Find the Tax Friendly State Perfect for You
Some people want to get away from high taxes like they want to get away from heavily snowy, cold winters. Both are valid reasons to start looking for a destination to retire or relocate and moving to a tax friendly state can set you up for a better financial situation—and may even have a better climate. You want your hard-earned money to go as far as it can—after all, you’ve worked toward your retirement your whole life. So, when you’re making the plans to retire or relocate, you want your income to fit in with your lifestyle needs, and your wants, too.The Benefits of Choosing a Tax Friendly State
If you’re making the move from a high tax state like New York, New Jersey or Maryland, looking into a tax friendly state is one of the best things you can do for you, your family and your wallet. Some of the benefits include:...
- • No tax on Social Security income, which can include 401(k)s, IRAs and pensions
- • Additional deductions on other forms of retirement income
- • Low sales, property, estate, inheritance and income tax rates
The goal is to get the most out of your savings and live to your highest capacity, and tax friendly states are a great place to do that. But don’t just move because taxes are low. Consider all other factors, too. Is it a place you want to live in? Does it have the attractions, dining, shopping, amenities, etc. that you want in your everyday life? You should also look for other potential taxes that aren’t as nice. While most friendly states are generous in most tax areas, some may have low income tax but a higher sales tax, for example.A Look at Some Tax Friendly States
Delaware - An enchanting destination full of gorgeous beaches, rich history and beautiful scenery, the charm of a peaceful seaside life is almost enough to make anyone want to move at the drop of a hat. But to sweeten the deal, Delaware is kind to your retirement income, offers low property tax and has no sales tax.
Pennsylvania - A state full of American history, an enticing geographical landscape and a climate that’ll make you want to spend most of your time outdoors, it’s also easy on your wallet. No tax on retirement incomes, a low sales tax and a lower-than-average cost of living make it an ideal place to retire or relocate to.
Florida - If the Sunshine State is your escape from frigid winters, you’ll be pleased to know it’s also tax friendly. You don’t have to worry about income tax, and your Social Security benefits and 401(k)s are untaxed at state levels.
North Carolina - Here you’ll enjoy a bit of southern charm, your choice of mountains or sea and shorter winters. But that’s not all. Lower taxes and lower cost of living make this state even more of a desirable destination.
These are only a few of the tax friendly states. You may find that you’re looking for a destination out west, or somewhere else in the south. Take a look at the list of other low-tax states below, and browse the 55+, resort, gated and other communities waiting to welcome you with open arms.
We’ve assembled a list of communities in low tax states to explore. Take some time and explore the true potential of your ideal lifestyle in the states that will treat you right.