With the future and solvency of the Social Security program continually in doubt, it’s important to remember what a necessity the Social Security Administration (SSA) is in the lives of so many Americans. For many, especially those Americans over the age of 65 who are retired and living on fixed incomes, Social Security is what allows recipients to meet their annual cost of living and stay above the poverty line.
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To that end, GOBankingRates recently analyzed all 50 states to determine those where people need Social Security the most. By studying the annual cost of living for every state, along with the percentage of each state’s population in citizens over the age of 65 living beneath the poverty line, GOBankingRates was able to determine the states in which Social Security is most needed by the recipients who live there.
While a few of the country’s most expensive states (e.g., New York, Hawaii) fill out the list, most of the states on this list are in the South, as poverty can thrive in more rural areas. Curious whether your state makes the top 20?
Also see what would happen to the money you paid into Social Security if the program were to end.
1. Mississippi
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Annual cost of living: $34,681
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Households with Social Security: 401,361
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% of households with Social Security: 35.5%
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% of people 65+ with income below poverty line: 14.3%
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Average Social Security income: $21,322
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2. West Virginia
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Annual cost of living: $34,202
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Households with Social Security: 297,356
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% of households with Social Security: 41.2%
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% of people 65+ with income below poverty line: 11.2%
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Average Social Security income: $22,747
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3. New Mexico
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Annual cost of living: $43,965
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Households with Social Security: 294,954
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% of households with Social Security: 35.8%
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% of people 65+ with income below poverty line: 13.1%
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Average Social Security income: $21,968
4. Louisiana
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Annual cost of living: $35,843
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Households with Social Security: 564,018
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% of households with Social Security: 31.6%
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% of people 65+ with income below poverty line: 14.1%
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Average Social Security income: $20,579
5. Kentucky
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Annual cost of living: $38,286
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Households with Social Security: 623,010
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% of households with Social Security: 34.8%
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% of people 65+ with income below poverty line: 12.3%
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Average Social Security income: $21,889
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6. Florida
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Annual cost of living: $52,244
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Households with Social Security: 3,139,979
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% of households with Social Security: 36.7%
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% of people 65+ with income below poverty line: 11.4%
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Average Social Security income: $24,048
7. Alabama
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Annual cost of living: $37,465
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Households with Social Security: 692,939
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% of households with Social Security: 35.2%
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% of people 65+ with income below poverty line: 11.4%
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Average Social Security income: $22,851
8. New York
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Annual cost of living: $57,166
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Households with Social Security: 2,445,342
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% of households with Social Security: 31.9%
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% of people 65+ with income below poverty line: 12.7%
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Average Social Security income: $23,330
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9. Arkansas
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Annual cost of living: $35,767
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Households with Social Security: 415,445
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% of households with Social Security: 34.9%
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% of people 65+ with income below poverty line: 11.2%
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Average Social Security income: $22,351
10. South Carolina
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Annual cost of living: $43,713
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Households with Social Security: 726,710
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% of households with Social Security: 35.1%
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% of people 65+ with income below poverty line: 10.7%
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Average Social Security income: $23,985
11. Maine
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Annual cost of living: $53,371
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Households with Social Security: 219,575
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% of households with Social Security: 37.3%
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% of people 65+ with income below poverty line: 9.2%
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Average Social Security income: $22,925
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12. Rhode Island
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Annual cost of living: $59,817
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Households with Social Security: 146,426
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% of households with Social Security: 33.5%
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% of people 65+ with income below poverty line: 10.5%
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Average Social Security income: $23,167
13. Hawaii
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Annual cost of living: $102,392
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Households with Social Security: 181,793
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% of households with Social Security: 37.2%
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% of people 65+ with income below poverty line: 8.9%
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Average Social Security income: $24,692
14. Tennessee
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Annual cost of living: $43,609
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Households with Social Security: 902,742
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% of households with Social Security: 32.6%
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% of people 65+ with income below poverty line: 10.8%
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Average Social Security income: $23,430
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15. Arizona
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Annual cost of living: $54,185
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Households with Social Security: 948,066
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% of households with Social Security: 33.9%
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% of people 65+ with income below poverty line: 9.9%
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Average Social Security income: $25,049
16. Montana
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Annual cost of living: $56,103
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Households with Social Security: 156,515
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% of households with Social Security: 34.6%
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% of people 65+ with income below poverty line: 9.6%
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Average Social Security income: $22,829
17. Pennsylvania
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Annual cost of living: $42,196
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Households with Social Security: 1,829,023
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% of households with Social Security: 34.9%
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% of people 65+ with income below poverty line: 9.4%
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Average Social Security income: $23,989
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18. Michigan
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Annual cost of living: $39,532
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Households with Social Security: 1,402,046
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% of households with Social Security: 34.7%
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% of people 65+ with income below poverty line: 9.3%
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Average Social Security income: $24,503
19. Missouri
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Annual cost of living: $39,493
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Households with Social Security: 812,042
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% of households with Social Security: 32.7%
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% of people 65+ with income below poverty line: 10.0%
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Average Social Security income: $23,050
20. North Carolina
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Annual cost of living: $46,728
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Households with Social Security: 1,343,673
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% of households with Social Security: 32.1%
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% of people 65+ with income below poverty line: 10.2%
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Average Social Security income: $23,610
Methodology: For this study, GOBankingRates analyzed each state to find the states where people need Social Security the most. Sources include the U.S. Census 2023 5-year American Community Survey, Sperling’s BestPlaces, the Bureau of Labor Statistics Consumer Expenditure Survey, Zillow Home Value Index and the Federal Reserve Economic Data. All data was collected on and is up to date as of May 15, 2025.
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This article originally appeared on GOBankingRates.com: These Are the 20 States Where People Need Social Security the Most
