5 Wonderful Places To Retire on $12,000 a Month or Less

If you've saved enough to enjoy a $12,000 monthly retirement budget, you can live nearly anywhere in the United States and many places beyond. We scoured economic, climate and population data and reviewed dozens of potential options to find the best places to live in retirement with $12,000 per month. Keep reading to learn more about these five excellent places to retire.

MORE PLACES TO RETIRE FOR: $1,500, $3,000, $4,000, $5,000 or $6,000 per month

The Best Places To Retire on $12,000 Per Month

1. Best for Affordable Luxury Housing: Bentonville, Arkansas
2. Best for a Warm Climate Year-Round: Fort Myers, Florida
3. Best for Suburban Lifestyle: Plano, Texas
4. Best for Culture and the Arts: Boston, Massachusetts
5. Best for Large Properties: Cheyenne, Wyoming

1. For Affordable Luxury Housing: Bentonville, Arkansas

• Cost of living: 5% below the national average¹
• Median home price: $399,237¹
• Median monthly rent: $1,218¹
• Metro population: 590,337²
• State taxes: Social Security benefits are not taxed; other retirement income is taxed at rates ranging from 0% to 4.4% after a $6,000 deduction³

Why retire in Bentonville?

Bentonville lies in the heart of the Northwest Arkansas metropolitan area, which includes nearby cities Fayetteville, Springdale and Rogers. The area is home to nearly 600,000 residents but maintains a small-town feel. Bentonville hosts Walmart's headquarters, and Fayetteville has the University of Arkansas. The area caters to a wide range of interests, from a world-class art museum to college sports to traditional Southern-style dining.

Bentonville is also affordable, with an average cost of living 5% below the national average. With a $12,000 per month budget in retirement, you can likely afford an above-average-size home and property. With affordability and an excellent lifestyle, Bentonville could be a perfect place to move for your retirement years.

2. For a Warm Climate Year-Round: Fort Myers, Florida

• Cost of living: 6% above the national average⁴
• Median home price: $542,211⁴
• Median monthly rent: $1,654⁴
• Metro population: 834,573²
• State taxes: No state income tax³

Why retire in Fort Myers?

Fort Myers is located on the Florida Gulf Coast and offers warm to hot weather all year. Residents enjoy easy access to beaches, water sports, hiking, dining and shopping. About 18% of all residents are age 65 and older,⁵ so you're in good company when looking for activities and attractions catering to retirees.

While the cost of living is 6% above the national average, Florida doesn't require any state income taxes, allowing you to maximize what you keep from your retirement accounts. You can use those extra dollars for a fishing boat, travel or anything else.

3. For Suburban Lifestyle: Plano, Texas

• Cost of living: 16% above the national average⁶
• Median home price: $640,171⁶
• Median monthly rent: $1,953⁶
• Metro population: 5,462,593²
• State taxes: No state income tax³

Why retire in Plano?

Plano is part of the Dallas metro area, offering a comfortable suburban lifestyle with easy access to big-city amenities. The area has plenty of museums, theaters, restaurants and events to keep you busy. The climate brings residents hot summers and typically moderate winters. You can find convenient recreation and shopping spread throughout Plano, and a walkable, historic downtown.

While Plano is about 16% more expensive than the national average cost of living, you can make the most of your retirement savings and investments with no state income tax. With a $12,000 retirement budget, you can live a very comfortable lifestyle in Plano.

4. For Culture and the Arts: Boston, Massachusetts

• Cost of living: 47% above the national average⁷
• Median home price: $1,075,115⁷
• Median monthly rent: $3,279⁷
• Metro population: 4,919,179²
• State taxes: Social Security is not taxable; 5% flat tax rate on other income³

Why retire in Boston?

Boston is one of the oldest and most important cities in U.S. history and remains a top spot for culture and education. The area is home to more than 60 higher learning institutions,⁸ plus incredible museums, theaters, exhibitions, restaurants and other attractions.

The biggest drawback is the cost, which is almost 50% more than the national average, driven by very high housing costs. But if you are looking to downsize or don't mind spending a large portion of your $12,000 monthly budget on housing, Boston may be affordable while offering a unique, high-quality lifestyle.

5. For Large Properties: Cheyenne, Wyoming

• Cost of living: 3% below the national average⁹
• Median home price: $440,332⁹
• Median monthly rent: $1,343⁹
• Metro population: 100,984²
• State taxes: No state income tax³

Why retire in Cheyenne?

Cheyenne offers a mix of urban amenities and quick access to rural landscapes. You can find large properties with sweeping views if you're willing to live just outside of town. If you've dreamed of owning a ranch or a few acres of your own, the Cheyenne area could be an ideal fit.

There's no personal state income tax in Wyoming, so you can get the most out of every dollar of retirement income. If you want an average-priced home in the city, you'll find affordable options, with a median home price of just over $440,000. If you want to live on the frontier, it's tough to find a better home than Cheyenne.

Live a Wonderful Retirement on $12,000 Per Month

$12,000 per month in retirement gives you an above-average income, with flexible options on where to live and how to spend your time. These five cities offer a mix of costs, climates and activities that could be attractive to a wide range of retirees. Whatever you want to do in retirement, one of these cities could be a wonderful place to call home.

READ MORE: What's the Median Retirement Savings by Age?