The Complete Guide to Retiring in Louisiana
If fresh seafood, outdoor recreation, and live music excite you, Louisiana might be a place to touch down in your retirement. Many retirees also enjoy Louisiana’s low cost of living and warm climate.
In this article, we’ll let you know more about what retirement in Louisiana looks like and provide you with a list of cities and communities you might want to call home.
Key Takeaways
Louisiana can be an affordable location to retire. The cost of living is lower than the national average.
Louisiana can be prone to hurricanes.
If you enjoy an active lifestyle, there’s plenty to do, including exploring the outdoors, enjoying delicious Cajun and Creole food, and dancing to live Jazz music.
Healthcare can be difficult to access in the state, especially in more rural areas.
What to expect from retiring in Louisiana
If summer is your favorite time of year, then it’s likely you’ll love Louisiana. Summers are hot, humid, and long, whereas winters are mild.
The landscape of Louisiana is diverse. Coastal plains cover the area around the Gulf of Mexico, the northern portion of the state is forested, and swamps, wetlands, rivers, and streams are numerous throughout the state.
This sets you up for plenty of outdoor activities, including boating, hiking, and fishing. Louisiana is also home to 138 golf courses, many of which are open for year-round play thanks to Louisiana’s warmer weather.
Cajun and Creole culture is infused throughout the state, offering a laid-back style of living. You can enjoy tasty dishes like gumbo, jambalaya, and beignets, or take in some live Creole music. The New Orleans French Quarter gives you a taste of Louisiana’s French influence, including historic streets and live jazz music. Festivals are also common throughout Louisiana, including Mardi Gras and the Jazz and Heritage Festival.
The pros and cons of retiring in Louisiana
Now that you have a better idea of what retiring in Louisiana might look like, let’s explore some more specific pros and cons of retiring in the state.
Pros:
Louisiana’s cost of living is 4% lower than the national average. Housing costs are also lower. This can leave you with more disposable income to enjoy the lifestyle Louisiana offers.
Louisiana’s diverse natural landscape includes bayous, swamps, wetlands, and rivers. If you enjoy outdoor activities like fishing and boating, there’s plenty to do.
Friendly Cajun culture will make you feel welcome. Live music and good food are easy to find.
Cons:
Although housing is more affordable, insurance rates can be high. This is important to keep in mind when budgeting.
Louisiana can be prone to natural disasters like hurricanes and flooding.
It can be difficult to access high-quality healthcare, especially in rural areas.
Summers in Louisiana can be hot and humid. If you aren’t used to the warm weather, this can be uncomfortable.
How retirement taxes work in Louisiana
Louisiana is a more tax-friendly state for seniors, offering several tax advantages.
No Social Security taxes: Louisiana does not tax Social Security income. If you rely on Social Security income, this can help you have more disposable income.
Retirement taxes: There are taxes on some retirement income in Louisiana. However, there are deductions available if you are aged 65 or older. This amount is $6,000, unless you are Married Filing Jointly, in which case both you and your spouse can deduct $6,000.
Homestead exemption: The Louisiana Homestead Exemption allows $7,500 of your home’s assessed value or $75,000 of fair market value to be exempted from your taxes.
Special assessment freeze: Homeowners who are 65 years old or older and have an adjusted gross income of $100,000 or less are eligible to have a freeze on their property’s value.
No estate or inheritance taxes: There are no estate or inheritance taxes in Louisiana.
Low property taxes: Louisiana has an average effective property tax rate of 0.55%. The median annual payment is $1,08.
Is it expensive to live in Louisiana?
Louisiana is a more affordable state to live in, with a cost of living that is 4% lower than the national average. The average house price in Louisiana is around $200,000. The average rent is about $1,500. Larger cities, like Baton Rouge and New Orleans, tend to be more expensive, while more rural areas are less expensive.
Housing and cost of living in Louisiana
Housing costs in Louisiana are the same as the national average. However, housing prices can vary depending on where you choose to live. A home in New Orleans runs an average of $244,000, while a home in a smaller town like Bastrop can average about $82,000. It’s also important to factor in insurance when looking to purchase a home in Louisiana, as home insurance can be more expensive due to the risk of hurricanes.
Utilities are significantly lower than the national average, whereas food and transportation costs are slightly lower. Sales taxes in Louisiana average at 9.56%. There are no taxes on non-prepared food, prescription drugs, or utilities.
