ANNAPOLIS, Md. — A new study from retirement experts at Gold IRA Custodians has ranked Maryland as the fifth-worst state for retirees in 2025, highlighting significant challenges for seniors considering the state as a retirement destination. Released on March 27, 2025, the research evaluated all 50 states based on cost of living, housing prices, healthcare access, nursing home availability, crime rates, and tax benefits, revealing Maryland’s struggles with affordability and limited healthcare infrastructure.
The study’s findings place Maryland near the bottom with a Retirement Score of 28, just above Alaska, Montana, Oregon, Utah, and Rhode Island, and well below top-ranked states like Texas, Pennsylvania, and Illinois. Hawaii earned the lowest score of 4, while Texas led with a score of 78. Maryland’s poor ranking stems from a combination of high living costs, expensive housing, and inadequate healthcare options, despite its proximity to major metropolitan areas and cultural attractions.
Maryland’s average cost of living score of 115.3 exceeds the national average of 100, according to data from the Missouri Economic Research and Information Center, “Cost of Living Data Series”. This places a significant financial burden on retirees, many of whom rely on fixed incomes. The median house price in Maryland, pegged at $513,000 by Redfin, further exacerbates affordability concerns, far outpacing states like Mississippi ($257,000) and Texas ($349,000). For seniors seeking cost-effective housing, Maryland’s market presents a steep barrier.
Healthcare access also drags Maryland’s ranking down. The study, drawing from the American Hospital Association’s Annual Survey Database, “AHA Annual Survey Database”, reports only 47 healthcare facilities statewide—a stark contrast to Texas’s 509 or even Pennsylvania’s 185. Similarly, Maryland offers 222 nursing homes, significantly fewer than Illinois’s 682 or Ohio’s 929. With a growing retiree population—over one-third of Maryland’s 5.8 million residents are 55 or older, per the U.S. Census Bureau—these limited options could strain resources for seniors needing medical care or long-term support.
Crime rates further compound Maryland’s challenges. The state’s crime rate of 426 incidents per 100,000 people, sourced from the Council of State Governments Justice Center, exceeds safer states like Mississippi (203) and Pennsylvania (266). While not the highest—New Mexico tops the list at 749—this elevated rate undermines Maryland’s appeal for retirees prioritizing safety.
Tax implications also play a role. Maryland partially taxes retirement account withdrawals, such as 401(k)s and IRAs, though Social Security income is exempt, according to Kiplinger, “Taxes in Retirement”. This mixed tax policy earns the state a slight penalty in the study’s methodology, unlike states like Texas and Florida, which impose no state income tax, offering clearer financial benefits for retirees.
“Finding the right retirement location involves balancing multiple factors that impact both quality of life and financial security,” said Tim Schmidt, founder of Gold IRA Custodians. “Maryland’s high costs and limited healthcare infrastructure overshadow its advantages, making it a tough choice for retirees without substantial savings.”
Despite these drawbacks, Maryland boasts strengths that the study’s metrics don’t fully capture. Its proximity to Washington, D.C., Baltimore, and Philadelphia offers cultural and recreational opportunities, while the Chesapeake Bay region provides scenic appeal. The state’s healthcare system, though limited in facility numbers, includes renowned institutions like Johns Hopkins Hospital. However, these assets fail to offset the financial and practical hurdles for most retirees.
In contrast, top-ranked Texas excels with a cost of living score of 92.7, a robust healthcare network, and no state income tax. Pennsylvania and Illinois, both scoring 62, blend affordability with strong medical access, while Mississippi offers the nation’s lowest housing costs. Maryland’s Retirement Score of 28 reflects a state where high expenses and resource constraints outweigh such benefits for seniors.
“When choosing a retirement destination, most retirees need to balance financial considerations with quality of life factors,” Schmidt noted. “States like Maryland remind us that even with cultural richness, practical challenges like cost and healthcare access can make a big difference.”
As retirees weigh their options for 2025, Maryland’s ranking serves as a cautionary note. While it may appeal to those with ample resources or ties to the region, the state’s high costs, limited healthcare facilities, and elevated crime rate position it as a less viable choice for many seniors seeking a secure and affordable retirement.
