Tennessee Retirement Guide
Tennessee is a state in America's Southeast that attracts many active adults over 55 for its low cost of living and easy lifestyle; therefore, there are many best places to retire in Tennessee, from livable cities like Nashville to lake towns like Paris. The Great Smoky and Cumberland Mountains and many rivers including the Mississippi offer exceptional scenery and recreation opportunities. This site will acquaint you with some basic facts about what it's like to retire in Tennessee population was 6.6 million in 2015, with a median age of 38.3. Updated Dec. 2016
Countryside near Crossville TN
The Tennessee climate is characterized as humid subtropical, influenced by the Gulf of Mexico. Summers are hot and humid while winters tend to be mild, except at higher altitudes.
Per Capita Income and Home Prices
In Tennessee the 2010-14 inflation-adjusted household income was $44,621, $9000 below the national median.The MERIC cost of living index places Tennessee as having the 5th lowest cost of living of any U.S. state. Real estate and the general cost of living is well below average compared to the total U.S. - the Zillow Home Value Index was $135,700 in late 2016. The first quarter of 2013 median home price in Knoxville was $169,600, for example, well below the national Index of $189,400. The median selling price in the same period for Chattanooga was $170,100 (Source: NAR). Tourism and agriculture (cotton and beef) are important in Tennessee, along with textiles.
Tax Burden: At 7.3% its total tax burden is one of the lowest in the country (47th).
Marginal Income Tax Rates. Tennessee has no income tax, although interest and dividends are taxed at 5% (rate changed to this in 2016). The General Assembly has expressed "intent" in reducing the tax rate by 1% a year beginning in 2017, but has not acted to make that official. Persons over 65 whose total income is less than $16,2000 (single) or $26,200 (married) are exempt from that tax.
Sales Tax: Sales tax is 7%, with a slightly lower rate on food. Localities can also add a sales tax.
Property Taxes: TN has the 9th lowest per capita property tax at $799. It has a property tax relief program that the elderly, disabled, veterans, and people with very low incomes can take advantage of. Property taxes are set at 25% of assessed value.
Estate and/or Inheritance Taxes. There is no inheritance tax - it was phased out as of the end of 2015.
Link to the Tennessee Department of Revenue.
Best retirement communities
Tennessee has several large cities like Memphis and Nashville, along with many small towns. Several cities and towns in Tennessee are popular as retirement communities, particularly lake towns like Paris or the golf capital of Tennessee of Crossville. Nashville is the country music capital of the world. Maryville is a small town near Knoxville that has two great colleges in it. Johnson City and Franklin are interesting towns in the northeastern and central parts of the state. Active adult communities are being built in and around towns throughout the state and there are many to choose from. Find more helpful information on more than 30 different state retirement guides.