If this is the year you’ve decided to make a move and downsize or relocate to a less costly city or to a warmer climate, you’ve probably already thought about the big considerations — health care access, climate, a city’s amenities, and housing costs.
But don’t forget to factor in taxes.
After all, retirement income, property, and inheritance and estate taxes can chip away at your nest egg. If you land in a state with high taxes, your financial quality of life could take a hit.
Kiplinger’s (https://bit.ly/2RCXqnj) has done all the research for you by providing tax profiles of each state and categorizing them as most and least tax-friendly.
It also breaks down the data into categories like states with the highest top income tax rate, states with estate and/or inheritance taxes, those with no sales tax, and those that do and don’t tax Social Security.
In addition, you can use a tool to pick several states to make apples-to-apples comparisons of those that you’re considering.
Some of the least tax-friendly are Indiana, Minnesota, Utah, and Vermont.
Among the friendliest are Florida, South Dakota, New Hampshire, Nevada, and Pennsylvania.