[harpoonalt]

My take? Life is short. If you can afford it, live wherever makes you the happiest.It's like traveling......you pick the nicest hotel you can afford. At a certain point in life you realize this isn't a dress rehearsal. splurge on good concert or football tickets. order the Filet once in a while. And spend your remaining days happy to be wherever you are. Quality of life should factor in somewhere. If it costs you a bit more to be happy then isn't it worth a few bucks? you're dead a long time.

[miruca]

"If you can afford it" would be the pivotal point to allow one to live or do as they want. Limited resources may require allocating in a different way... like choosing New Hampshire over Vermont.

Home insurance costs in Florida are very dependent on location - proximity to water is the main issue. Inland insurance can be significantly less.

I live in one of the top 10 friendly states for retirement (except for weather, although I LOVE the weather) - but have family in Vermont that would like me there. However - it would cost about 20 - 25 percent more to be a resident of Vermont. First to go would be a 10% COLA on my state retirement. Next would be the annual dividend paid to every resident of this state ($300-$1,200). Next loss - the Vermont state income tax on retirement funds (no income tax in my state). Add on a walloping property tax that is 8th highest in the nation. And... who would I hang with ... since a large percentage of Vermont retiree's seem to go someplace warmer and cheaper!

[harpoonalt]

Originally Posted by miruca

"If you can afford it" would be the pivotal point to allow one to live or do as they want. Limited resources may require allocating in a different way... like choosing New Hampshire over Vermont.

Home insurance costs in Florida are very dependent on location - proximity to water is the main issue. Inland insurance can be significantly less.

I live in one of the top 10 friendly states for retirement (except for weather, although I LOVE the weather) - but have family in Vermont that would like me there. However - it would cost about 20 - 25 percent more to be a resident of Vermont. First to go would be a 10% COLA on my state retirement. Next would be the annual dividend paid to every resident of this state ($300-$1,200). Next loss - the Vermont state income tax on retirement funds (no income tax in my state). Add on a walloping property tax that is 8th highest in the nation. And... who would I hang with ... since a large percentage of Vermont retiree's seem to go someplace warmer and cheaper!

I feel for those who want to stay and can't afford it and understand totally. The grass isn't always greener though. I know people who have gone south and have come back. It's not for everyone and you really need to investigate an area before moving. Sometimes the taxes are cheaper, but home and auto insurance is more or they have a yearly tax on your vehicle. They had warmer weather but humidity and insects. It's all in what makes YOU happy and finding that place. I'm 5 years from retirement and the wife and I are traveling and investigating possible retirement places. It's funny to talk to people in the places we go talk about retiring elsewhere from where they are. Must be people want a change in retirement. It may end up we stay in VT and go south for a few months. We'll see.
I'm intrigued by Alaska. Hope to visit some day and check it out.

[VT_born]

Originally Posted by harpoonalt

I feel for those who want to stay and can't afford it and understand totally. The grass isn't always greener though. I know people who have gone south and have come back. It's not for everyone and you really need to investigate an area before moving. Sometimes the taxes are cheaper, but home and auto insurance is more or they have a yearly tax on your vehicle. They had warmer weather but humidity and insects. It's all in what makes YOU happy and finding that place. I'm 5 years from retirement and the wife and I are traveling and investigating possible retirement places. It's funny to talk to people in the places we go talk about retiring elsewhere from where they are. Must be people want a change in retirement. It may end up we stay in VT and go south for a few months. We'll see.
I'm intrigued by Alaska. Hope to visit some day and check it out.

In the same situation Harpoon, and agree with all your points other than I'd never consider Alaska

[miruca]

Vt_Born ... you don't know what you are missing .

Harpoonalt - I have had a similar experience when investigating retirement possibilities...that many people look for a change in retirement, some go and a few come back, and some brave souls actually do move to Alaska for their retirement adventure. At this point, I've somewhat settled on the last of your stated options... going to stay here and just head out for a few months a couple of times a year. I am figuring spring and fall may be the Vermont months - your summers are too hot and the winters are too cold for me.

