For the retirees ?

[Rudi]

New Brunswick Low cost of living, reasonable taxes, and I do mean reasonable. Compared to NY it is downright cheap. Good medical, cheap insurance .. low property costs. Clean air I loves it here

[Jackman]

http://www.kiplinger.com/tool/retirement/T055-S001-state-by-state-guide-to-taxes-on-retirees/index.php

Thanks for the replies , I like the kliplinger link , interesting and helpful

[Jackman]

http://www.kiplinger.com/tool/retirement/T055-S001-state-by-state-guide-to-taxes-on-retirees/index.php

This site is interesting but there is so much more to the whole picture that it is borderline misleading. Here in Texas, the state sales tax is 6.25% but almost every local jurisdiction around here has local optioned it up to or close to the 8.25% limit. And it applies to ALMOST EVERYTHING. Another thing left unsaid is that Texas, in pursuit of the holy grail of low taxes, has been adding "user fees" to everything. Virtually all major highway projects are now toll roads. So we not only pay for each road, we also pay for a huge automated toll collection system on each road. We even have one where the toll amount is adjusted as traffic changes. Half the time, when I meet some buddies for lunch I pay more in tolls than I spend on lunch (I am not exaggerating!).

Yesterday, my wife mentioned a story that Texas has the 4th worst drivers in the country. I don't know whose list or what they based it on, but our car insurance rates confirm it belongs high on any similar list. Insurance is cheaper most other places. Add to that the cost of annual safety/emissions tests, and you see Texas isn't all that car friendly.

Don't ignore utility costs. Around here, water can be a rude awakening. My water bill this summer peaked at $342.59 (that is not a typo). The average was something close to $110 per month. This is not the whole utility bill. IT IS JUST WATER. And this is while under watering restrictions. My heating costs aren't bad (cheaper than water!), but brace yourself for the cost of keeping reasonably cool in the summer.

I have tried to find the various state/local government's TOTAL per capita budgets and compare that rather than just tax rates. After all, if they spend it they have to get it somewhere. I never could find the budgets for the various Texas turnpike authorities to add that in. Couldn't get the other "revenue funds" (e.g. where the water bill goes) to add in either. Even so, using this comparison, I didn't find that much difference between Texas and the "not tax friendly" Minnesota at the other end of I-35.

From New York, being a half back may not be a bad idea. (Half back - people that retired to Florida and found it didn't suit them. So they went half way back.) Virginia and the Carolinas have their good points. Just be sure to look at all the factors you can find and not focus on the few things that the politicians like to talk about.

Good read thanks , I have a friend that moved to Houston 30 years ago he speaks highly of Texas and it does sound good , especially no state income tax , how does Texas raise enough money with out income tax

[Jackman]

New Brunswick Low cost of living, reasonable taxes, and I do mean reasonable. Compared to NY it is downright cheap. Good medical, cheap insurance .. low property costs. Clean air I loves it here

Wife and I love Canada , we did a really nice vacation to Nova Scotia , wow what a nice place the scenery and coast line top shelf , I think Canada is colder than NY so well just vacation there in the summer months

[Jim Becker]

how does Texas raise enough money with out income tax

I partly covered that in my original post. Adding much detail would quickly get longer than I have the ambition to post. The very short answer is that instead of having revenue from one big visible source (like income tax), they have revenue from a lot of user fees and little sources that people don't notice (tolls, fees added to vehicle registrations, very broad based sales tax, etc.). Surcharges on utilities are a favorite. My phone bill is nearly incomprehensible (8 line items per cell phone, others on the land line).

Here is an interesting chart (from Wikimedia, one based on per capita $$$ might be more revealing). Look at the lengths of the property tax bars. Just eyeballing them, the only ones longer than Texas are in New England (and maybe NJ). The only one much longer is New Hampshire, where there is no sales tax. Since the property tax is collected by local governments, it isn't included in all the state tax ranking tables that commonly float around. Same with a lot of the user fees, many collected by a special agency or district.



Look at how wide the property tax bar is for Texas. Texas doesn't have state property taxes. But state law forces local entities into high rates and redistributes it. Go to Wikipedia and look up "Robin Hood Plan". Read that article and try to decide what that takes out of your pocket. But it isn't a state tax, so the legislature is proud of their work and most people seem to be happy with it. By the way, Robin Hood includes a state "business tax", which some people argue is a state income tax on business. Again, the average person doesn't see it first hand.

. . . speaks highly of Texas . . .

This seems to be common and the only explanation I can think of is the old adage "ignorance is bliss".

[Bus Driver]

http://thinkexist.com/quotation/the_art ... 58604.html

[Jack fowler]

Rudi wrote: ....Good medical....

I’m changing the subject a little, but I think it still pertains to retirement cost especially if you retire in the U.S. before you are eligible for Medicare.

Rudi, I don’t know you personally, but I know you well enough through this site you tell it “like it is”. (The truth)

I have a friend that is a hunter that hunts in western Canada. On a hunt, he fell and was injured seriously and put in a Canadian hospital. When he returned to the U.S. he bragged about the care and medical expertises and on top of it all he was not charged for his medical attention. This person had medical insurance from a medical insurance co. in the U.S. and the hospital said his hospitalization will be paid by the Canadian government. All I can say is WOW
…
Medical care is a hot subject in this country now and I don’t want my post to turn into a war… and if possible Rudi to explain the cost of medical in Canada if he desires to. Moderators, if my post isn’t acceptable /delete.

[Jack fowler]

I wrote...and the hospital said his hospitalization will be paid by the Canadian government.

Very seldom I make an error …..well maybe four or five times a day …. The statement I made “the Canadian government paid for the hospitalization” was wrong. The Canadian Government does not pay for Health Care in Canada, the taxpayers do.

I’m probably wrong again… but looking at the chart and doing some research at all the U.S. states, if something is not taxed, that something that’s left out will be an added tax to something else to cover what was left out….if that makes any sense…. So to me the chart makes all states about equal on total taxes. As for what the cost of property assessment valuation per location should be different.

I my opinion…not trying to start an argument …. Government service is needed to maintain infrastructure where it would be too costly for the tax payer to employee a private company. I.E. Police, Fire, Military, water treatment, sewage treatment and ect.

I do know if you live in a rural area ,you can make the cost of living cheaper by cutting wood for heat, hunting for food, raising your food(cattle/pork/ garden ect),but the cost/work of the infrastructure and the good health you have to be in to sustain that type of living is hard. Taxes are a little less in rural areas, but if you live in a rural area like you live in the city it will cost you more.(In my opinion)