When people think about places to retire, the usual ones that everyone thinks of are Florida and Arizona. Somehow, Pennsylvania doesn’t come to mind. And yet, it was ranked as the sixth-best tax-friendly state for retirees. Although people forget about both Pennsylvania and the city of Philadelphia, they have a lot to offer to retirees. For starters, we’re talking about one of the biggest states in the country and its biggest city. And if that isn’t stating something, we don’t know what is. About 16 percent of state residents are retirees, so retiring in Philadelphia definitely has some sense. At least you will have enough company.
The state is also home to more than 870,000 veterans and some of the country’s best hospitals are located nearby. Make sure to read on so you can learn more about retirement in Philly.
Pros: Retirement taxes in Pennsylvania
Now, one good thing is that retiring in the state of Pennsylvania brings some good things with it. The first thing you always want to consider when choosing a place for retirement is taxes. Everything is simple here. The smaller the taxes are, the longer you will be able to stretch your retirement income. Luckily for you, this state is very tax-friendly.
There are no taxes on retirement income here at all. There’s only one another state that does this, and that is Mississippi. However, if moving to Mississippi is out of option, or if you simply want to be on the east coast, Pennsylvania is a way to go.
There are, of course, some other ways you can get your money during your retirement.
- Social security. You’ll get a portion of your income from Social Security depending on the amount of money that you paid into the system while you’ve been working.
- Pension benefits are what many retirees today receive. You can get them either from a public entity, or a private one. Neither of these is taxed when retiring in Philadelphia.
- Individual Retirement Account. If you had a private business all the chances are that you’ll get your money this way.
Cons: Inheritance tax rates
Pennsylvania is, unfortunately, one of only seven states that have an inheritance tax. It is calculated based on who receives a deceased’s property. And here it is anywhere from 0% to 15% dependent on different factors. These taxes apply to all real estate and to all personal property that is located in the state.
Therefore, this is a great and cheap place to retire, but it can be expensive for having an estate. On the other hand, our professionals from Zippy Shell of Greater Philadelphia tell us that if you plan carefully, you’ll be able to take advantage of the low state income tax rates and minimize the inheritance cost to a minimum.
About retiring in Philadelphia
Philadelphia is a city that counts 1,567,776 residents. And it is considered to be a lively place. It is often described as the perfect place for retirees eager to keep both their mind and body in motion. As we all know, Philadelphia is the birthplace of the United States, but what else can a retiree expect when he chooses it?
Well, we talked to both medical personnel and people that are retiring in Philadelphia and we made a list of things you can do if you decide to move here.
A lot of museums
Pretty much all the people that we talked to said that they love visiting museums. And there’s no wonder why, as some of the best art museums in the whole of the USA are located in Philly. The two favorites must be the Philadelphia Museum of Art and the Barnes Foundation. You can enjoy pretty much all eras of art in these two places only. And there are many more to visit too. Pennsylvania may be featured on the list of affordable alternatives to Florida for retirees but it certainly doesn’t lack any activities
The only con here is that tickets for high-end museums are not cheap. However, it’s worth mentioning that all the museums have senior discounts and a few free programs each. This makes visits more affordable and makes frequent visits possible to an extent.
The great outdoors is part of retiring in Philadelphia
Some senior citizens need to move for retirement and some move throughout it. That’s why things like active retirements are incredibly popular these days. And fortunately for the people that are thinking about this, Philadelphia has seen an explosion in green spaces in the last few years.
There are more than 50 miles of trails just in Wissahickon Park, and they all follow the twist and turns of Wissahickon Gorge, so you know that it will be fun as well. Many active pensioners enjoy Schuylkill River and Kelly Drive and they use them for jogging, bicycle rides, or simple walks as those are some of the best activities for seniors in the USA.
For gardeners and those who feel that way, there is Independence Mall. It provides a lot of green space and a whole range of landscaped gardens, all of which are carefully tended.
We really tried to find them, but there aren’t any cons in spending time in nature. Maybe you can get lost if you spend too much time outside. If that is a bad thing, as there are many ways to get lost in nature.
Vibrant city and active retirement
The time has come to simply connect the two. Nowadays, retirement has become a time when you downsize and go from living in suburbs to living in the city and pursuing the things you love. And in a way, it’s like a second youth, which is a great concept for retiring if you ask us. However, this type of retirement asks for a special kind of city.
And that is where retiring in Philadelphia shines as bright as it possibly can. It is a perfect combination. A moderately large city with a lot of activities and fine art to offer. It even has a tradition. What else could you want?