10 Best States to Retire in for Taxes and Cost of Living

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3. Kansas

Tax-friendliness: Moderately Tax-friendly

Cost of living: 87.7

The state of Kansas exempts all social security income from taxes for adjusted gross income of $75,000 or less. Other types of retirement income, except for public pension income, are taxed. Both property and sales taxes are high, too. However, these drawbacks are offset by the extremely affordable cost of living, which is 12.3% below the US average.

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