Indiana can’t match Florida’s year-round warm weather, South Carolina’s beaches or Arizona’s desert vistas. In terms of affordability, however, the Hoosier State makes a strong case as a retirement destination. A recent GOBankingRates study found numerous Indiana cities well within financial reach for most retiring couples, even if they plan to get by on Social Security alone.
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In 2025, the average Social Security check is about $1,925 for individuals and $3,850 for couples, according to the Social Security Administration. The GOBankingRates study has determined the top six Indiana cities with an average overall cost of living within that framework, and also offering solid livability ratings.
There are other reasons to consider retiring in Indiana, especially if you like four-season living and can handle some hot summers and cold winters. Social Security benefits aren’t taxed in Indiana, though pensions and retirement savings are which makes living in one of these six cities all the more enticing.
1. Richmond
- Average monthly rent: $797
- Average monthly costs for necessities: $2,403
- Monthly grocery bill: $377
- Annual cost for healthcare: $7,730
- Annual cost of utilities: $4,109
- Livability score: 83
Retired couples on a tight budget still wanting to live in more of a small city than a town may want to give Richmond a look. The average monthly rent is under $1,000 which is quite rare these days in any real estate market. Richmond also boasts a rich history and ample recreational opportunities to stay active in your golden years.
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2. Goshen
- Average monthly rent: $1,046
- Average monthly costs for necessities: $2,690
- Monthly grocery bill: $389
- Annual cost for healthcare: $7,497
- Annual cost of utilities: $3,993
- Livability score: 84
Goshen is another northern Indiana city in the South Bend-Mishawaka-Elkhart area, with about 35,000 residents. It’s known for cranking out auto parts and recreational vehicles. Locals and visitors enjoy a weekly farmers’ market and walking/biking along the Pumpkin Vine Nature Trail or the Maple City Greenway and transportation costs only come in around $297 a month.
3. Fort Wayne
- Average monthly rent: $1,102
- Average monthly costs for necessities: $2,778
- Monthly grocery bill: $379
- Annual cost for healthcare: $7,762
- Annual cost of utilities: $3,906
- Livability score: 84
Fort Wayne is a large city (population 265,000 and 425,000 in the metro area) located in northeast Indiana. It has received an All-American City Award four times, and attractions include the Foellinger-Freimann Botanical Conservatory, the Fort Wayne Museum of Art, the Fort Wayne Children’s Zoo and the History Center at Old City Hall.
4. West Lafayette
- Average monthly rent: $1,950
- Average monthly costs for necessities: $3,619
- Monthly grocery bill: $402
- Annual cost for healthcare: $7,385
- Annual cost of utilities: $4,441
- Livability score: 90
If you’re looking to retire in a college town on a tight budget, West Lafayette may be worth considering. Home to Purdue University, West Lafayette has our list’s highest livability score and offers living costs within the budget of many Social Security-only couples. You’ll find it across the Wabash River from Lafayette, about 65 miles northwest of Indianapolis and 125 miles southeast of Chicago.
5. Muncie
- Average monthly rent: $985
- Average monthly costs for necessities: $2,607
- Monthly grocery bill: $377
- Annual cost for healthcare: $7,465
- Annual cost of utilities: $3,911
- Livability score: 81
If you’re a couple trying to get by on $3,850 a month, an average rent below $1,000 probably looks pretty good. Muncie has it, along with an average total cost of living that’s $1,200 below the national average and a respectable livability score of 81.
Located about 60 miles northeast of Indianapolis, Muncie is home to about 65,000 residents, Ball State University, the David Owsley Museum of Art, the Minnetrista Museum and Gardens and the 60-mile Cardinal Greenway.
6. Jeffersonville
- Average monthly rent: $1,391
- Average monthly costs for necessities: $3,095
- Monthly grocery bill: $389
- Annual cost for healthcare: $7,248
- Annual cost of utilities: $4,156
- Livability score: 83
Often referred to as simply “Jeff,” this southern Indiana city of about 50,000 is located across the Ohio River from Louisville, Kentucky. Residents enjoy the NoCo Arts and Cultural District, the floating RiverStage event venue and multiple parks. Retired couples may appreciate Jeff’s average monthly transportation costs of $365.
Methodology: GOBankingRates determined the best cities in Indiana for a couple to live on only a Social Security check based on the average monthly benefit for retired workers, $1,925.46 ($3,850.92 for a couple), sourced from the Social Security Administration. GOBankingRates first isolated all cities in Indiana with a 2024 average monthly rent and a size rank below 5,000 as sourced from Zillow’s October 2024 data. GOBankingRates then used Sperling’s Best to find the cost-of-living index for each listed city, looking at grocery and healthcare index scores. Next, GOBankingRates used data from the Bureau of Labor Statistics 2023 Consumer Expenditure Survey to find the annual expenditure amount for both grocery (“food at home”) and healthcare costs for people aged 65 and older to find how much a couple 65 and over would spend on groceries and healthcare in each city monthly. GOBankingRates then added monthly housing, grocery and healthcare costs together to find where a couple 65 and older could survive on their Social Security or less. For a city to be qualified for the study the city had to have a livability score above 70 as sourced from AreaVibes. GOBankingRates scored and combined both livability and monthly necessities expenditure, with the lowest score being the best, to determine final rankings. In final calculations, the livability score was weighted 2x. All data was collected and is up to date as of Dec. 11, 2024.
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This article originally appeared on GOBankingRates.com: 6 Best Places in Indiana for a Couple To Live on Only Social Security
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