The three top states in the US for relocating retirees are New Mexico, Florida and Arizona and currently the top three states with residents fleeing their homes are NJ, Maine and Connecticut, all in the order as listed. Retiring residents are fleeing northern states for many reasons, but chief among them is the need to stretch their savings and their Social Security checks. It is always wise to know before you go what the true affordability factor is. Florida DOES NOT have a personal income tax, an estate tax, or an inheritance tax, although Florida does impose sales and property taxes. Florida’s overall tax burden has consistently ranked among the nation’s lowest for decades, according to the Tax Foundation, a non-profit and non-partisan educational and research organization.
PROPERTY TAX EXEMPTIONS:
Since Solivita is a 55+ Community, your property taxes are already substantially reduced, but in addition Florida offers several property tax exemptions that can help further reduce your tax bill and as full time residents you will be eligible for them all. They include a homestead exemption of up to $25,000 for an individual, or $50,000 for married taxpayers. Exemptions are also available for senior citizens over age 65 and the disabled.
In addition, veterans can qualify for four different types of exemptions, and widows and widowers are entitled to a $500 exemption provided they haven’t remarried and weren’t divorced at the time of the ex-spouse’s death. Homeowners who are legally blind are also entitled to a $500 exemption.
FLORIDA ESTATE AND INHERITANCE TAXES:
There are no “death taxes” in Florida, either on the value of an estate or on gifts received by beneficiaries. The Florida estate tax was repealed effective December 31, 2004 and it cannot be reinstated. The state’s constitution prohibits it.
Reduced property, estate and inheritance taxes are a prime reason that Florida is a good state for retirees as these reduced costs allow you to stretch your retirement savings and retirement income; while providing benefits for your heirs.
Lee and I were NJ residents and from experience can state that life in the Florida sunshine is not only a better life, but a good lifestyle, with a reduced cost of living. When we moved to Florida, we agreed to spend our disposable cash on fun, travel, food and life instead of high property taxes and state income taxes.