Some counties in Pennsylvania, New Mexico and Mississippi have monthly housing, food and transportation costs of about $2,400. According to Sina Finance, research by the University of Massachusetts Boston and the National Council on Aging found that 45% of U.S. households aged 60 and older have incomes insufficient to cover basic expenses, while 80% could face poverty after a major financial emergency. In 2025, the median income for U.S. households aged 65 and older was $59,680.

Cambria County, Pennsylvania, had estimated monthly costs of $2,372, the lowest among the areas highlighted. Guadalupe County, New Mexico, came to $2,394, including median housing costs of $516. Adams County, Mississippi, was about $2,415, including $657 for housing, $1,181 for transportation and $577 for food. Danville, Virginia, was about $2,420, with transportation costs of $1,058. The figures cover only housing, food and transportation, not medical care, insurance, taxes or other expenses.

Retirement tax policies also vary. Mississippi exempts qualifying retirement income from state income tax and offers property tax relief to eligible homeowners aged 65 and older. Missouri exempts Social Security benefits from state income tax and offers some older residents property tax credits. Texas has no state personal income tax, and eligible homeowners aged 65 and older may defer property taxes, though deferred amounts may accrue interest. Pennsylvania expanded its property tax rebate program for eligible older homeowners.

Average annual retirement income also differs by state: Virginia’s was $35,306, compared with $21,118 in West Virginia. Danville’s basic monthly costs were about $2,420, while Ohio County, West Virginia, was about $2,557. These state-level income averages and local cost figures do not represent the same households. Other examples of low housing costs paired with higher transportation expenses include Choctaw County, Oklahoma, at $589 and $1,291, respectively, and Ohio County, West Virginia, at $756 and $1,216. Actual retirement expenses also depend on healthcare access, insurance, taxes, long-term care needs and household income.