Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 08-05-2007, 04:56 PM   #21
Thinks s/he gets paid by the post
 
Join Date: Mar 2007
Posts: 3,323
As A854321 posted, the State's that supposedly give retirees the best deal makes it look like Delaware was a winner. THEN I found out I would be taxed on interest and dividends at the 5.95% rate and capital gains, also. Boo hiss! I think that can be beat.
__________________

__________________
Orchidflower is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 08-06-2007, 07:14 AM   #22
Thinks s/he gets paid by the post
teejayevans's Avatar
 
Join Date: Sep 2006
Posts: 1,219
Quote:
Originally Posted by A854321 View Post
Which states give retirees the best deal? - MSN Money
This might be a more realistic scenario to follow.
Or not....for example, Raleigh, NC
The property taxes should have been 2078, PLUS
they ignored personal property taxes for NC, so I guess they
assume you don't have a car? Add $200 for your late model
honda...oh, you have two cars, and a boat....cha-ching!

TJ
__________________

__________________
teejayevans is offline   Reply With Quote
Old 08-06-2007, 01:51 PM   #23
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,380
Quote:
Originally Posted by audreyh1 View Post
How do RVer's do it?

You are required to have a permanent "physical address", but this does not require that you be physically present at that address for any given amount of time in some states.

Audrey
What is a "permanent physical address in this case"? Does this mean that even if you are moving around in a $250,000 motorhome that you have to rent or buy an inhabitable place in your home state?

How about a camping club membership taken out in your home state?

Ha
__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Driver's license
Old 08-06-2007, 02:11 PM   #24
Recycles dryer sheets
 
Join Date: Jan 2007
Posts: 284
Driver's license

Doesn't your driver's license address define your home address for legal purposes?
__________________
A854321 is offline   Reply With Quote
Old 08-06-2007, 02:40 PM   #25
Moderator Emeritus
Martha's Avatar
 
Join Date: Feb 2004
Location: minnesota
Posts: 13,212
Quote:
Originally Posted by haha View Post
What is a "permanent physical address in this case"? Does this mean that even if you are moving around in a $250,000 motorhome that you have to rent or buy an inhabitable place in your home state?

How about a camping club membership taken out in your home state?

Ha
You just need a street address. Many mail forwarding companies will provide such an address for you. That is fine--at least with South Dakota.

The big problem isn't so much establishing residency in a new state, it is terminating residency in your old state and not accidentally becoming a resident of a state by spending too much time in that state. So, to terminate make sure you get a address, even if through a mail forwarding service in the new state, you register to vote in the new state, you register your vehicles in the new state, you get your driver's license in the new state, and you don't take advantage of state resident benefits such as resident fishing licenses in your old state. And then don't spend 6 months or more in your old state or in any state that you don't want to be a resident of.
__________________
.


No more lawyer stuff, no more political stuff, so no more CYA

Martha is offline   Reply With Quote
Old 08-06-2007, 07:55 PM   #26
Thinks s/he gets paid by the post
 
Join Date: May 2006
Location: Largo
Posts: 1,945
Even if you are not a resident of a state, don't they still tax you on the percentage of income earned while you were living in the state? I don't think OH waits for you to be a resident to tax you. For example, if you live in the state for 5 months out of the year, they compute state income tax on 5/12 of your annual income.
__________________
Buckeye is offline   Reply With Quote
Old 08-06-2007, 10:39 PM   #27
Recycles dryer sheets
 
Join Date: Feb 2004
Posts: 81
Quote:
Originally Posted by Buckeye View Post
Even if you are not a resident of a state, don't they still tax you on the percentage of income earned while you were living in the state? I don't think OH waits for you to be a resident to tax you. For example, if you live in the state for 5 months out of the year, they compute state income tax on 5/12 of your annual income.
Generally, the state in which the income was earned taxes you. If you are not a resident of the state in which you earn the income, you would receive consideration for taxes paid in another state by your state of residence. However, as has been discussed, each state has it's own rules as to who is a resident for tax purposes. Therefore, depending on your travel patterns and length of time spent in various states, you could technically be a resident for tax purposes in more than one state.
__________________
roadkill is offline   Reply With Quote
Old 08-07-2007, 12:13 AM   #28
Thinks s/he gets paid by the post
 
Join Date: Jun 2005
Posts: 1,152
I may establish Texas residency if I leave to teach English overseas next year (I currently am a California resident). California has even stricter residency rules for expats than the federal government.

I read up on the RV forums to see how state residency was established "in practice" as opposed to just what is written down. One thing that I could not figure out is why more people did not choose Nevada -- almost everyone went for Texas and South Dakota. I figured there must be some subtle reason that Nevada was not also a state resident candidate for most (and I don't think it had to do with registration fees) as it is geographically so close to the many RV'ers from California. But there are subtle issues that some places might require like: having to appear in person for DL renewal, not being able to legally delay jury duty, having to have a true physical address that is habitable, etc. So I was more comfortable following the lead of others and going with Texas (there were other reasons, too). When I recently established my "permanent" SkypeIn number, I used a Texas area code.

Re: tax costs among the states
Realize that often indirect taxes are your greatest cost. For instance, zoning and environmental rules make housing far more expensive in California than it would otherwise be if the market operated closer to natural supply and demand -- those indirect taxes are higher than the direct taxes for most who live in California. Of course, we usually take these things into consideration when comparing the cost of housing across regions, etc.