[xz2y]

Originally Posted by harpoonalt

The grass isn't always greener though. I know people who have gone south and have come back. It's not for everyone and you really need to investigate an area before moving. Sometimes the taxes are cheaper, but home and auto insurance is more or they have a yearly tax on your vehicle. They had warmer weather but humidity and insects. It's all in what makes YOU happy and finding that place.

Your statements are right on. Low income tax states may look good from one angle, and then people find out after moving about personal property taxes on cars, the cost of auto insurance, gasoline taxes, etc. Take Georgia, for example. The state has excellent breaks for retiree income taxes but is 1st in the nation on the cost of registering and owning a car (ins, fees, taxes, repairs, etc). http://www.bankrate.com/finance/auto...-by-state.aspx Not to mention the high heat, humidity and insects in GA. And the cost of any medicare supplemental insurance is part of the equation for many retirees, which varies dramatically state to state for the exact same policy. So, it's a total package. BTW, VT comes in at 35th on the cost of owning a car compared to other states.

After almost a year of research, I have discovered that one has to take into account a very wide array of costs related to living in retirement, well beyond income and sales taxes. Speaking of taxes, a lot of states are currently changing their tax structures and are not particularly friendly to lower income folks, which could include retirees, such as raising sales taxes and also increasing the items and services that the sales tax will apply to. It takes a lot of time to do a deeper analysis of costs on a state by state basis.

Take groceries, for example. Maine recently talked about adding groceries to taxable items (along with heating oil), but it didn't pass this time around. Kansas taxes groceries in the Kansas City area and suburbs as well as Lawrence at close to 9%. North Carolina taxes groceries, as high as 4.25% in Buncombe county (includes Asheville). That may be higher after new tax laws go into effect in 2014, though I don't know for sure on that one. But the grocery taxes aren't lower next year in NC, that's for sure. Several other states tax groceries and they are not considered "high income tax" states.

Some states, like Washington State, have a high sales tax (close to 10%), but it does not include groceries, and WA has no income tax. It all depends on your lifestyle and how you will spend your $$ in retirement and what the sources of your retirement income are.

[68vette]

What has been said by all has relevance. People can't just take the way tax structures are in place now, especially in Vermont. The state has a single payer health plan (separate from the ACA). This will cost at least 1.6 billion to pay for in new taxes. The 1.6 billion is over two and one half times what
Vermonters pay in income taxes, and nearly five times what the state collects in sales and use taxes. An the Shumlin administration stated it probably cost 3.5 billion, but the fed will most likely pick up the rest of the tab. If Washington continues to act like a bunch of babies, the state residents could pick up the whole tab. The tax increases will be much higher than they are now, best case scenario.

[xz2y]

Originally Posted by 68vette

What has been said by all has relevance. People can't just take the way tax structures are in place now, especially in Vermont. The state has a single payer health plan (separate from the ACA). This will cost at least 1.6 billion to pay for in new taxes. The 1.6 billion is over two and one half times what
Vermonters pay in income taxes, and nearly five times what the state collects in sales and use taxes. An the Shumlin administration stated it probably cost 3.5 billion, but the fed will most likely pick up the rest of the tab. If Washington continues to act like a bunch of babies, the state residents could pick up the whole tab. The tax increases will be much higher than they are now, best case scenario.

Yes, the debacle in DC is only making everything worse. Thanks for sharing the info on possible tax changes in VT.

[Aville239]

Hell, western MA is a better deal for retirees than VT. Pensions are not taxed and there are more services.

[xz2y]

Originally Posted by Aville239

Hell, western MA is a better deal for retirees than VT. Pensions are not taxed and there are more services.

Yeah, that's ironic. MA is known for high taxes, but when you do the math, it isn't as bad as other states.

What parts of W MA are retirees moving to?