Wyoming
If there is one retirement-friendly state that many do not seem to take into consideration, it has got to be Wyoming. Considered one of the most tax-friendly states, Wyoming is not going to touch your retirement distributions, and any other income you have will also not be taxed either. The state does not have an income tax, so any retirement income you are going to have is not going to be touched by the taxman.
When it comes to Social Security benefits, they will not be taxed, as will any withdrawals you may be made from a retirement account of any kind that you may have. If you have a public or private pension, the income that you will be getting from those will also not be taxed. Any other wages you will make as a retiree will be taxed at a normal rate like the rest of the wages in the state, with the marginal state tax being 0%!
To make matters better, the sales and property taxes in Wyoming are among the lowest in the nation, so you will be able to buy your home here with minimal added taxes. Besides the no-tax on retirement distributions, there are a lot of other reasons why you can choose Wyoming when it comes to the tax situation, as you will be able to make the most of your income!
1 thought on “States That WON’T Tax Retirement Distributions: 4 Best Retirement States”
It would benefit my husband and myself to live elsewhere (we are in NJ) however have no desire to leave our family.