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Best States for Veterans: Arkansas
Table of Contents
- Snapshot
- Why Veterans Choose Arkansas
- Arkansas by the Numbers
- Employment Outlook for Veterans
- Education Opportunities
- Veteran Benefits in Arkansas
- Healthcare & VA Resources
- Best Cities for Veterans
- Cost of Living
- Outdoor Recreation & Veteran Lifestyle
- Pros & Cons: Is Arkansas Right for You?
- Frequently Asked Questions.
Part of GI Jobs’ 50 States of Opportunity for Veterans Series
Using the Military Friendly® States Tool, this series explores what makes each state unique and why it may be the perfect place to begin your next mission.
Best States for Veterans: Arkansas
Snapshot
| Category | Arkansas |
|---|---|
| Overall Ranking | #18* |
| Best For | Affordable living, outdoor recreation, healthcare careers |
| Veteran Population | ~190,000 |
| State Income Tax | Yes |
| Military Retirement Tax | Fully exempt |
| Cost of Living | Well Below National Average |
| Major Military Installations | Little Rock Air Force Base, Camp Robinson |
| VA Medical Centers | Fayetteville, Little Rock |
| Military Friendly® Presence | Strong |
*Ranking based on the GIJobs Best States for Veterans methodology.
Why Veterans Choose Arkansas
Arkansas doesn’t always make national headlines, but for many veterans, that’s exactly its appeal. The Natural State combines one of the nation’s lowest costs of living with generous military retirement tax exemptions, growing employment opportunities, and a relaxed pace of life that attracts both transitioning service members and retirees.
Military retirees benefit from Arkansas’ full exemption of military retirement pay from state income taxes, while veterans entering the workforce find expanding opportunities in healthcare, logistics, manufacturing, aerospace, transportation, and government service. The state is also home to major employers like Walmart, J.B. Hunt, Tyson Foods, and numerous defense contractors supporting Little Rock Air Force Base.
Outdoor enthusiasts appreciate easy access to the Ozark Mountains, Buffalo National River, and thousands of acres of public lands for hiking, fishing, hunting, and camping. Combined with welcoming communities and a strong veteran population, Arkansas offers an affordable place to build a successful civilian life.
If you’re comparing relocation options, be sure to explore the Best States for Veterans guide.
Arkansas by the Numbers
| Category | Arkansas |
|---|---|
| Veteran Population | ~190,000 |
| Median Home Price | ~$250,000 |
| Median Rent | ~$1,050/month |
| Cost of Living Index | Well Below U.S. Average |
| Unemployment | Around National Average |
| State Income Tax | Yes |
| Military Retirement Tax | Exempt |
| Property Taxes | Among Lowest in U.S. |
| VA Medical Centers | 2 |
| Major Military Installations | 2 |
Employment Outlook for Veterans
Arkansas continues to diversify its economy while maintaining strength in industries that value military experience.
Veterans commonly transition into careers in:
- Healthcare
- Logistics & Supply Chain
- Aerospace
- Manufacturing
- Transportation
- Information Technology
- Public Safety
- Skilled Trades
- Government
Major veteran-friendly employers include:
- Walmart
- J.B. Hunt Transport Services
- Tyson Foods
- Dassault Falcon Jet
- Baptist Health
- Entergy Arkansas
- Arkansas Children’s Hospital
Veterans pursuing civilian careers should also explore Military Friendly® Employers, where many Arkansas companies actively recruit former service members.
Service members preparing for civilian employment can improve their transition by understanding the differences between a military resume and civilian resume.
Education Opportunities
Arkansas offers veterans affordable higher education and career training opportunities.
Military Friendly® institutions include:
- University of Arkansas
- Arkansas State University
- University of Central Arkansas
- Southern Arkansas University
Veterans using education benefits should compare the Yellow Ribbon Program and the Post-9/11 GI Bill before selecting a school.
Students looking for veteran-supportive campuses can browse Military Friendly® Schools to compare colleges recognized for serving military-connected students.
Veterans seeking a faster route into the workforce may also consider earning one of the best certifications for veterans in high-demand fields like cybersecurity, project management, or skilled trades.
Veteran Benefits in Arkansas
State Income Taxes
Arkansas taxes personal income but fully exempts military retirement pay.
Military Retirement
Military retirement income is completely tax-free in Arkansas.
Property Tax Benefits
Disabled veterans may qualify for property tax exemptions based on disability ratings.
