A Distinction No One Wants: Northeast States Head
Topretirements.com’s List of the Worst Places to Retire List
With half of baby boomers looking at a reduced standard of living in retirement, choosing an affordable state to spend those leisure years can make a huge difference. Those in that situation might want to avoid New Jersey, which was named the “Worst State for Retirement” on a new list from topretirements.com. The Garden State topped the "Worst" list because of a host of factors that make it unattractive to retirees. It has the highest property taxes in the nation, an inheritance tax, high marginal tax rates and cost of living, and a poorly funded pension system.
The 2018 list includes 6 states in the Northeast. Retirees looking to maximize their retirement lifestyle should also think about avoiding three states in the Midwest, along with California. All of the states on the list share some commonalities. Those include high property and income taxes, expensive cost of living, and in many cases unfavorable treatment of retirement income such as Social Security.
Commenting on the new list, John Brady, founder of the Topretirements website said: “Most states with reputations for high taxes know they have an uphill battle in retaining their retired population. Unfortunately for them, the 2018 tax bill, which drastically reduces state and local tax deductions, made them even less desirable for retirees.” While they might be perfect for retirement in many other ways, when it comes to taxes and expense they have some drawbacks.
Here are the 10 worst states for retirement according to Topretirements:
1. New Jersey
3. New York
4. Rhode Island
Here is where you can see the entire "10 Worst States for Retirement” article.
Priority on retiree taxes and cost of living
To help retirees the editors at Topretirements.com compared a number of factors that affect retirees. A key one was property taxes - states with the highest did not fare well. Another consideration was state income taxes, and in particular how retirement income such as social security and pensions are taxed. ?
Topretirements.com is where baby boomers go to find their best places to retire. The site features objective reviews of over 1,100 towns and 3,300 active adult and 55+ communities. Created in 2006, the site had over 2 million visitors and 8 million page views in 2017.