Kramer
__________________
kramer is offline   Reply With Quote
Old 08-07-2007, 04:07 AM   #29
Thinks s/he gets paid by the post
 
Join Date: Mar 2007
Posts: 3,323
Have you checked into South Dakota? One of the people on this board--on another topic--said they went with S. Dakota residency (this person was an RVer) because in S. Dakota you only have to get new licensing every 5 years.
Having lived for a long time in Texas, I know it was every year I had to have my car inspected. Big difference.
So, why not South Dakota? That is the State I would choose, frankly, over Texas. Any reason you did not pick South Dakota? Maybe you could help all of us here if you have a valid reason.
__________________
Orchidflower is offline   Reply With Quote
Old 08-07-2007, 06:28 AM   #30
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 16,456
Some people don't pick South Dakota because health insurance is expensive.

Also, you have to appear in person to renew your driver's license.

The annual inspections in TX can be a pain, but you only have to take care of that as soon as you cross the border into TX. If you can prove you have been out of state when it was expired, you're OK.

Audrey
__________________
audreyh1 is offline   Reply With Quote
Old 08-07-2007, 07:04 AM   #31
Thinks s/he gets paid by the post
teejayevans's Avatar
 
Join Date: Sep 2006
Posts: 1,219
So lets assume I live in state X, without supplying a forwarding address,
I move to state Y, so you have no real estate in state X. Even if state X
wants to still claim you as a resident, if they don't have a mailing address,
they cannot even send you a tax bill.

BTW, I move (but within the state) without leaving a forwarding address;
the reaction of the post office worker was priceless, "But you can't do
that, what if we get something that's important" to which I replied "Keep it"
My junk mail dropped to almost nothing, with exception generic mail that
isn't address to a specific person.
I thought I changed everything over, but had forgotten about a
changing my address on some land I owned, they couldn't find me
so I didn't get the bill , not sure what they would've done if I
hadn't called them.
TJ
__________________
teejayevans is offline   Reply With Quote
Old 08-07-2007, 07:46 AM   #32
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RunningBum's Avatar
 
Join Date: Jun 2007
Posts: 5,164
Eventually they'd have put a tax lien on the property and repossessed it. Maybe they'd have made some effort to find you, maybe not. It's not the state's responsibility to find you to send you a bill in your hide-and-seek game. But when you owe enough money, they will try harder to find you (or your property)., and you will lose the game.
__________________
RunningBum is offline   Reply With Quote
Old 08-07-2007, 08:10 AM   #33
Thinks s/he gets paid by the post
teejayevans's Avatar
 
Join Date: Sep 2006
Posts: 1,219
Quote:
Originally Posted by RunningBum View Post
Eventually they'd have put a tax lien on the property and repossessed it. Maybe they'd have made some effort to find you, maybe not. It's not the state's responsibility to find you to send you a bill in your hide-and-seek game. But when you owe enough money, they will try harder to find you (or your property)., and you will lose the game.
True, but that was my real life case, in the example I cited:
"So lets assume I live in state X, without supplying a forwarding address,
I move to state Y, so you have no real estate in state X. Even if state X
wants to still claim you as a resident, if they don't have a mailing address,
they cannot even send you a tax bill."

So what are they going to do, call up state y and tell them, look, the guy
in living your state is really ours, pls send any money you have collected
and forward his address so we can get the balance of what he owes us.
I would think state y will tell state x to go pound sand.
TJ
__________________
teejayevans is offline   Reply With Quote
Old 08-07-2007, 08:42 AM   #34
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 16,456
Back on the state taxes thing:

I often notice that articles comparing taxes across states assume you have a large piece of real property and thus pay considerable property taxes. Under those conditions, TX doesn't compare as well. But property taxes are a yet another good reason NOT to own a large piece of real property.

And, if you are an RVer or live on a boat, or whatever, property taxes do not come into the picture at all. As far as I am concerned, income taxes is all that matters!

BTW - Florida is also popular as a residence state and has a good mail forwarding service. They have no state income tax and dropped their silly "asset tax" a while ago.

Audrey
__________________
audreyh1 is offline   Reply With Quote
Old 08-07-2007, 10:19 AM   #35
Thinks s/he gets paid by the post
teejayevans's Avatar
 
Join Date: Sep 2006
Posts: 1,219
Quote:
Originally Posted by audreyh1 View Post
And, if you are an RVer or live on a boat, or whatever, property taxes do not come into the picture at all. As far as I am concerned, income taxes is all that matters!
But personal property taxes do, some states have them like NC, I thought
FL did as well, or did that go with the asset tax?
TJ
__________________
teejayevans is offline   Reply With Quote
Old 08-08-2007, 10:45 AM   #36
Thinks s/he gets paid by the post
 
Join Date: Mar 2007
Posts: 3,323
Let me re-ask Kramer's question: why not register in Nevada?
__________________

__________________
Orchidflower is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
U.S. expats and state taxes ladelfina Life after FIRE 57 01-12-2008 01:00 PM
Leaving US... dunc0029 FIRE and Money 42 01-10-2007 10:07 PM
definiton of legal residency the_tucson_kid FIRE and Money 10 10-15-2003 01:42 PM

 

 
All times are GMT -6. The time now is 04:31 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.