RI 49th for Military Retirees ← The Only Way to Better Health Care A Warning About City Law → Rhett Hardwick Don’t know enough to argue the methodology, I note that North Carolina is right before Rhode Island. But, it seems to have a large number of retired military. Guest Rhett Hardwick I also question the methodology as it seems that they did not review all the specifics that dictate state retirement location factors. North Carolina taxes military retirement just like Rhode Island but cost of living is lower in the south however South Carolina does not tax military retirement and is ranked very high. In Hawaii military retirement is not taxed and depending on your age you can get an owner occupied property tax exemption that exempts most of your property tax forcing you to pay $300, $150, $100 or $75 per year depending on which municipality you reside in. No property tax on vehicle’s or boats and social security income is exempt from State income tax plus sales tax is 4%. Hawaii is the only state that has all the branches of military service bases will full services. Major VA hospital and MWR vacation resorts plus local business provide discounts up to 50% to all active and retired military members. I suspect Hawaii’s middle rating is due to reported high cost of living based on 65 sq mi of “core metro Honolulu” and no one looking at other 6,358 sq miles. Mike678 I find these rankings fairly worthless as the methodology often rates factors that I care little. They do provide a good review of things you may want to consider, however. As for the comment below, he is incorrect. North Carolina does not tax military retirement pay “just like RI.” Perhaps this is one reason the state has so many military retirees. https://www.military.com/benefits/veteran…/north-carolina-state-veterans-benefits.html Mike678 Sorry…the link I posted was to that fact, but it appears to be broken. Bad copy and paste… Was I wrong? Does North Carolina tax military retirement ” just like RI”? And perhaps there are so many retirees there because most met the 5 year exemption having retired years ago? Guest Mike, I made two typos, actually you must have completed the 5- years by 1989 or else your military retirement is fully taxed in NC so unless you are talking about a military retiree that solely served 5-years before Aug 12, 1989 and retired you are right however anyone not serving 5-years after Aug 12, 1989 gets fully taxed until the law gets changed. I checked military.com and it is the same as: http://www.retirementliving.com (my second typo) for NC. So are you right or am I right as it seems we both are looking at the same words so it’s a draw. Like I indicated, the COL I worked with at RI-ANG actually moved from NC to SC to save retirement pay from being taxed. Mike678 I don’t care “who is right” as long as the facts are clear. I’m sorry the COL chose to move. I have friends who served for 30 years and then had a second career and are approaching 63 and are planning to retire in NC. They did their research and understood their Mil retirement pay was exempt as they served the requisite 5 years prior to 1989. If they just looked at wallethub they’d have been ignorant of the real state of affairs….