Do Look for States That Offer Tax Breaks for Retirees
Once you retire you’re more than likely to live on a fixed income. That’s why it’s so important to consider how you’ll make your money last longer. We’ve spoken about how avoiding an income tax could be a good and a bad thing, and we’ve already touched on your cost of living, but now it’s time to think about tax breaks for retirees too.
Unsurprisingly, places with the best tax breaks will make a lot of ‘top 10’ lists and that’s because these tax benefits can go a long way.
The best way to determine whether or not it’s a good idea to move anywhere is to look at your finances from an after-tax perspective. It might sound like a hassle but try to consider your after-tax scenario for each state that you’ve thought about moving to.
This should offer you some perspective. How much wiggle room do you have? Will you be financially comfortable? Those are two questions that you cannot avoid answering as you’re going down your list.