9 of the most tax-friendly states for retirees who want to save money
- Not all states are equally friendly to retirees. From sales tax to property tax, paying taxes can be a big expense to retired people living on a fixed income in the US.
- Data from Kiplinger shows that nine states stand out when it comes to tax affordability, based on low income, property, sales, and estate taxes.
- Wyoming, Nevada, and Delaware top the list of the best states for retirement taxes thanks to low property and income taxes.
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Personal finance site Kiplinger created a list of the most tax-friendly states in the US for retirees, and considered factors like average property tax paid, income tax rate, whether or not the state had an estate or inheritance tax, and the sales tax across all 50 states. Wyoming came out on top, offering the most affordable taxes all around.
None of the states on the list tax Social Security income. Three states on the list - Wyoming, Nevada, and Florida - don't have any income tax.
While it's not possible to change federal taxes, these tax-friendly states could help retirees save on state taxes. Here are the nine best states for retirees wanting to save on their tax bills, along with each state's income and property tax rates.