4. HawaiiÂ
If this is not one of the nicest places, then I don’t know where else it could be! Hawaii is another tax-friendly state where the median property tax rate is $281 per $100,000 of assessed home value. This could be heaven for retirees. It also exempts Social Security benefits.
Good to know: If you have other sources of income, Hawaii will tax that income at rates up to 11%.
A downside here is that property values are pretty high, and sales taxes are pretty low in this state. Another thing to keep in mind is that the purchase of clothing and groceries is taxed.
59 thoughts on “Curious About Big Taxes? Here’s How 8 States Tax Retirees”
You need to swap out Alabama for Virginia. Virginia taxes literally everything ata a high rate. I pay almost much personal property tax for my 4 year old truck as I do for my house.
I can’t quite understand your comment, but I think that you are saying that the taxes in Va are high & I agree! I get so upset every time I have to pay taxes on my vehicle every year!!!
I live in New York. Why do you have pay taxes on your vehicle?
Same here, I lived in NYC and never paid any property taxes…Moved to CT and was amazed, as I did not KNOW I would have to pay taxes on EVERYTHIHG…big mistake moving to CT, except that it is much more green and friendly, everything else kills you.
I’m in Jersey. No taxes on clothes but there is on food!!! WTF!
Thank you for the information. I read some where that VA was a cheap place to retire. Apparently that is wrong.
Drive an old jalopy if you live in Virginia…Gov Gilmore tried to get rid of the vehicle tax 30 years ago but failed. VA is less safe now with former Gov Northam getting rid of capital punishment in Va and higher crime in the cities. Gov Northam also wrecked Richmond history with removal of the historic monuments on Monument Boulevard and the Robert E. Lee monument. Charlottesville and Lexington went to the dogs with historic monument desecration there. Pres. Trump should withhold federal aid to VA until ALL the historic monuments are put back up just as they were built at their original locations.
We need to have high taxes so we can support our wonderful new residents! We should NOT tax our visitors but give them free housing, food, clothing, cars and anything else we can. Oh, gas and $1000 per month spending money.
What about Texas? Sure, property taxes are a little high; however, if you are a 100% disabled vet you pay 0 property tax on your primary residence. There is no state income tax, they don’t tax military retired pay or your vehicle when you register it every year like some states. TX is also one of the most veteran-friendly states with many discounts for vets. Also some of the best laws for gun owners.
James
I agree pretty much everything that you said is. The reason why I moved back to texas.i lived in Florida for 20 years and couldn’t Wait to get back to the great state of Texas.! I consider that alone a win-win situation.
Plus if you have USAA insurance.
You can get a great discount.
I like Texas but don’t like the high sales tax on everything including groceries, non prescription medicines, clothing, shoes, other essentials. No state income tax is a good thing
THE U.S. GOVERMENT TAXES NEARLY ALL OF MY SOCIAL SECURITY AND THAT IS A CRIME AND A SHME! ITSBLOODMONEY. HOW DARE THEY!! I HATE PAYING TAXES ON SOCIAL SECURITY!!!
Yes agree my opinion, in general all our income tax rates state or federal are too high especially capitol gains tax. California is ridicoulous on capitol gains and state income taxation.
Totally left out Rhode Island. State taxes social security, and property taxes are sky high. Besides that , Providence, the capital claims it’s a sanctuary city while crime within it us off the charts. The charm of RI , with the old mansions of Newport, Brown U, and the seashore is long gone. BTW, Healthcare is considered… an industry.
You have Joe Biden to think for that, research it,I’m with you I think it’s a shame
I agree I wish I could change that for you and me!
I agree – we pay taxes on SS when we are working – at least in Pa. Why should we pay a 2nd time. Plus hate to say this but the left wants to give our money away to illegals. another ridiculous issue
well you can blame the brain dead Bill Clinton for that as hes the one that signed it into law tax on a persons social security the obra act was passed and the scumbag AL GORE was the deciding vote and of course he passed it to tax our social security
No. It was Ronald Reagan and Alan Greenspan who taxed social security April 20, 1983. They started taking money out of social security fund and putting it in the general fund.
sign into law but Biden was at the bottom moving this bill to Clinton to sign
You’re half right. in 1983 senator Joe Biden pushed a bill to tax social security at 50%. It had never been taxed before. The democrats told Ronald Reagan that if he doesn’t sign the bill he won’t get any money for the military. The military equipment was wore out from Vietnam. The military needed money desperately. He didn’t like it but Reagan loved the military and signed the bill. I was in the army at that time so I know first-hand how bad the equipment was. In 1993, once again Senator Joe Biden pushed a bill to raise Social Security taxes to 85%. And like you stated Clinton was a Democrat and signed the bill.
