Why This Massachusetts City Is Ideal for Retirees Living on a Budget

Springfield, Massachusetts, nestled in the western part of the state, is one of the largest cities in Massachusetts and New England.If you’re looking for a big city feel without a big city price tag in retirement, look no further.

Springfield claims the number six spot on the 50 best places to retire. With the help of  Travel + Leisure. To find the 50 best places to retire in the U.S., Investopedia analyzed factors like cost of living, entertainment options, and access to travel and healthcare.

So if you’re thinking about where you want to spend your next chapter, here’s what you need to know about Springfield, Massachusetts before making the move.

How Much Will Living Here Cost You?

First, the good news: Massachusetts won’t tax your Social Security benefits. Income from public pensions is tax-free as well, although non-public pensions won’t receive this break.

The state also offers what’s known as a Senior Circuit Breaker Tax Credit, which is $2,730 in tax year 2024. This tax credit is a refundable personal income tax credit available to seniors ages 65 and older who own or rent property in the state. You can claim it on your state return.

Now, the not-so-good news: Massachusetts has one of the highest state income tax rates in the country, according to the Tax Foundation, a nonpartisan think tank.However, if you’re not a millionaire, you won’t have to worry about paying the top rate.

In Massachusetts, the flat tax rate is 5%, and only those with an income of more than $1,053,750 are responsible for paying the 4% surtax.

You also won’t have to spend an exorbitant amount of money on a mortgage to afford a home in Springfield. The median home value in Hampden County is $276,300, and the median monthly housing costs are $1,309.

The state sales tax you’ll pay when you hit the local stores is just 6.25%, putting it in as one of the states with a more affordable sales tax.

What Can You Do With Your Spare Time?

Springfield is located in the middle of the mountains and hills near the Connecticut River Valley, but the possibilities for enjoying your newly found free time don’t begin and end with the outdoors here.

Hampden County, home to Springfield, offers 160 arts and entertainment facilities. The Springfield Public Forum regularly hosts nationally recognized speakers, like Supreme Court Justice Ketanji Brown Jackson.

And if you’re interested in checking out the arts scene, visit the Quandrangle. Located in downtown Springfield, this area is home to many art museums and cultural institutions, like a Dr. Seuss Museum, a science museum, and an arts museum.

The city is also home to the MassMutual Center, an arena and convention center where you can catch an ice hockey game or head to an expo.

As for those who are more inclined to spend time outside, the City of Springfield Parks and Recreation Department maintains the accredited Franconia and Veterans golf courses. Urban parkland makes up more than 10% of Springfield’s land area. 

Transportation Options

For retirees who want a city that’s walkable, Springfield can be a great option, especially in the downtown area. The Economic Research Institute gives Springfield a “walk score” of 88, which means it’s “very walkable.”However, you’ll still probably need a car to get around.

And as Springfield is the largest city in Hampden County with a population of more than 155,000, you may occasionally confront a few traffic and parking issues.

When it comes to air travel, the airport isn’t too far away. Bradley International is the closest major airport, which is roughly 20 miles away and is primary airport serving western Massachusetts.

Plus, you’ll have easy train and bus access in Springfield. Union Station is a major Amtrak stop providing rail service, and Peter Pan Bus Lines operates out of this hub as well, reaching areas throughout the Northeast.

Healthcare Services

In your retirement years, it can be critical to have easy access to hospitals and doctors. Hampden County offers 22 hospitals and 683 other healthcare establishments. Hospitals include award-winning Baystate Medical Center and Mercy Medical Center, both located in Springfield.

The state of Massachusetts also offers benefits that may be useful for retirees. Prescription medical devices and medications are exempt from the state’s sales tax. The state also provides home healthcare services for those aged 60 and older and others with certain disabilities. It’s not free, but the cost is based on your income.

The Bottom Line 

You don’t have to give up the big city in retirement. Springfield, MA offers a great mix of affordability as well as entertainment options to keep yourself busy in retirement—whether you want to head to a hockey game or take a leisurely stroll through a museum.

But keep in mind that many of the costs mentioned are median or average figures, so you may be able to make living in Springfield work even on a smaller budget.