Retirees are Welcome in South Carolina. This is a Tax-Friendly State
South Carolina has made headlines again as it was included in Kiplinger’s 10 Most Tax-Friendly States for Retirees. Kiplinger, a personal finance website, ranked South Carolina as 9th most tax-friendly state.
South Carolina has made headlines again as it was included in Kiplinger’s 10 Most Tax-Friendly States for Retirees. Kiplinger, a personal finance website, ranked South Carolina as 9th most tax-friendly state.
South Carolina taxes:
- State sales tax is 6%
- State Income Tax ranges from 3% to 7%
- Seniors 65 and over have an exemption for the first $15,000 of income.
- People up to age 65 can deduct up to $3000 of qualified pension income.
- Retired military can deduct up to $10,000 of their military benefits.
- Social security is not taxable.
- The state does not collect estate tax or inheritance tax.
- Senior homeowners are exempt from property tax on the first $50,000 of the market value of their home once they apply for the Homestead Exemption.
For retirees it is no brainer to move to a tax-friendly state. Taxes are among the top list of their expenses. But it is not only the low taxes that make moving to South Carolina a good choice. Apart from the low taxes, South Carolina’s cost of living is less expensive compared to other states. In Greenville, for example, a mid-sized metro in SC that consistently ranked one of the best places to live is considerably lower compared to Los Angeles CA, Boston MA, or Newark NJ. Cost of living in Greenville was 90.3, below the national average of 100, whereas in the comparable states the cost of living was 131.3, 142.8, and 129.4 respectively.
Real estate properties are also low. The median home price in South Carolina is $120,400 (source: Zillow). Greenville has a median home price of $131,900; Columbia has a median home price of $112,600; and Charleston has a median home price of $170,800. These cities are among the most popular places to live.
Cities in South Carolina are rich in culture and offer many attractive amenities, entertainment, events and activities that make the quality of life for retirees a whole lot better.
See all states that made it to Kiplinger’s 10 Most Tax-Friendly States for Retirees at http://www.kiplinger.com/slideshow/retirement/T006-S001-10-most-tax-friendly-states-for-retirees/index.html#hU6fPWwjL39Rep5S.99
