Retire by state
Retiring in North Dakota
Wide open plains and badlands with low taxes and a low cost of living, set against some of the coldest, longest winters in the country.
A fit if
Retirees who want low taxes, affordable housing, and quiet small-city life, and who have roots or family in the northern plains.
Hard look if
Anyone who dislikes cold, since long subzero winters and isolation across rural distances are part of daily life.
Figures verified May 31, 2026.
Cost of living
89
BEA index, U.S. = 100
State income tax
~2.5%
Blended planning rate
Social Security
Not taxed
2026 state treatment
How the plan models North Dakota
The state lines the calculator actually changes.
These are the assumptions the planner applies for North Dakota. They are blended, middle-bracket planning figures, not a tax return. Exemptions, county rules, and your own income mix can move the real number.
Cost of living
89
BEA regional price parities put North Dakota about 11.0% below the U.S. average cost level. The U.S. average is 100.
BEA Regional Price ParitiesState income tax
~2.5%
North Dakota does not tax Social Security in the summary used here, but a 2.5% blended planning rate is used for taxable retirement-income context. IRA and 401(k) withdrawals can still need a state-tax line in North Dakota, with exemptions and local rules checked against current state guidance.
Tax FoundationSocial Security
Not taxed
North Dakota does not tax Social Security benefits under the current state-tax summary used here.
AARP / IRS Pub. 915Property tax
1.0%
Property tax is local, but the North Dakota state-level planning rate used here is 1.0% of home value. On a $350,000 home, that is about $3,400 a year before county detail.
Tax FoundationSales tax
7.1%
Tax Foundation puts North Dakota's 2026 average combined state and local sales tax near 7.1%, ranked 22 among states in that table.
Tax FoundationVehicle costs
Registration line
Vehicle costs still belong in the budget, but the vehicle-tax source used here does not flag North Dakota as a state where value-based vehicle property tax is the main planning issue.
FreeTaxUSA vehicle-tax guideLong-term care in North Dakota
The care cliff, in North Dakota dollars.
CareScout and Genworth 2025 median costs, compared with the national median. Long-term care is a separate planning layer from ordinary Medicare costs.
Assisted living
$4,729/mo
About $56,745 a year, 24% lower than the national median.
Nursing home (semi-private)
$11,528/mo
About $138,335 a year, 20% higher than the national median.
Home caregiver
$6,483/mo
About $77,792 a year, 3% lower than the national median.
Things to do in North Dakota
What daily life can look like.
Visit Theodore Roosevelt National Park
Theodore Roosevelt National Park protects colorful badlands where bison, wild horses, and prairie dogs roam. Scenic drives, overlooks, and ranger programs let visitors take in the landscape without long hikes.
National Park ServiceUse the state parks and Missouri River lakes
North Dakota's state parks include spots along Lake Sakakawea and the Missouri River, with fishing, boating, and easy trails. Summers are warm and long-lit, making the short warm season a busy time for being outdoors.
North Dakota Parks and RecreationSpend time in historic Medora
The small town of Medora sits at the gateway to the badlands and offers history sites, a seasonal outdoor musical, and easy access to the national park. It gives retirees a low-key base for exploring the western part of the state.
Medora, North Dakota (official visitor site)What to know about North Dakota
The trade-offs worth weighing.
Low income tax and Social Security exemption
North Dakota has one of the lowest state income tax structures in the country, and it exempts Social Security benefits for most retirees. Property and sales taxes are also relatively modest, which keeps the overall tax load light.
North Dakota Office of State Tax CommissionerWinters are long, cold, and windy
North Dakota sees some of the harshest winters in the lower 48, with subzero cold, blizzards, and wind chill that can be dangerous. Heating costs, winter driving, and shorter daylight are real factors from late fall into spring.
National Weather Service BismarckCare and services can be far apart
Outside Fargo, Bismarck, and a few other cities, North Dakota is sparsely populated, so specialty care and major services may be a long drive. Retirees who need frequent medical visits often weigh how close they would live to a larger hospital.
North Dakota Department of Health and Human ServicesWeighing two states?
Put North Dakota next to another state.
Compare cost of living, taxes, Social Security treatment, property and sales tax, and long-term-care costs side by side.
Common questions
Retiring in North Dakota, answered.
Does North Dakota tax retirement income?
North Dakota does not tax Social Security benefits under the current state-tax summary used here. IRA and 401(k) withdrawals can still need a state-tax line in North Dakota, with exemptions and local rules checked against current state guidance. North Dakota does not tax Social Security in the summary used here, but a 2.5% blended planning rate is used for taxable retirement-income context.
AARP: how states tax retirement incomeIs North Dakota cheaper or more expensive than average?
BEA regional price parities put North Dakota about 11.0% below the U.S. average cost level. That price level is the first reason a national retirement number needs a North Dakota translation.
BEA Regional Price ParitiesWhat does long-term care cost in North Dakota?
In the CareScout and Genworth 2025 medians, North Dakota assisted living runs about $56,745 a year (24% lower than the national median) and a semi-private nursing-home room about $138,335 a year (20% higher than the national median).
CareScout / Genworth Cost of CareIs North Dakota affordable for retirees?
North Dakota has a low cost of living, low property taxes, and one of the lowest state income tax structures in the country, with Social Security exempt for most retirees. The main trade-off is the long, very cold winters and rural distances.
North Dakota Office of State Tax CommissionerSources
- BEA Regional Price Parities
- Tax Foundation: state tax data
- AARP: how states tax retirement income
- CareScout / Genworth Cost of Care
- IRS Publication 915 (Social Security benefits)
- National Park Service
- North Dakota Parks and Recreation
- Medora, North Dakota (official visitor site)
- North Dakota Office of State Tax Commissioner
- National Weather Service Bismarck
- North Dakota Department of Health and Human Services
Build the full map
See what North Dakota does to your retirement plan.
Enter your real spending, income, home, and dreams. The planner applies the North Dakota tax and cost assumptions for you, then shows the years the money has to last.
Start my plan