10 Tennessee Towns Where You Can Actually Live on Nothing but Social Security

Conventional financial wisdom tells us that one of the savviest ways to avoid wasting money in retirement is to live somewhere affordable. If you're relying solely on Social Security, that means you have to make it work with $2,071 for an individual or $3,208 for a couple per month.

Ideally, you can combine affordability with desirability by selecting a town with local color, attractive amenities, and the services and resources you rely on. With no state income tax and a relatively mild climate, we've set our sights on Tennessee for this mission.

For retirees on a fixed budget, lower housing costs can leave more room for groceries, transportation, health care, recreation, and other everyday expenses. Tennessee also offers a range of lifestyles, from larger cities and college towns to mountain communities and quieter small towns.

Editor's note: All rental data used in this article has been pulled from RentCafe, and all home price data is from Zillow. 

Average rent: $1,258

Average home price: $322,202

Located just an hour northwest of Nashville, Clarksville sits along the Cumberland River and is home to Austin Peay State University, which offers discounted courses for those over 65. The cost of living is 7% below the national average, and the college-town atmosphere adds to the appeal.

That combination can work well for retirees who want a smaller-city lifestyle without giving up convenient access to a major metro area. The university also provides educational and cultural opportunities, while the Cumberland River adds options for spending time outdoors. Clarksville's below-average cost of living can help retirees stretch a fixed monthly budget further.

Average rent: $1,316

Average home price: $319,178

Cleveland is just north of Georgia and offers a cost of living that's 14% below the national average. About 18% of its population is over 65, and the area includes a charming downtown, wineries, and easy access to the Cherokee National Forest.

That gives retirees options for both relaxed days around town and more active outings in nature. Proximity to the national forest can appeal to those who enjoy hiking, scenic drives, or simply spending time outdoors. With a sizable older population and a cost of living well below the national average, Cleveland may also suit retirees looking for community while stretching their savings.

Average rent: $1,175

Average home price: $314,091

Nicknamed the Golf Capital of Tennessee, Crossville has nine courses within 20 miles. Health care is accessible, and the cost of living is 12% below the national average. Its small population of just over 12,000 makes it a peaceful place to retire.

Golfers have an obvious reason to consider Crossville, but its smaller size may appeal just as much to retirees hoping to avoid the congestion of a larger city. Accessible health care is another important consideration for aging in place. Meanwhile, below-average living costs can leave more room in the budget for hobbies, dining, and other retirement activities.

Average rent: $681 (Apartments.com)

Average home price: $170,553

This small city on the Forked Deer River boasts low housing and health care costs, helping it come in at 10% below the national average for cost of living. Dyersburg has a laid-back vibe, Victorian architecture, and is just 80 miles from Memphis.

For retirees, that distance from Memphis offers a useful balance. Daily life can remain centered in a smaller, quieter community, while big-city amenities and entertainment are still within reach. Low housing costs are especially meaningful on a fixed income, while affordable health care can help keep another major retirement expense manageable.

Average rent: $1,440

Average home price: $300,337

This city of over 70,000 is nestled in the Appalachian Highlands and anchored by East Tennessee State University. Naturally, outdoor activities are king in this mountain town, as is exploring the cute downtown featuring independent businesses, giving Johnson City a vibe that is both small town and bustling.

The cost of living is 3% below the national average thanks to low utility, health care, and transportation costs. For retirees who want to stay active, the mountain setting can make outdoor recreation part of everyday life. The university and independent businesses provide additional options for community events, dining, and shopping. Lower utility, health care, and transportation costs can also help people living on a predictable retirement income keep recurring expenses under control.

Average rent: $1,250

Average home price: $259,315

Near the Virginia state line is Kingsport, a city of about 56,000, where almost a quarter of the population is 65 or older. The senior center offers abundant classes, activities, and programs. Additionally, the area offers ample outdoor recreation, which has made this city a bit of a retirement hub.

With a cost of living 9% below the national average and notably low housing and transportation costs, Kingsport is especially affordable.

Plus, the sizable older population may appeal to retirees who value opportunities to meet people in the same stage of life. Senior center programs provide built-in ways to socialize and stay active, while low housing and transportation costs can help keep a fixed retirement budget manageable.

Average rent: $550 (Apartments.com)

Average home price: $237,085

Only about 7,000 call this small mountain city home, but that can be a draw for those seeking a smaller town feel. Popular Lake Norris is nearby for outdoor enjoyment, and when you need big city amenities, Knoxville is only 40 miles away.

The cost of living is nearly 22% below the national average, and with the lowest-priced rent on this list, it's easy to see why.

For retirees who prioritize peace and access to nature, the combination of a small population and nearby lake can be particularly attractive. Knoxville's proximity also means residents can enjoy small-town living while remaining within reach of the shopping, entertainment, health care, and other services available in a larger city.

Average rent: $1,146

Average home price: $146,746

Easily the largest city on this list with nearly 640,000 residents, Memphis has it all. From Beale Street and Graceland to live music venues and world-famous BBQ, there is no shortage of things to ensure your retirement is an active one.

Health care is high-quality and abundant, as are services for older adults. And, despite its size, Memphis is affordable across the board, with a cost of living 11% below the national average.

That makes Memphis an option for retirees who don't want affordability to mean giving up big-city amenities. Residents have plenty of choices for dining, entertainment, shopping, and social activities, along with access to the health care and services that may become increasingly important later in retirement.

Average rent: $750 (Zillow)

Average home price: $218,206

It's not shocking to learn that this city of 10,000 does indeed have an Eiffel Tower that stands 70 feet high. It also has a good culinary scene, a commitment to the arts, and a welcoming community including many older adults.

Like Memphis, Paris is affordable, from housing and transportation to utilities and healthcare, 26% below the national average.

Those lower costs across several major spending categories can be valuable for retirees who need their savings to last. The city's modest population may appeal to people looking for a slower pace, while its dining and arts offerings provide ways to stay involved locally without traveling far for entertainment.

Average rent: $1,225

Average home price: $174,378

Just south of the Kentucky border and east of the border of Missouri is Union City, population around 11,000. More than 16% of the population of this town is made up of older adults, and services for them are abundant. The downtown provides shopping, recreation, and dining for entertainment.

Housing, utilities, and health care are especially affordable in Union City, with a cost of living 9% below the national average.

That affordability across several essential categories can make Union City easier to manage on a fixed retirement income. Its small population may also appeal to retirees who prefer a quieter community, while services geared toward older adults and downtown amenities provide convenient ways to stay active and connected.

A stress-free retirement starts with having your bills paid, but there's more to it than financial stability. You also need a like-minded community, adequate services, attractive amenities, and fun things to do — and you'll find those in each of these Tennessee cities.

The right destination ultimately depends on the retirement lifestyle you want. Comparing housing costs with recurring expenses such as utilities, transportation, and health care can help you determine which community best fits your retirement plan and long-term budget.

Tennessee's location also makes it a great place to live for road trip enthusiasts, as there are many tourist destinations located just a car ride away. That ensures you'll never run out of affordable things to do in your retirement.

This article is for informational purposes only and should not be considered investment advice.