If you want to move to the Evergreen State during your golden years, don’t worry about taxes on your 401(k), IRA, pensions, and Social Security. You might want to spend your extra money on their famed, delicious coffee instead!
However, you might want to watch out for their estate taxes. In Washington in 2020, if your estate is valued at $2.193 million, then it will be taxed. This threshold will also be adjusted on a yearly basis ‘thanks’ to inflation.
Good news, though, as the state doesn’t have any inheritance taxes.
Last on our list is Wyoming, where retirees can enjoy their golden years without worrying about taxes to their IRAs, pensions, or 401(k) plans. The lack of an income tax in the Equality State also means your Social Security benefits will be yours to keep entirely.
Since Wyoming doesn’t impose estate and inheritance taxes, you won’t need to worry about those either.
So, which of these states would you rather move to? Remember, if you live in a state that heavily taxes incomes, your retirement savings may not last as long as you’d like, meaning you could struggle to make ends meet!
Let us know down below where you’d like to move and why!