State-by-State Guide to Taxes on Retirees

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last updated 15 December 2022

Are you thinking of spending your retirement years in a different state? At one time or another, pretty much everyone approaching retirement or early in retirement thinks about relocating. Some retirees want to be closer to family, while others are just looking for a better climate or a cheap place to live.

But whatever reason you may have for moving, it's helpful to pick a "tax-friendly" state for retirees. That's because the overall tax burden can vary widely from one state to another. In many cases, we're talking about thousands of dollars between State A and State B (and don't forget about local taxes, too).

The map below will help you compare taxes for retirees by state. Hover over and click on any state in the map to go to the relevant state page, which has detailed information about its income, sales, property, gasoline and other taxes that affect retirees. You can also click on the state-specific links near the bottom of this page to get the same information.

Disclaimer

States colored grey on this map are not necessarily "not tax-friendly." Those states are merely distinguished from the states colored in green, which are ranked as the most tax-friendly states for retirees.

See the full tax picture by state

Article sources

Tax map sources:
State government websites, American Petroleum Institute, U.S. Census Bureau, Tax Foundation, Federation of Tax Administrators, Campaign for Tobacco-Free Kids, and Distilled Spirits Council of the United States.

Our state tax map methodology

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Rocky Mengle was a Senior Tax Editor for Kiplinger from October 2018 to January 2023 with more than 20 years of experience covering federal and state tax developments. Before coming to Kiplinger, Rocky worked for Wolters Kluwer Tax & Accounting, and Kleinrock Publishing, where he provided breaking news and guidance for CPAs, tax attorneys, and other tax professionals. He has also been quoted as an expert by USA Today, Forbes, U.S. News & World Report, Reuters, Accounting Today, and other media outlets. Rocky holds a law degree from the University of Connecticut and a B.A. in History from Salisbury University.