How Florida Taxes Retirees

While Florida has no state income tax, residents there still pay taxes in other ways. But the overall burden is low relative to most other states. Property taxes are about 1% of assessed value.  But don't let that percentage number seem high. The median value of a home in FL is all of around $150k.   So while other states, say California, has a lower property tax rate, the median home values there are 3 times as large as in FL.  Thus, in CA even with a lower rate, their residents pay more in taxes.  Sales tax in Florida is probably the largest of the tax burdens a resident pays.   All in all, NO income tax, low property tax and a moderately high sales tax, PLUS the sun, not a bad place to be.  Keep n mind though, homeowners insurance is always a challenge in FL.  So, get a quote BEFORE you buy a house!!!