These 5 U.S. States Have The Cheapest Assisted Living Costs For Seniors

Aging is an inevitable part of life, and with age, may come a need for more assistance. In 2024, according to recent data by Genworth, the median cost of assisted living for seniors was $5,511 per month. That's the equivalent of $66,126 per year. Meanwhile, the Social Security Administration estimates the average monthly Social Security payment for January 2025 is $1,976, though it's possible to receive more. Also concerning is that, according to the National Council on Aging, 70% of senior citizens that are eligible for Medicare and food assistance programs aren't enrolled, and the latest data suggests some 14.2% of Americans aged 65 years and older were living in poverty in 2023 — slightly higher than in 2022 when the percentage was 14.1%.

The percentage of impoverished Americans 65 years old and over changes drastically by location. For instance, according to the United States Census Bureau, in 2023 14.9% of elderly populations in Milwaukee County, Wisconsin lived below the poverty line. That percentage fell somewhere between 8% to 9.9% in the state of Virginia. There are several states no one should ever retire in, and then there are the best states to source the cheapest assisted living right now, based on 2024 estimates. 

Utah happens to be one of your best bets if you're looking for more affordable assisted living options. Utah's assisted care costs of $4,275 is $1,361 cheaper than the aforementioned national average of $5,511 per month. At an average cost of $140 per day or $51,294 annually, this beats the national average of $181 a day — $66,126 a per year — by $14,832 in 2024. It should come as no surprise then that, according to the United Health Foundation in its 2024 Senior Report, Utah came in as the healthiest state for the elderly for three years in a row. With only 7.5% of the population 65 years old and up living in poverty, Utah also happens to have the lowest overall poverty rate for seniors in the country.

For an idea of what assisted living looks like in Utah, assisted living facility Chancellor Gardens offers all the usual accommodations and amenities, with wellness programs, restaurant style dining, and a salon. If you're really active in your later years, and are into more adventurous activities, you can even try out scuba diving, skydiving, and ziplining. So when you think about what retirement looked like in the 1970s and how it compares to today, you can bet jumping out of an airplane probably wasn't a big assisted living activity back then.

Similar to Utah, Arkansas also boasts relatively reasonable expenses when it comes to assisted living. At $140 per day, Arkansas' average monthly $4,270 cost is only five dollars lower than Utah's, leading to an annual expense of $51,245. This represents a difference of $1,241 per month in comparison to the national average or $5,511, or savings of $14,881 per year. Considering a third of the population of Arkansas — 1.1 million residents — are 50 years of age and older, you'll probably have a lot of company in your assisted living journey.

All of that said, a quick Google search of the news around assisted care in Arkansas reveals you may get what you pay for in Arkansas, and that's not necessarily a good thing. From a caregiver at a senior living facility convicted of hitting an 82-year-old resident, to a case of Medicaid fraud, and senior homes failing federally-mandated staffing requirements which could potentially lead to some being shut down — there's currently a multi-state lawsuit involving 19 other states — cheaper assisted living doesn't necessarily equate to higher quality. Be sure to check reviews and ratings of facilities in the region before making your choice.

Alabama presents a daily expense comparable to Utah and Arkansas, and a monthly expense of $4,267. An annual cost of $51,201 places this firmly $14,925 lower than the national average in 2024. Like Arkansas, seniors make up roughly a third of the population, with 1.8 million at least 50 years old and a median age rising by four percent in the eight years between 2010 and 2018.

According to the United Way of Central Alabama, close to 12% of seniors 65 years old and up living within six counties in Central Alabama live below the poverty line. In fact, life expectancy in the state is among the lowest in the U.S. at 75.4 years — 49th place out of 50 states. So while Alabama is one of the cheapest states in the U.S. to retire, it's also one of the poorest. In urban areas like Birmingham, there's also a cost incurred by living in one of America's most dangerous cities. However, Newsweek gave several of Alabama's nursing homes top ranking in its 2025 list of best nursing homes in America, which despite other shortcomings of the state, demonstrates there are a lot of good options for senior care.

The next cheapest state for assisted living can be found in Georgia, where an average $139 per day, the equivalent of $50,923 per year, comes in at less than half the most expensive state — Hawaii — which has an annual cost of $115,445 per year or $9,620 per month. Life expectancy in the state is pretty decent at 77 years — the national average is 78 — and U.S. News & World Report's 2025 list of Best Nursing Homes recognized eight nursing homes around or in Atlanta, Georgia, as some of the best in the U.S. Seniors with assisted living in the state can rely on transportation, cleaning, a few square meals and 24 hours of reliable service for their $4,244 average bill per month. It's important to keep in mind the essential healthcare boomers won't be able to afford in 10 years, and that anything you can do to eliminate costs in your old age should always be a factor in your retirement planning. 

Finally, Mississippi is the cheapest state for assisted living in the U.S. The state has a median cost of $3,914 per month and $46,968 per year. Mississippi also has the distinction of being one of the cheapest states to buy a house in the U.S. which also makes it an affordable state to retire whether in assisted living or living independently. In comparison to the national average of $66,126, Mississippi's assisted living expenses represent $19,158 in serious savings. Placing that next to the most expensive state for assisted living, Hawaii, at $115,445 per year and $9,620, that's a whopping $68,477 in savings. According to the United States Census Bureau, between 2019 and 2023 the median household income in Mississippi was $54,915. In other words, assisted living in Mississippi can actually save you the equivalent of $13,562 over the median household income per year. According to a study by Moneywise, Mississippi falls right in the middle of states with the highest risk of bankruptcy for seniors with a risk score of 43.28. For comparison, the state with the highest bankruptcy risk, California, has a risk score of 69.72. This just makes taking advantage of cheaper assisted living a smart move.