Hunting & Fishing
Qualified disabled veterans may receive reduced-cost or complimentary licenses depending on eligibility.
State Parks & Recreation
Arkansas offers access to:
- Buffalo National River
- Hot Springs National Park
- Ozark National Forest
- Ouachita National Forest
- Devil’s Den State Park
- Mount Magazine State Park
Employment Services
The Arkansas Department of Workforce Services provides specialized veteran employment representatives, career counseling, apprenticeship assistance, and transition resources.
Healthcare & VA Resources
Veterans receive care through the Central Arkansas Veterans Healthcare System and the Veterans Health Care System of the Ozarks, along with multiple community outpatient clinics across the state.
Services include:
- Primary Care
- Specialty Care
- Mental Health
- Women’s Health
- Telehealth
- Caregiver Support
- PTSD Services
Arkansas continues expanding healthcare access for veterans living in rural communities through telehealth and community partnerships.
Best Cities for Veterans
Little Rock
Best for: Career opportunities
Pros
- Largest employment market
- VA Medical Center
- Government and healthcare jobs
Cons
- Moderate traffic
Fayetteville
Best for: Education & outdoor living
Pros
- University town
- Excellent healthcare
- Outdoor recreation
Cons
- Smaller defense sector
Bentonville
Best for: Corporate careers
Pros
- Walmart headquarters
- Fast-growing economy
- Excellent schools
Cons
- Rising housing prices
Conway
Best for: Families
Pros
- Affordable housing
- Strong education
- Easy access to Little Rock
Cons
- Smaller job market
Fort Smith
Best for: Manufacturing & logistics
Pros
- Affordable living
- Industrial employment
- Veteran-friendly community
Cons
- Slower population growth
Cost of Living
| Expense | Arkansas | U.S. Average |
|---|---|---|
| Housing | Lower | Average |
| Utilities | Lower | Average |
| Groceries | Lower | Average |
| Transportation | Lower | Average |
| Healthcare | Lower | Average |
Arkansas consistently ranks among the nation’s most affordable states. Lower housing prices, inexpensive utilities, and modest property taxes allow many veterans to stretch retirement income or purchase larger homes than they could afford elsewhere.
Outdoor Recreation & Veteran Lifestyle
Known as “The Natural State,” Arkansas offers year-round recreation including:
- Hiking
- Mountain biking
- Fishing
- Kayaking
- Camping
- Hunting
- Boating
- Rock climbing
Popular destinations include Hot Springs National Park, Buffalo National River, the Ozarks, and numerous state parks.
For veterans seeking an active outdoor lifestyle without the crowds or high housing costs found elsewhere, Arkansas is an appealing choice.
Pros & Cons
Pros
✔ Very affordable cost of living
✔ Military retirement pay exempt from state taxes
✔ Excellent outdoor recreation
✔ Low property taxes
✔ Friendly communities
✔ Growing logistics and healthcare industries
Cons
✖ Fewer large metropolitan job markets
✖ Lower average wages than some neighboring states
✖ Limited public transportation
✖ Summer heat and humidity
Is Arkansas Right for You?
Arkansas is an excellent fit for veterans who value affordability, natural beauty, and a slower pace of life. Its tax-friendly treatment of military retirement pay, growing employment opportunities, and access to outdoor recreation make it especially attractive to military retirees, families, and veterans seeking a lower cost of living.
Those looking for major tech hubs or large defense employment markets may prefer states like Texas or Virginia. However, veterans focused on quality of life, financial stability, and community will find Arkansas offers exceptional value.
Frequently Asked Questions
Is Arkansas a good state for veterans?
Yes. Arkansas offers affordable living, tax-free military retirement income, expanding job opportunities, and quality VA healthcare.
Does Arkansas tax military retirement pay?
No. Military retirement income is fully exempt from Arkansas state income tax.
What are the best cities in Arkansas for veterans?
Little Rock, Bentonville, Fayetteville, Conway, and Fort Smith each provide unique advantages depending on career goals and lifestyle.
Does Arkansas have good VA healthcare?
Yes. Veterans have access to VA Medical Centers in Little Rock and Fayetteville, along with community outpatient clinics throughout the state.
Is Arkansas affordable for veterans?
Yes. Arkansas is consistently one of the most affordable states in America, with below-average housing costs, utilities, and property taxes.
Looking for the complete rankings?
Looking for the complete rankings? Visit our Best States for Veterans guide.
