Retired in America

Your Guide to a Confident Retirement

  • Home
  • Personal finance
  • Retirement Life
  • Saving & Spending

10 Most Tax-Friendly States For Retired Taxpayers

May 31, 2021 · Retirement Life

8th Best: Arizona

The downside: The high temperatures might not be to everyone’s liking. But that’s pretty much everything that’s high. The Copper State’s average combined state and local sales tax rate is 8.4%, with no tax on groceries and prescription drugs.

Individuals in higher brackets, earning more than $250,000 (for single filers) and $500,000 (for joint filers) will be required to pay a new 3.5% surtax on their taxable income as of 2021.

Read also: Will Taxing the Rich Save Social Security? Experts Weigh in

Why it’s still a good place to move: There’s no income state tax on Social Security benefits and there’s also an exemption for income up to $2,500 from federal and Arizona government retirement plans.

The residents of Arizona face a state income tax below average, of 2.59% on taxable income of $27,272 or less for single filers or $54,544 for joint filers. Those in higher brackets face a state income of 4.5% for single filers who earn more than $163,362, or couples with combined income exceeding $327,263.

Property taxes don’t cause any major disruptions to one’s budget, with a median of $617 per $100,000 in home value. Not to mention senior homeowners with a low income are allowed to freeze property values for three years.

Pages: 1 2 3 4 5 6 7 8 9 10 11

Share this article

Facebook Twitter Pinterest LinkedIn Email

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search

Latest Posts

  • A senior woman looking thoughtfully at her phone in a bright, modern home office. 6 Social Security Scams You Need to Pay Attention to
  • A happy retired couple enjoying the sunset on a beautiful porch. 8 States to Retire For Less Than 45K a Year
  • A retired couple looking at a map on a sunny balcony overlooking a beautiful coastal town. 10 Countries to Retire Where $150K Is More Than Enough
  • A happy retiree working on a laptop on a sunny patio, symbolizing flexible part-time work. 20 Great Part-Time Jobs For Retirees
  • A senior couple smiling while looking at a tablet in a bright, modern kitchen. 5 Crucial Medicare Changes Coming Soon
  • A senior couple happily unpacking groceries in a bright, modern kitchen. 9 Ways to Shop at Costco Without a Membership
  • A happy retired couple stands on the porch of a beautiful, sunny home, symbolizing an affordable and joyful retirement. 10 Best Places to Retire That Won't Break the Bank
  • An older man confidently using a laptop in a sunlit home office, symbolizing digital security. 7 Common Passwords To Avoid
  • A retired couple looking out a window in their bright, downsized modern home. 11 Mistakes to Avoid When Downsizing Your Home
  • A retired couple smiling on a balcony overlooking a scenic coastal village at sunset. 12 Best Countries to Live Perfectly Well on Social Security

Newsletter

Get retirement planning tips, savings strategies, and lifestyle insights delivered to your inbox.

Related Articles

11 Online Courses For Seniors That Won’t Cost You A Dime

BBC Language There are many people that wished on learning a new language at the…

Read More →

12 Incredible Inventions That Are Beneficial for Seniors

Automatic Can Opener If we mentioned great tech to have in the kitchen, we have…

Read More →

10 Most Important Retirement Age Milestones You Need to Consider

Age 55 If you’re thinking of leaving the work field when you turn age 55…

Read More →

7 Key Social Security Benefits You Might Be Unaware Of

An older man relaxes in his library, reflecting on the financial security provided by survivor…

Read More →

5 Medicare Changes We Will Face in 2022

Telehealth isn’t going anywhere 2020 is surely the year everyone used telehealth, especially seniors. 60%…

Read More →
A happy retired couple enjoying a sunny afternoon on their patio, representing financial freedom.

8 Types of Retirement Income That Are Exempt From Taxes

Discover 8 effective retirement tax strategies to generate tax-free retirement income, lower your overall tax…

Read More →

10 Crucial Things to Consider If You Plan on Retiring in the Next 5 Years

Is your company cutting costs? It can be hard to determine if your company will…

Read More →

18 Surprisingly Affordable Retirement Destinations You’ve Never Considered Before

Traverse City, Michigan If seasonal winters don’t scare you, then Traverse City might be just…

Read More →

28 Ways to Make Early Retirement Work for You

Get a Handle on Your Current Spending Most of us don’t really know where our…

Read More →
Retired in America

Your Guide to a Confident Retirement

Inedit Agency S.R.L.
Bucharest, Romania

contact@retiredinamerica.com

Trust & Legal

About Us

Editorial Policy

Advertiser Disclosure

Frequently Asked Questions

Contact Us

Disclaimer

Terms and Conditions

Privacy Policy

Subscribe

Unsubscribe

Categories

  • Personal finance
  • Retirement Life
  • Saving & Spending

© 2026 Retired in America. All rights reserved.