You are mistaken
Your boy Ronald Regan did that
The biggest mental midget of all time was Ronald Reagan. He was responsible for the WEP and GPO which ROBBED 3 million retirees of their FULLY E A R N E D social security benefits. Imagine having a government job that did not contribute to social security but received a pension. Then you had secondary income necessitated by the poorly compensated government position. You contributed fully to Social Security on that second job. You completed your required hours and your Social Security benefit was to be based upon the amount contributed to SOCIAL SECURITY AND YOUR AGE. NOT SO FAST ! GOOD OLE ‘RONNIE’ DECIDED THAT THERE MIGHT BE ‘DOUBLE DIPPING’ AND CREATED THE WEP AND GPO. All of this while he was collecting SOCIAL SECURITY; HIS SCREEN ACTORS’ GUILD PERSION; THE STATE OF CALIFORNIA PENSION; THE RESIDUALS FROM HIS ACTING CAREER SPEAKING ENGAGEMENTS (UP TO 1,000,000 PER SPEECH AND ROYALTIES FROM HIS AUTOBIOGRAPHY AND OTHER WRITINGS. Once again, double standards; one for the rich/ influential and one for us peons. WHO DID HE THINK HE WAS; DONALD TRUMP?
As far as Bill Clinton is concerned, if the sex was only oral, it wasn’t immoral; if Monica didn’t spit, the Senate had to acquit; if the dress was a mess, ol’ Bill had to confess; Bill lied to the masses to save a few as ses, and so forth.
I agree. The thing is you’ve already been taxed on that income.
Talk with Senator Bernie Sanders as well as a couple of House Members. They agree with you.
It’s called double taxation and I hope President Trump will take care of this injustice.
The thing is you’ve already been taxed on that income. You are correct it’s a shame!
I find Delaware FAR more affordable than Connecticut.
Yes, and the beaches are a lot more welcoming! Not a lot of bikinis on the sound! 😉
I’m a 80% service connected disabled army veteran. In Illinois I pay no property taxes.
What’s texas property taxes for me ?
Delaware, the home of tax-free shopping. No sales tax. DE has a lodging tax. Home of many corporations and DuPont. The last DuPont family governor managed the state well.
I wish we didn’t have to pay property tax after 65 in Alabama. We are 82 and yes we are paying property tax. It’s not near as high as most states but it’s misinformation that we don’t pay property tax after 65.
Some states are putting a freeze on the property taxes. We are not there yet but Keep checking
Still have the Winn-Dixie grocery stores in Alabama? High sales tax on everything in AL…
IF you can afford a house in Colorado!!! We had to move out of Colorado because we are not millionaires!
Thought you might have been smoked out of Colorado with all the pot activities there….
Florida is a low tax state. We don’t have income tax. We have four main V.A. hospitals and dozens of V.A. out clinics not to menschen Military Basses. A veteran with 100% disability gets a free auto tag free hunting and fishing license. free entrance to state & Federal parks. No taxes on your house except fire, school and trash pickup. And the sun, bugs, rain, sunburns, tans, and the tourist crowds are also free. lol (please do not feed our gators, they are already friendly.)
Thanks for the Military info. I’m 60 percent disabled now. Voice recognition. Not far from Tennessee
Love the gators,didn’t see any until I went the gator farm.
Hello Steve,
Did you work at FMC Indy
Dianna
Same mistake here, I lived in NYC for 25 years and my taxes were very low comparing to where I moved to Connecticut. I am amazed how expensive is CT, they tax you on everything that moves, inclusive a simple cheap ONE-motorcycle trailer that has a license plate…We cannot wait to get out of CT in the next for years or so, thus, we are also looking to be able to live a better life after retirement, and we are even thinking of going OVERSEAS…sad to have to leave the USA because of this nonsense taxation. I HOPE WE will find a better State where we can retire…4 years to find that out.
