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Btw, I want to say again that I am bombarding this forum with my opinions and situations in connection with everything, no matter how trivial or tangential, because I want my number of Retirement forum posts to exceed NYC posts (since I don't have any more interest in discussing NYC)! Please bear with me; "only" 520 more posts, and then I'll lay off. I'll be so quiet after I achieve this goal that folks will ask about me in the thread about old posters who have passed away.
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
34,754 posts, read 58,140,793 times
Reputation: 46247
Quote:
Originally Posted by kavm
I agree that one needs to look at the overall tax burden. And, a simple web search is only a starting point. ... We are likely heading to a no income tax state but with high property taxes and a very creative capital gains tax disguised as excise tax that should be unconstitutional but isn't.
And that state has a solid history of their Supreme court overturning any voter initiatives that would erode tax revenues to the governances within that state.
ex. my Property tax was <$3 / day, and I planned retirement budget for 5-7% increases in fixed costs.
Been retired nearly 20 yrs, and my property taxes are now $46/ day on the same (but more worn out) property. No property changes or improvements, just increased assessments and levy.
That messes with your retirement budget, as did Health Insurance at a similar increase. (no Health Care required, thankfully, that's an extra charge. )
All kind of things to consider and all kinds of gotcha's waiting to pounce on the best laid plan.
Have a Plan B, C, D and be ready to pounce on those options.
The highest SS tax in the USA would not be a fraction of the additional Property Tax I have been assessed (just because they can.) No income tax states tend to lose their luster when you have no income .
There is surely an AI version of; Here is my income sources and lifestyle (spending).
What is my best location (taxwise) for various stages of my life?
Just guessing that would be:
1) Lowest college costs for best paying education (College years)
2) No income tax state with high wages and reasonable CoL (while working / in accumulation)
3) LCOL state w/ recreation access (even distributed taxes) during retirement transition / travel / exploring
4) Low estate tax, low property tax during retirement to EoL (Lower COL for assisted care and medical needs)
#3 and 4 will probably exclude the left coast states.
But... we do have a very low cost public library sale once / month. Fill a grocery bag for $1. Bunches of travel books (I have a lot). Hopefully those can all be condensed to a VR travel experience before I go blind.
And that state has a solid history of their Supreme court overturning any voter initiatives that would erode tax revenues to the governances within that state.
ex. my Property tax was <$3 / day, and I planned retirement budget for 5-7% increases in fixed costs.
Been retired nearly 20 yrs, and my property taxes are now $46/ day on the same (but more worn out) property. No property changes or improvements, just increased assessments and levy.
That messes with your retirement budget, as did Health Insurance at a similar increase. (no Health Care required, thankfully, that's an extra charge. )
All kind of things to consider and all kinds of gotcha's waiting to pounce on the best laid plan.
Have a Plan B, C, D and be ready to pounce on those options.
The highest SS tax in the USA would not be a fraction of the additional Property Tax I have been assessed (just because they can.) No income tax states tend to lose their luster when you have no income .
There is surely an AI version of; Here is my income sources and lifestyle (spending).
What is my best location (taxwise) for various stages of my life?
Just guessing that would be:
1) Lowest college costs for best paying education (College years)
2) No income tax state with high wages and reasonable CoL (while working / in accumulation)
3) LCOL state w/ recreation access (even distributed taxes) during retirement transition / travel / exploring
4) Low estate tax, low property tax during retirement to EoL (Lower COL for assisted care and medical needs)
#3 and 4 will probably exclude the left coast states.
But... we do have a very low cost public library sale once / month. Fill a grocery bag for $1. Bunches of travel books (I have a lot). Hopefully those can all be condensed to a VR travel experience before I go blind.
Thank you! I know where you are coming from. Everything in life is a compromise and we have an idea of what we are signing up for. At the same time, we don't really want to run our lives to simply minimize taxes/costs. There are plenty of low-cost/tax states I'd not be caught dead in.
We are getting a bit far from Social Security: Does Your State Tax It? If not, what State do you live in?
This seems to have degenerated into organizing elnrgby's life, book and condo situation... Seems to me she is rather organized and knows exactly what she is doing and not doing.
Minnesota added a new law last year which expanded options to subtract SS income.
Old method was to calculate an Alternative Minimum Tax to calculate the SS Income deduction.
The new option - the Simplified Method - allows couples filing jointly and earning under $100k AGI and single or head-of-household earning under $78k AGI to subtract all taxable SS benefits from that amount (there is a phase out above each threshold by 10% for each $4k above that); married couples filing separately are up to $50k AGI each with the phase out by 10% for each $2k above that.
Taxpayers may use either method.
Last edited by WoodburyWoody; 09-25-2023 at 02:55 PM..
Btw, I want to say again that I am bombarding this forum with my opinions and situations in connection with everything, no matter how trivial or tangential, because I want my number of Retirement forum posts to exceed NYC posts (since I don't have any more interest in discussing NYC)! Please bear with me; "only" 520 more posts, and then I'll lay off. I'll be so quiet after I achieve this goal that folks will ask about me in the thread about old posters who have passed away.
Btw, I want to say again that I am bombarding this forum with my opinions and situations in connection with everything, no matter how trivial or tangential, because I want my number of Retirement forum posts to exceed NYC posts (since I don't have any more interest in discussing NYC)! Please bear with me; "only" 520 more posts, and then I'll lay off. I'll be so quiet after I achieve this goal that folks will ask about me in the thread about old posters who have passed away.
Why do you care about this post count? Not only do I not know how to find out the post count by forum, I am not even interested in that trivia. In any case, we should be striving for contributing valuable, relevant and empathetic content (which you clearly do) rather than a post count. I do see some who post incessantly without a lot of substance and it gets old quickly…
PA doesn't tax SS and neither does the city of Philadelphia (school tax).
The total tax owed at age 70 can be significantly higher based on when one takes SS (assuming other income is interest income). Assume the SS taken age 62 is invested to yield the equivalent income through earned interest. I estimate I will get $57K from SS at age 70, three years from now. I estimate I would get $30K from SS at age 70 if I had started drawing it at age 62 (accounting for applied COLAs).
Income at age 70 if take SS at 70 (3 years from now): $57K from SS plus $10K in interest income ->
Fed tax due: $363. State tax due (flat 3%): $300. City tax due (flat 3.7%): $370.
Income at age 70 if took SS at 62: $30K from SS plus $37K in interest income ->
Fed tax due: $4885. State tax due: $1110. City tax due: $1369.
Total Tax Due -> SS started at age 70: $1037. SS started at age 62: $7364.
Last edited by mitchmiller9; 09-25-2023 at 10:06 PM..
PA doesn't tax SS and neither does the city of Philadelphia (school tax).
The total tax owed at age 70 can be significantly higher based on when one takes SS (assuming other income is interest income). Assume the SS taken age 62 is invested to yield the equivalent income through earned interest. I estimate I will get $57K from SS at age 70, three years from now. I estimate I would get $30K from SS at age 70 if I had started drawing it at age 62 (accounting for applied COLAs).
Income at age 70 if take SS at 70 (3 years from now): $57K from SS plus $10K in interest income ->
Fed tax due: $363. State tax due (flat 3%): $300. City tax due (flat 3.7%): $370.
Income at age 70 if took SS at 62: $30K from SS plus $37K in interest income ->
Fed tax due: $4885. State tax due: $1110. City tax due: $1369.
Total Tax Due -> SS started at age 70: $1037. SS started at age 62: $7364.
pa of i remember is a bit backwards in they have no deduction for 401k money or ira money . its taxed going in and not taxed coming out
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Maybe a little cheap 
Like a # 
