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The Best Places to Retire in Maine

Table of Contents
Coastal Towns Worth the Cost       Inland Towns You’ll Love Hidden Gems     Cost of Living in Maine   Making Your Way to the Pine Tree State  

Is Maine a good place to retire? Absolutely! Maine isn’t just famous for its lobsters and lighthouses; it’s also becoming a popular spot for retirees. Why? Well, aside from its stunning natural beauty, Maine offers financial perks for the older crowd. 

Property taxes might seem high, but did you know your Social Security benefit isn’t taxed here? Plus, there are tax exemptions for pension income, and income taxes are pretty reasonable. 

So, if you’re thinking of a place where your money can stretch a bit more while enjoying serene views, Maine should be on your list.

Coastal Towns Worth the Cost

Best places to retire in Maine      

Maine, with its rugged coastline and crisp air, isn’t just for summer vacations or Stephen King novels. Many are looking to this northeastern gem as their ultimate retirement destination. Here’s a look at some top coastal spots for those pondering a Maine retirement:

Portland: As Maine’s largest city, Portland offers a vibrant blend of culture and convenience. With a bustling arts scene, historical districts, and top-tier healthcare facilities, retirees here enjoy the best of city life amidst coastal beauty. And for those wondering about retirement benefits, Portland boasts some comprehensive services tailored for the mature population.

Camden: Often described as where the mountains meet the sea, Camden is the epitome of Maine’s natural beauty. But it’s not just the breathtaking views that attract retirees. The town has an active senior community, with various programs ensuring a fulfilling and active retirement.

Bar Harbor: Famous for its proximity to Acadia National Park, Bar Harbor is a haven for nature-loving retirees. Outdoor activities are in abundance here, but so is relaxation. The town’s local community is tight-knit and welcoming, making it easy to settle in and enjoy all the retirement benefits Maine has to offer.

Inland Towns You’ll Love

best places to retire in maine

While Maine’s coast garners a lot of attention, its inland cities have their own unique allure, making them some of the best places to live in Maine for retirees.

Bangor: As one of Maine’s major hubs, Bangor seamlessly mixes modernity with its historic roots. If you’re looking at retirement communities, Bangor offers a range, each fostering a sense of community and belonging. One notable perk of residing here is the city’s low crime rates, offering retirees peace of mind as they settle into this new chapter. Additionally, with the city’s board of trustees ensuring community growth and well-being, Bangor remains a top contender for retirees.

Augusta: Not just the state’s capital, Augusta is a place of serene beauty and vibrant culture. The Kennebec River gracefully runs through, setting a picturesque backdrop for the city’s many activities. Those concerned about their retirement income will find Augusta’s living costs appealing. The city provides a balanced mix of recreation, art, and history, creating a dynamic environment for retirees.

Both Bangor and Augusta, with their respective offerings and charm, reinforce why Maine is gaining popularity among those looking to retire. Their communities are built with retirees in mind, ensuring a fulfilling and secure experience.

Hidden Gems


Maine, with its vast landscape and rich culture, isn’t just about its renowned coastal cities or its bustling inland hubs. For those wondering, “Is Maine a good state to retire in?”, there are hidden gems scattered throughout the state that provide unique retirement experiences.

Rockland: Nestled along the coast but often overshadowed by its more famous neighbors, Rockland is an art lover’s dream. Its streets are adorned with galleries, theaters, and the iconic Farnsworth Art Museum. With a tight-knit community vibe, Rockland provides an intimate feel that’s perfect for retirees seeking tranquility with a touch of cultural vibrancy.

Lewiston: As Maine’s second-largest city, Lewiston boasts a rich history coupled with modern amenities. The Androscoggin River runs through, offering scenic views and recreational opportunities. Here, retirees can work on their retirement plans with peace of mind, given the city’s reasonable living costs. Plus, Lewiston’s participation in the local district’s initiatives ensures continual growth and enhancement, benefiting its residents.

These lesser-known cities, each with its distinct charm, further solidify Maine’s standing as an ideal retirement destination. Exploring beyond the popular spots can lead retirees to places that resonate more personally with their retirement vision.

Cost of Living in Maine


Understanding the financial landscape is crucial when considering any location for retirement. When we dive into Maine’s economic specifics, it becomes clear how its financial policies might impact retirees.

First off, Maine retirement taxes are a hot topic. Good news for state employees and those in the Public Employees Retirement System: Maine offers some relief when it comes to pension income. There’s a pension income deduction available that can substantially reduce taxable income for eligible retirees.

Maine’s state taxes also come into play. The state income tax rates vary, depending on your earnings. For the tax year under consideration, single filers with a taxable income of up to $22,450 will be taxed at 5.8%, but this can rise to 7.15% for those earning more.

Besides income tax, considering sales taxes is essential. Maine has a state sales tax rate of 5.5%, which is pretty much in line with the national average. Though this might sound a tad bit steep, remember that other states might have lower income taxes but compensate with higher sales or property taxes.

In summary, while Maine does impose state taxes on retirement income beyond certain thresholds, its pension income deduction for state employees and those part of the Public Employees Retirement System can ease some of that burden. Prospective retirees should consider all these facets, including sales taxes, to get a comprehensive picture of Maine’s cost of living.

Maine also offers a diverse range of housing options to fit varying retirement budgets. On average, the state boasts more affordable home prices compared to many other coastal regions in the U.S. As of recent data, the average home price in Maine hovers around $380,000, although this can fluctuate based on the specific location and proximity to popular destinations. 

Coastal towns like Camden and Bar Harbor might have a slightly higher price tag, while more inland areas like Bangor present more budget-friendly options. When it comes to securing that dream retirement home, Maine offers both charm and affordability, making it an appealing choice for many retirees.

Making Your Way to the Pine Tree State


Maine, with its coastal allure and charming inland towns, undoubtedly ranks high on the list of desirable retirement destinations.

Yet, as enticing as the prospect of retiring in such picturesque locales may be, it’s the foundation of a well-structured retirement plan that can turn those dreams into reality. Starting the planning journey early allows one to strategize, taking advantage of the financial perks Maine offers, and ensuring a seamless transition into this rewarding phase of life.

However, if Maine’s beauty has just now captured your heart and retirement looms closer, it’s heartening to know it’s never too late to chart a course. Every step taken in planning, whether begun decades or mere years in advance, paves the way to a fulfilling retirement in the splendor of the Pine Tree State.


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