Luigi, you could move to PA but avoid the cities and counties near cities because of the high school tax in particular. Move to rural areas where you may get away with property tax of $1800 or less including school and real estate taxes for a modest home. Sales tax is 6% and excludes groceries, clothing, shoes, and some other essentials. No auto emission tests in certain rural counties; more exempt counties this year!
Florida is looking to eliminate OWNER OCCUPIED PROPERTY TAX AND REPLACING IT WITH A SALES TAX. Much fairer.
Don’t move to Illinois to avoid taxes. State has been controlled by democrats for at least the last 20 years or more. Everything is taxed, dead or alive, moving or not moving, eatable or not eatable and the state wants more. Any retail sale is charge some kind of tax.
Please be careful moving to Idaho. We have a lot of retirees coming here, and not only do we have a severe doctor shortage, if you ever have to use public money, Medicaid program you already paid into through income tax, they have asset forfeiture and will auction off your house when you pass away. It’s cruel along with the high property tax and sales and food taxes.
Thank you. Interesting post
Thank you. Interesting
The glaring omission of California and New York renders this list suspect, if not useless.
I live in NC and we are required to pay personal property taxes on our vehicles before we can renew the license plate. We pay taxes at the DMV. If we are 1 day late renewing the license plate we get charged a late penalty of $15 .
Is there any tax breaks for me with a more of a disease on total disability. The disease is stiff person syndrome, which is the same thing. Céline Dion has his pain 24 seven.
I am drawing 3 disability checks, one military, one social security and one civil servant. I live in a 3-bedroom mobile home I bought last year. I buy a new mobile home every 4 years and sell my old one. I live 35 miles from a major city that has a military base. I shop on base for my food, beer, wine and liquor. I have access to many younger ladies that have husbands serving overseas so I am quite satisfied with my situation.
You really missed out when you did not talk about Mississippi. No state income tax on any retirement income including Social Security and 401 K and regular IRA distributions. Exemptions on property taxes if totally disabled. Property taxes on vehicle depend on its value, I own 4 vehicles and pay a total of around $325 for license plates for them all and it goes down each year for tax and license combined. Trailers are even cheaper to Keep plates on a camper, utility trailer and 2 boat trailers cost me about $150 dollars registration per year total. Gas is very close to being the least expensive in the nation. Property in inexpensive, and cost of food is lower than most states.
I am an old guy and a bit grumpy. Before I grew a brain, I lived in and loved California. I “happily” paid all my taxes and thought how smart the legislatures were who were managing the state and our money. Reluctantly, I moved to Oregon and then to Washington State. That is when I started to grow a brain. I looked around at the infrastructure in Oregon and the wonderful equipment they had to maintain the roads and building during the summer and winters. Lots of snow in the winter and flooding every simmer. Things started to change when the Democratic administration voted to sell the equipment and the soft on criminal voters started singing kumbaya. This transition from legislatures who care about the middle class to their worship of the almighty dollar and the Hollywood braindead actors started about the same time. I requested a transfer and relocated to Washington State about the same time our current Governor was elected. It was not long before he was in bed with the elite crowd in Oregon and Washington State started to look a lot like California. I still live in Washington State and my prayers are directed towards a Republican President fulfilling his promises to restore sanity to our Federal and local governments. I, like millions of other Americans, can deal with the rain, snow and high taxes but, we need a break from all the crime, both in our local governments and our Federal government. As an American citizen who is a 100% disabled combat veteran, I want to be proud of my President. I want to hold my head up high and wave the stars and strips as he passes by. I long to shout, “that’s what I fought for, it was worth it”. I have not felt that pride for too many years, certainly not during the last four.
NEW HAMPSHIRE! No sales tax so the property owners support the state. Stay away!
This site is a waste of time. The censors cut out perfectly legitimate comments!
Posts seem to disappear on here. Not worth writing them if they disappear.
Hmmmm, all blue states….
Any American drawing Social Security, Military Retirement, Post Office Retirement, etc… have lived in this country and turns (80) eighty should not pay no sales, property, state, city, gasoline, or any other taxes. NO TAXES AFTER (80) EIGHTY.