Retire in Idaho: Cost, Taxes & FIRE Number for 2026
Retiring in Idaho costs about $52,500 a year on average, earning a B retirement tax grade and a #18 healthcare ranking. Here's the full breakdown — cost, taxes, and how much you actually need saved.
What It Costs to Retire in Idaho
The average retiree in Idaho spends about $52,500 a year ($4,375/month), based on BLS spending data for households 65 and older, adjusted for Idaho's cost of living. That works out to a standard retirement number of $1,312,500 under the 4% rule, or $1.5M for early retirees using the more conservative 3.5% FIRE withdrawal rate.
How the numbers below are calculated:
Annual cost = BLS Consumer Expenditure Survey 2024 (65+ household spending) × Idaho's cost-of-living index (MERIC Q3 2025).
Standard Retirement Number = Annual Cost ÷ 0.04 (4% rule, ~30-year horizon)
FIRE Number = Annual Cost ÷ 0.035 (3.5% rule, 40–50+ year horizon for early retirees)
Idaho earns a B retirement tax grade from Plootus Research and ranks #18 of 50 states for healthcare quality. Combined with an average annual salary of $56,820 for working residents (median $47,340), that gives a fuller picture of what building — and eventually spending down — a nest egg looks like here.
Idaho Retirement Snapshot
| Metric | Idaho |
|---|---|
| Average annual retirement cost | $52,500/yr |
| Average monthly retirement cost | $4,375/mo |
| Standard retirement number (4% rule) | $1,312,500 |
| FIRE number (3.5% rule) | $1.5M |
| Retirement tax grade | B |
| State income tax | 5.8% max |
| Social Security tax | No tax — fully exempt |
| Healthcare quality rank | #18 of 50 |
| FIRE-friendliness rating | ★★★★☆ |
| Average annual salary (working residents) | $56,820 |
| Median annual salary (working residents) | $47,340 |
Sources: BLS CES 2024 (65+); MERIC Q3 2025; BLS OEWS May 2024; Plootus Research 2026.
Your Idaho-Adjusted Retirement Number
Pre-filled with Idaho's average retirement spending — adjust for your own situation.
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How Idaho Compares to Nearby States
| State | Annual Cost | Retirement Number | Tax Grade | HC Rank |
|---|---|---|---|---|
| Idaho (this page) | $52,500 | $1,312,500 | B | #18 |
| Montana | $53,000 | $1,325,000 | C | #21 |
| Wyoming | $52,000 | $1,300,000 | A+ | #33 |
| Utah | $60,000 | $1,500,000 | C | #10 |
→ Run a full side-by-side comparison in the State Comparison Tool
How Idaho Treats Retirees on Taxes and Healthcare
Idaho carries a B retirement tax grade from Plootus Research — an above-average, generally tax-friendly state for retirees, with a Social Security exemption and a reasonable top income tax rate.
State Income Tax
Idaho's state income tax tops out at 5.8% max. Check current brackets and any retirement-income deductions before you file.
Social Security Tax
Idaho does not tax Social Security benefits — a meaningful advantage for retirees who rely on Social Security as a primary income source.
Idaho ranks #18 nationally for healthcare quality — solidly in the upper tier, worth researching specific providers in your target city or region within the state.
Frequently Asked Questions
Idaho earns a B retirement tax grade and ranks #18 of 50 for healthcare quality. Average annual retirement spending runs about $52,500, requiring roughly $1,312,500 in savings under the standard 4% withdrawal rule. Whether it's a good fit depends on your priorities — Idaho's state income tax is 5.8% max, and it does not tax Social Security.
Idaho does not tax Social Security benefits. Confirm current thresholds and exemptions with a tax professional, since rules change year to year.
Using the standard 4% rule, retiring in Idaho on its average annual cost of $52,500 requires approximately $1,312,500 in savings. That figure excludes Social Security, which most retirees layer on top to reduce the amount they need from their own portfolio.
At a 3.5% safe withdrawal rate — the more conservative rate recommended for early retirees facing a 40–50+ year horizon — Idaho's FIRE number is approximately $1.5M, based on its $52,500/year average cost. Early retirees should also budget separately for healthcare before Medicare eligibility at 65.
- Bureau of Labor Statistics, Consumer Expenditure Survey 2024 (65+ age group)
- Missouri Economic Research and Information Center (MERIC), Cost of Living Index Q3 2025
- Bureau of Labor Statistics, Occupational Employment and Wage Statistics (OEWS) May 2024
- Kiplinger, Retirement Taxes 2026; WalletHub Best States to Retire 2026
- Plootus Research 2026 (tax grades, healthcare rank, FIRE ratings)
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