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Best and worst states for military retirees, data suggests

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Published  May 18, 2026 5:47pm CDT
Military
FOX Local
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FILE - The US Department of Veterans Affairs building is seen in Washington, DC, on July 22, 2019. (Photo by Alastair Pike / AFP) (Photo credit should read ALASTAIR PIKE/AFP via Getty Images)

The Brief

    • WalletHub compared all 50 states across 28 key indicators to determine the best states for military retirees.
    • The rankings were based on factors including economic environment, quality of life, and health care for veterans.
    • South Carolina ranked as the best state for military retirees, while Oregon ranked last overall.

Living in a military family can lead to somewhat of a nomadic lifestyle for some. But once it’s time to retire, where is the best place for military families to settle? 

WalletHub conducted an analysis to find the best states for military retirees, considering factors such as state tax policies, military benefits, friendliness of different job markets, and the number of VA health facilities. 

What they're saying:

"Transitioning from military to civilian life isn’t easy, but the best states for military retirees make that adjustment as smooth as possible. In addition to providing the conditions necessary for our veterans to thrive financially, they also have ample resources for taking care of military retirees’ physical and mental health."

Here are the best states for military retirees: 

Dig deeper:

The top 10 states for retired military were:  

  1. South Carolina
  2. North Dakota
  3. Wyoming
  4. New Hampshire
  5. Maryland
  6. Alaska
  7. Florida
  8. Massachusetts
  9. Minnesota
  10. South Dakota

Overall, South Carolina offers military retirees a plethora of services and programs, including preferential hiring, academic credit for military service, and the state does not tax military pensions. 

WalletHub also found that South Carolina has the third-best VA hospitals in the United States. 

It also has the seventh-most veterans per capita and the most veteran-owned businesses per capita, WalletHub said. 

The Source: Information for this article was taken from a WalletHub analysis based on data collected as of April 20, 2026, from the U.S. Census Bureau, Bureau of Labor and Statistics, Military Officers Association of America, Military OneSource, USAspending.gov, U.S. Department of Veterans Affairs, National Conference of State Legislatures, Center on Budget and Policy Priorities, Council for Community and Economic Research, U.S. Department of Housing and Urban Development, and Indeed. This story was reported from San Jose. 

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