Transcript:

You moved to Florida for the sunshine, the beach, and that famous phrase: no state income tax. But what if I told you many retirees still end up paying more than they need to because of hidden tax traps tied to residency and income?

I’m Hunter Brockway with Boca Retirement Strategies, and today we’re going to make sure your Florida retirement actually stays tax-free.

At Boca Retirement Strategies, we help retirees across the country, especially snowbirds and Florida residents, build tax-smart retirement plans so more of their hard-earned savings stays in their pockets. Let’s talk about how Florida’s tax perks work and the easy-to-miss ways retirees give some of it back.

First, the good news: Florida has no state income tax, no tax on Social Security, and no estate or inheritance tax.

But here’s the catch. You can still owe taxes to other states if your income or property is tied there. Think pensions from New York, rental income from Massachusetts, or part-year residency. Even something simple like voting, car registration, or spending half your year up north can raise questions about where you actually live for tax purposes.

Here are some common mistakes that cost retirees money.

Mistake number one: not formally establishing Florida domicile.

You can’t just have a condo. You need a Florida driver’s license, voter registration, declaration of domicile, and updated estate documents.

Mistake number two: owning income property or a business in another state.

Those states can still tax that income even if you live in Florida.

Mistake number three: forgetting about intangible taxes.

While Florida repealed its intangible tax years ago, some localities still have special assessments that affect retirees with investments.

So before you brag to your northern friends about escaping taxes, make sure you didn’t just send them a postcard and your money.