If you are currently amassing a great deal of wealth and are concerned about long term planning for your tax bill, you are better off retiring in Michigan, according to a new study. The study completed by online finance tool company SmartAsset ranked eligible states by the total amount of taxes that you might pay, including your property, state, federal income and estate taxes.
Some of the more expensive parts of the country included Oregon, Rhode Island and Vermont. These had the highest tax burden and therefore ended up at the bottom of the list whereas others like Florida broke the top ten as some of the best places to retire.
States located in the middle of the U.S. faired relatively well for people who had amassed wealth for retirement, excluding states like Wisconsin, Illinois, Tennessee, Nevada and Florida. The study looked specifically at state and federal income taxes for the top 1% of earners. The reported level of estate taxes in 2016 was more than $18.3 billion, according to data collected and presented by the IRS.
The most number of estate tax returns filed during 2015 came from California, followed by Florida and New York. More than 5,000 households filed estate taxes across the country. If you are curious about protecting yourself and the wealth you’ve worked so hard to build, schedule a consultation with an experienced estate planning lawyer today.