# Got Retirement Dreams? 8 Best Cold-Weather Places

By: [Team Stash](/content/learn/author/team-stash/index.html)

Published: Dec 10, 2018

•  Updated: Aug 22, 2024

They might be colder than average, but they’re also cheaper.

#### In this article:

1. [**What makes a place a “best place” to retire?**](/content/learn/cold-weather-retirement/#what-makes-a-place-a-best-place-to-retire/index.html)
2. [**1. Alaska**](/content/learn/cold-weather-retirement/#1-alaska/index.html)
3. [**2. Idaho**](/content/learn/cold-weather-retirement/#2-idaho/index.html)
4. [**3. Iowa**](/content/learn/cold-weather-retirement/#3-iowa/index.html)
5. [**4. Maine**](/content/learn/cold-weather-retirement/#4-maine/index.html)
6. [**5. Michigan**](/content/learn/cold-weather-retirement/#5-michigan/index.html)
7. [**6. Montana**](/content/learn/cold-weather-retirement/#6-montana/index.html)
8. [**7. South Dakota**](/content/learn/cold-weather-retirement/#7-south-dakota/index.html)
9. [**8. Wisconsin**](/content/learn/cold-weather-retirement/#8-wisconsin/index.html)

If your dream retirement involves snow instead of sand, you’re in luck. Many of the cheapest and best places to retire are in cold-weather states.

If you’re more into skiing than sunbathing, you may find a cheaper cost of living in places like Bangor, Maine or Juneau, Alaska.

Retirement costs in states where temperatures dip well below the national averages could wind up saving you a bundle compared to states with sunnier climates.

## What makes a place a “best place” to retire?

Of course, where you retire involves more than just day-to-day living expenses. Other factors include taxes, health care costs, state poverty rates, and the fiscal well-being of the state, not to mention the cultural life of a state.

So we have compiled this list of eight colder-weather states* with a well-rounded quality of life, and where average household income for retirees is less than $45,000 annually** (That’s well below the national median household income of [$60,000](https://www.census.gov/content/dam/Census/library/publications/2018/acs/acsbr17-01.pdf).)

## 1. Alaska

**Average temperatures**  
January: 23°  
June: 63°

**Average income for 65+**  
$44,934

Alaska also gets high marks for its cultural offerings and low taxes.

## 2. Idaho

**Average temperatures**  
January: 38°  
June: 81°

**Average income for 65+**  
$40,248

Idaho ranks high for the state well-being and low crime, and health care.

## 3. Iowa

**Average temperatures**  
January: 31°  
June: 82°

**Average income for 65+**  
$41,194

Iowa gets good marks for healthcare, low crime, and culture.

## 4. Maine

**Average temperatures**  
January: 28°  
June: 74°

**Average income for 65+**  
$40,256

Maine gets a good score for the overall well-being of the state, low crime, quality of healthcare and culture.

## 5. Michigan

**Average temperatures**  
January: 30°  
June: 78°

**Average income for 65+**  
$44,397

Michigan scores well for low taxes and ranks in the middle of the list for crime and culture.

## 6. Montana

**Average temperatures**  
January: 33°  
June: 76°

**Average income for 65+**  
$42,367

Ranks near the top for health care, taxes, culture, and crime.

## 7. South Dakota

**Average temperatures**  
January: 22°  
June: 78°

**Average income for 65+**  
$43,712

South Dakota gets high marks across the board for culture, quality of healthcare, low crime, and overall state wellbeing.

## 8. Wisconsin

**Average temperatures**  
January: 29°  
June: 75°

**Average income for 65+**  
$40,011

It ranks well for culture, quality of healthcare, and low crime.

###### *The data for climate comes from [U.S. Climate Data](https://www.usclimatedata.com/)

###### **Data on average income for people 65 and over comes from [Kiplinger](https://www.kiplinger.com/slideshow/retirement/T006-S001-all-50-states-ranked-for-retirement-2018/index.html).**

###### **Data on other factors such as healthcare, crime, and culture from [Bankrate](https://www.bankrate.com/retirement/best-and-worst-states-for-retirement/)