State a strong contender.