Consider Taxes and Choose Your Retirement Location Carefully
Last week we discussed the best and worst states to retire in when it comes to taxes. So what kinds of factors actually play a role in coming up with those numbers? Choosing a place to call home when you retire is important and there are many factors that can play a role in where you end up. However, speaking strictly in regards to taxes, these are the top four taxes to consider when you’re ready to hang it up and retire.
Of course, your federal income tax will be the same wherever you end up so that is not relevant, but these four other taxes are:
- State income tax – most states charge income tax, but the rates vary. There are seven states, however, that don’t charge any state income tax, which could greatly reduce your retirement taxes.
- Social Security tax – the next tax to look at is the SS tax. There are 13 states that will tax your Social Security benefits; so avoiding these states will reduce your tax bill.
- Sales tax – all but five states have a sales tax but every state’s sales tax rate will differ, so that is another important tax to keep in mind when you retire.
- Property tax – your property tax will also affect your total tax bill so keep this tax in mind when choosing your final home destination, as well.
The bottom line is you should enjoy retirement, no matter where you live. So make sure you choose your location wisely and consider all of these different taxes and how each will affect your personal situation before you make your choice.
Keep Your Small Business’s Taxes Small as Well
Keep Your Small Business’s Taxes Small as Well Small Business Owner Do you run a small business? Are your hands always full, or perhaps overflowing? Small business owners never run out of things to do, which means that sometimes certain things get overlooked or put on the back burner, including taxes. Unfortunately, you can’t really…
Disney and the Not-So-Wonderful World of Taxes
Disneyland is often referred to as the happiest place on earth, but according to the Disney Company’s CEO, Robert Iger, the U.S. tax system and policies are putting a real damper on all the fun. According to a recent report from CNNMoney, Mr. Iger told the news outlet that the country’s corporate tax rates…
Will Taxing the Wealthy Really Fix Income Inequality?
If you pay attention to any political programs or follow any news about the economy and taxes, then you no doubt have heard plenty of debate regarding income inequality. The fact is there is a lot of income inequality in the country. Whether you side with the haves or the have-nots, the fact remains that…
Are High Taxes the Real Reason Why Wealthy People Move?
Despite several reports that many of the wealthiest people in America are fleeing to other more tax-friendly states, a new report suggests that might not be the case. Of course, there have been some recent cases where these exact circumstances have occurred so there is precedence in this matter. However, it appears that not…