Where You Live Matters When You Retire

You’ve worked hard all your life, and now you’re soon to retire. If you haven’t considered moving as part of your retirement plant, it might be something worth considering. Most states tax at least a portion of retirement income. What about your state? Will it take a bite out of your retirement income too? Your state might offer some tax breaks, but those breaks usually have limitations based on your age and/or income. However, Retirees can save a lot of money in states that completely exempt the most common types of retirement income.

Here’s what you can expect when choosing to call Mississippi your home after retirement:

Retirement Income–If you’re at least 59 years old, ALL forms of retirement income (IRA, 401k, pensions, social security, and withdrawals) are tax exempt. Don’t worry about inheritance and estate taxes either. The state of Mississippi doesn’t impose those.

Income Tax Range: For the 2020 tax year, Mississippi’s lowest tax rate is 3% (on taxable income from $3,001 to $5,000) and its top rate is 5% (on taxable income of more than $10,000). Note, the 3% rate is gradually being phased out. Starting in 2022, the lowest rate will be 4%, which will be applied to taxable income from $5,001 to $10,000.

We would LOVE to have you on the MS Gulf Coast. If you need help making that move, Give me a call. I will be happy to show you around and assist you in finding the right home for you.

If you would like to learn more about retirement taxes in Mississippi, additional details can be found at: https://smartasset.com/retirement/mississippi-retirement-taxes.