How does retiring in Louisiana compare to Arkansas and Mississippi?
While all three states offer an affordable cost of living, those looking for a more vibrant city life might prefer Louisiana. Louisiana also offers rich cultural activities, while Arkansas and Mississippi have a slower pace of life.
Living in Louisiana can also make it easier to get the healthcare services that you need. Major cities like New Orleans and Baton Rouge have good access to quality healthcare.
Best places to retire in Louisiana
Although Louisiana offers a more affordable cost of living, there are some higher-end places to retire as well. These include:
New Orleans: With luxurious condos and historic homes, New Orleans is a great place to settle if you enjoy culture and vibrant nightlife. Music, art, and food are abundant in the area.
Mandeville: With lakefront views, Mandeville’s Tammany Trace trail is perfect for walking and biking. Mandeville is also a short drive to New Orleans, so you’ll have easy access to the city’s amenities.
Lafayette: Also known as “The Heart of Cajun Country”, Lafayette has many local restaurants and a strong live music scene. Nature trails and parks also make it easy to enjoy the outdoors.
If you’re looking for a more budget-friendly option that still allows you to enjoy all Louisiana has to offer, you might consider:
Alexandria: Alexandria has a lower cost of living while still giving you access to local Cajun and Creole eateries and festivals. Fishing, boating, and hiking are popular activities in the area.
Thibodaux: Thibodaux is a small town. It’s also home to Nicholls State University, which provides access to cultural events and further learning opportunities.
Baker: A suburb of Baton Rouge with a variety of outdoor activities. Because it’s a short drive from Baton Rouge, it’s easy to visit museums and theaters.
Retirement communities in Louisiana
If you’re looking for activities and dining right at your doorstep, you might consider a retirement community. Living in a retirement community also makes it easy to connect with friends and access healthcare services. Popular retirement communities in Louisiana include:
The Greens at Pelican Point: Located in the Pelican Point Golf Community, with garden homes and townhomes to choose from. There’s a park, a community center, a fitness center, and a heated pool.
The Verandah: Located in Lake Charles, The Verandah follows Blue Zone principles for longevity, offering walking paths, meditations, and gardening. You can enjoy regular activities, including Zumba classes, wine tastings, and Spanish classes. The Verandah also offers easy transitions to assisted living and memory care if needed.
Sunrise at Siegan: Located in Baton Rouge, Sunrise is located along the banks of the Mississippi River and near the Mall of Louisiana and the Baton Rouge Library. But the community offers plenty to do as well, including a 5-star dining service with regular theme nights for friends and family and Cajun staples like fried catfish and shrimp fettuccine. Activities include yoga, cards, meditation, and regular outings. Assisted living is also available.
Senior health in Louisiana
Louisiana is ranked the 49th least healthy state in America’s Health Rankings Senior Report. While quality healthcare is accessible in larger cities like New Orleans, Baton Rouge, and Lafayette, it can be difficult to access in smaller towns and more rural areas.
Conditions like heart disease and type 2 diabetes are more common in seniors living in Louisiana. Ensuring that you get regular check-ups can help prevent or manage these conditions. Seniors living in more rural areas can also be prone to mental health conditions and feeling lonely. Creating a social community where you feel supported can be helpful.
Quality of healthcare in Louisiana
Louisiana has a number of high-quality healthcare facilities in the larger cities, including Ochsner Medical Center, Our Lady of the Lake Regional Medical Center, and Willis-Knighton Medical Center. There’s good access to specialized health care like cardiology and neurology in urban areas, but this is difficult to access in rural areas. This means that individuals may need to travel 1-3 hours to seek more specialized medical care.
For individuals who are aged 65 and older who are at risk of nursing home placement but wish to remain in their own home, the Healthy Louisiana Community Choices Waiver can help. This provides help with personal care, meals, home modifications, and more.
Medicare in Louisiana
There are about 939,000 Medicare beneficiaries in Louisiana, which makes up about 20% of the state’s population. About 44% of these beneficiaries are on Original Medicare, with 56% on Medicare Advantage plans in Louisiana.
If you want to learn more about Medicare in Louisiana, you can speak with a Chapter Medicare Advisor. Call us at (855) 900-2427 or schedule a free consultation.
Retiring in Louisiana
For individuals who enjoy a more upbeat lifestyle, great food, and outdoor activities, Louisiana can be a great place to retire. Many retirees also love the affordability and warmer weather.