Warm States that Won’t Take Your Retirement Money

Home in Scottsdale, Arizona

The cold can be punishing to old bones, but a harsher punishment is the state taking away your hard-earned money. Thankfully, a few states let you escape both the cold and harsh taxation. You can live your life comfortably and in style — no harsh winter pangs and no taxman taking a slice from your savings.

Create a Grand Future in Arizona

Arizona isn’t just for winters; more than 300,000 retirees flock to Arizona during the cold months, and many of them have decided to stay. Close to 40 percent of new Arizona residents are retirees, and that number is rising every year. The weather is warm and dry, with very little humidity. Because of the relatively dry air, instances of flu outbreaks are quite rare, and the heat remains quite tolerable. Housing is inexpensive, with prices lower than 20-30 percent of the median housing cost in the USA. Houses in Phoenix might cost a bit more compared to the rest of the state, but prices are still below that of the average market. When it comes to housing specifically for seniors and retirees, Arizona has over 100 communities designed for independent and assisted living. Arizona does not tax your Social Security benefits, and it has one of the lowest income tax rates in the nation.

Turn Up the Heat in Miami

Miami, Florida, USA tropical downtown skyline

Florida is one of the best places for senior-centric healthcare in the nation. The majority of residents in Florida are seniors and establishments and institutions have adjusted to cater to their needs specifically. With over 300 hospitals and twice the number of clinics, you won’t be a stone’s throw away from help in case of any emergencies. Florida will not tax your income or charge you or your family with exorbitant estate and inheritance taxes. Most of your investments will be safe, and you get to keep all of your 401K. When you decide to purchase a house, you won’t be hit with a property tax as long as your home doesn’t cost over $250,000. You still need to pay taxes on healthcare, transportation, and other state taxes, but seniors are charged with very low rates. The weather is warm in Florida, Miami’s team isn’t called Heat for nothing. However, the nights get hotter as the parties get started, and there is no lack of parties in Florida.

Live Big in Texas

It’s a common saying that everything is bigger in Texas except the taxes, and it’s quite true. You’ll pay zero taxes on your Social Security benefits, 401K withdrawals, and pension. The state tax is zero, but you’ll still need to pay income tax if you’re still working. You won’t need to pay an estate tax, and your kids won’t need to pay an inheritance tax once you’re gone. You won’t have problems mingling in Texas as Texans are known to be one of the friendliest people in the nation. Texas is one of the most culturally diverse states in the country, and Texans are not racist. They love their freedom and their guns, and they will gladly fight for yours.

Warm weather, no taxes, a great house — these are the things that you dream about as you grow old, and they can become a reality if you choose to retire in the right state.