Delaware has the 6th lowest tax burden for retirees
When I last checked this we were #2 behind Alaska, so 6th is an improvement. With any luck we can drop out of the top ten in the next couple of years and stop attracting all of these cheapskates from New Jersey.
No. 6: Delaware
State income tax: 2.2 percent to 6.75 percent
State sales tax: None
Estate tax/inheritance tax: yes/noThe First State is one of the tax-friendliest states on the East Coast. Social Security benefits are exempt from state income taxes. Residents 60 and older can exclude $12,500 per person of qualified pension benefits and investment income, including dividends, interest and capital gains, from income taxes. Taxpayers 65 and older who don’t itemize are eligible for an additional standard deduction of $2,500 on top of the state’s regular $3,250 standard deduction ($6,500 for couples filing jointly).
Real estate is subject to county, school district, vocational school district and municipal property taxes. Property is assessed at different percentages of market value, according to locality. The median property tax on a $249,400 median-valued home is $1,078, according to the Tax Foundation. Homeowners 65 and older are eligible for a credit equal to half of their school property taxes, up to $500. Residents who moved to Delaware after December 31, 2012, must live in the state for three consecutive years to qualify for the credit.
Delaware’s estate tax mirrors the federal estate tax: In 2013, $5.25 million is exempt. The maximum estate-tax rate is 16 percent. Assets left to a surviving spouse are exempt.
I wonder why all of those old white men (and Evan Q) keep screaming all over Delaware that they are Taxed Enough Already?
This old white guy chose Delaware and moved here from Texas. And I can tell you I calculate total cost of living improvement of about $1,000 a month, even taking into account a pretty hefty rental payment, compared to my Texas mortgage. Cost wasn’t the only consideration but a major factor. Loving it here, by the way.
I guess I shouldn’t generalize. All old cheapskates aren’t SOBs.
Hope all of these older folks keep their drivers licenses until they die since our Governor and Deldot want to cut transit to seniors and those with disabilities
It isn’t just the old white guys hollering. I hear people, not yet of retirement age, on a regular basis crying how much they are paying in taxes here in Wilmington. In the next breath they cry about the services they aren’t receiving from the taxes they pay.
I moved here with a job transfer and I can tell you the taxes are not high. The property taxes I pay on my house are only slightly higher from what I was paying on a house half the cost and size in another state.
I moved here from Northern Virginia because I was tired of the traffic and wanted to live at the beach. The tax advantages would have only been a factor if they had been obscenely high. In Sussex County you pay hardly anything for property taxes, on the other hand you don’t receive any services. There is always a trade off.