Retirement Taxes in Florida (2026)
Florida levies no state income tax, so Social Security, 401(k) withdrawals and pension income are all untaxed at the state level. On our standard retiree profile it ranks 5 of 50 for total state tax burden at $6,881 a year, with property tax at an effective 0.71% and combined sales tax at 6.98%.
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Florida at a glance
State income tax
None
No state income tax on any retirement income
Social Security
Fully exempt
State treatment only; federal rules still apply
401(k) / IRA withdrawals
No state income tax
Pension income
No state income tax
Effective property tax
0.71%
$3,575 on a $500,000 home
Combined sales tax
6.98%
State plus average local rate
Homeowners insurance
$2,677/yr
Average annual HO-3 premium
Cost index (goods & services)
99.9
US average = 100, BEA 2024. Housing excluded.
Estate / inheritance tax
Neither
Cost index compares goods and services only — housing is excluded because it's captured separately in property tax. Source: BEA Regional Price Parities, 2024, US average = 100.
Rankings and dollar figures on this page use one documented profile: $126,000 of gross retirement income ($36,000 Social Security, $45,000 in 401(k)/IRA withdrawals, $18,000 pension, $12,000 dividends, $15,000 part-time earnings), a $650,000 home, and $32,000 of taxable annual spending. It is the same profile the calculator loads with, so you can reproduce every number here.
Where Florida ranks
Florida places 5 of 50 states by total state tax burden on the standard profile — $6,881 a year against a $10,910 50-state average, or 37% below the 50-state average.
- State income tax rateNone100% below the 50-state average
- Effective property tax rate0.71%21% below the 50-state average
- Combined sales tax rate6.98%5% above the 50-state average
- Homeowners insurance premium$2,677/yr79% above the 50-state average
- Cost of goods & services99.9in line with the 50-state average
Comparisons are unweighted averages across the 50 states on our standard retiree profile, not population-weighted national figures.
How it compares to its peers
The states closest to Florida on total burden, using the same profile:
Tennessee
Rank 3 · $5,896/yr
$985 less than Florida
Tennessee retirement taxesDelaware
Rank 4 · $6,871/yr
$11 less than Florida
Georgia
Rank 6 · $7,609/yr
$728 more than Florida
Georgia retirement taxesWhat this means for a move
On the standard profile, 68% of the $6,881 annual burden in Florida is property tax — $4,648, against $2,234 of sales tax and $0 of income tax. Because there is no income tax to vary, your result in Florida moves almost entirely with the home you buy and what you spend.
Every $100,000 of home value costs $715 a year in Florida property tax, so a $500,000 house carries roughly $3,575. Average homeowners insurance runs $2,677 a year, 79% above the 50-state average. Goods and services price 0.1% below the US average (BEA 2024, housing excluded), which sits on top of the tax figure rather than inside it.
Florida retirement tax FAQ
Does Florida tax Social Security benefits?
No. Florida does not tax Social Security benefits at the state level. Federal taxation of benefits still applies based on your combined income.
How does Florida tax 401(k) withdrawals and pension income?
Florida has no state income tax, so 401(k) and IRA withdrawals and pension payments are not taxed by the state. Federal income tax still applies.
What is the property tax rate in Florida?
Florida's effective property tax rate is 0.71% of home value — 21% below the 50-state average. On a $500,000 home that is about $3,575 a year.
Where does Florida rank for retirement taxes?
Florida ranks 5 of 50 states, lowest total burden first, on our standard retiree profile: $6,881 a year in combined state income, property and sales tax, versus a $10,910 unweighted average across the 50 states.
Compare Florida to your current state
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