My sister is in one of the fancy shore communities 13 miles from Cape May. I think her taxes are less than $9000 and her house is worth about $1.5 million.
The estate tax is an issue for us here in Minnesota. Minnesota taxes estates exceeding $1.4 million at rates from 9% to 16%, depending on the size of the estate. Iām not comfortable revealing details of our finances, but letās just say thereās a non-trivial possibility that either DW or I could die with an estate exceeding that threshold, depending on how long we live and how quickly we spend down our assets. Iām generally in favor of progressive taxation, but most states no longer have estate or inheritance taxes, so itās a tax thatās easily avoided just by moving across state lines. At that point the question becomes, why be a chump? Wisconsin, which has neither an estate tax nor an inheritance tax, is only 20 miles from where I sit. More likely, though, weāll want to move someplace warmer.
California has some appeal. We spent a glorious year in the Bay Area when I was a visiting professor at UC Berkeley. Weāve talked about going back. The ability to hike and bike year round would probably add years to my life. Two reservations: high housing costs and high income taxes. True, you donāt need as much space when you can be outdoors year-round, but rents are much higher in the Bay Area than in most places. The conventional wisdom among the tax avoiders is that California is a terrible place to retire.because of high income tax rates and no exemption for retirement income (apart from Social Security, which I believe California doesnāt tax). Also sales taxes are quite high. High rent + high taxes = big bite out of purchasing power.
@tom1944, why is your sisterās tax rate so much lower than others? Local school district taxes are lower?
Illinois, at least in my county, is closer to 3% than 2 for property taxes. People are fleeing this area in swarms. We just lost another set of friends to NC. Itās unsustainable.
@dstark, how did I shock you?
Most of my work is really interesting (at least to me) but is largely corporate. My pro bono projects have been interesting (helped end a civil war, tried unsuccessfully to get something creative going with companies on global climate change, stuff for the UN or in Congress, ā¦). Iāve written work-related books but the current book is completely separate. The ideas/approach help people a lot (especially high-performing people) and doesnāt seem to be out in the market. Iāve given a few talks and when I do, I get groupies (pretty funny, actually). ShawWife has been urging me to get the ideas out there, but I have to figure out a publicity strategy given that I am pretty busy running a business and trying to help the world every once in a while. Overall, Iād like to do charitable work that combines my skills, which are quite useful, and my money when sensible. I havenāt really figured out what that could be.
@busdriver11, as someone who generates his own income (and although my wife is a successful artist, that means she is cash flow positive but we are essentially a one income family and thus I am by default a patron of the arts), how much I make is and has been quite uncertain. And, while we are by no means ascetic, we actually spend considerably less than a lot of my peers in order to save. We had a Plan B: if for some reason my firm fell apart or the market for what we do collapsed (and it is possible that this will happen for part of what we do) and we werenāt earning what we hoped for, we would move to a low cost of living place (I liked New Mexico but Wyoming has great lack of taxes) early on in life or to Canada later on. So far, neither of these is happening ā in fact, Iāve been fortunate to earn more than I was expecting in the last few years. But, life and my income remain uncertain. ShawWife would like to move to Canada when we get older regardless of our financial situation ā Iāve been holding off on that because I like to be warm in winter. She is pushing for Vancouver (now really expensive) or Victoria as both are mild in winter. It would definitely complicate our estate planning, which isnāt a reason not to move there.
Per @dstark, we will be trying Northern California rather than Vancouver this winter.
Iād never heard of VOG. Fascinating.
Dream retirement job - part-time matronly pirate wench in a gift shop at Disneyland, and a Club 33 membership to use on my off days for dining with visiting friends and family while living in the Irvine/Balboa/Newport Beach area.
@IxnayBob, I donāt want to derail this thread, but Hugo Boss is my go-to source for suits, then I go up or down or sideways from there. Other labels are getting a bit āyoungerā for me or Iām getting a bit older. 
BTW, H also loves Boss.
http://www.hugoboss.com/us/womens-suits/
I have cut way down on my shopping in the last couple of years. Filling bags full of clothes and shoes, even if it is to take them for donations, is a wrenching task. I wonāt post how much stuff Iāve given away. I used to imagine my D would love to go through my closet (like I borrowed my motherās clothes) and Iād save some basic pieces for her to try out. Not interested. She is not me. Also sheās taller and has longer arms. What was I thinking?!
Anyway, your W should easily get a personal shopper at Nordstromās, Saks or Neimans who can focus her shopping towards whatās suitable (no pun intended).
dstark it is a resort community with hardly any kids using the schools. That keeps the taxes low. She lives there full time now.
@tom1944, thanks.
@shawbridge, the 28k per month property tax shocked me. 
What you are doing sounds great. I hope you find an area you like.
This thread has a lot of guys participating.
My social security will be a lot higher than my husband since Iāve worked in USA longer. So I will wait until Iām 70 to get them, thatās if it will not be reduced.
I think itās important to be close to at least some relative or kids. I know my husband is very happy when my daughter came home yesterday. I never considered move any where but stay in California because I live here almost all my life. Itās considered home. I can move only 20 minutes away, a sort of downsize, then it will harder for my daughter to come and visit. A huge consideration in my retirement plan.
@bclintonk, you have lived and worked in NorCal so you know the pros and cons of retiring here.
I agree with your post 7181. I am in favor of progressive taxation but state inheritance or state estate taxes are a little too much.
The $28k per month was a typo I thought
@tom1944, yes. It was. I was just making sure.
@dstark, Iām going to have to proofread my posts more carefully henceforth. You are a close reader! I appreciate close readers.
@AttorneyMother, Lol! Yes. I am! And you are an attorney. I expect the same out of you!
I donāt know anybody paying close to 28k in property tax. I know some wealthy people but people wealthy enough to pay 28k a month in property tax donāt talk to me.
Back in 1980 a gentleman dropped his NJ estimated tax check off at the tax office in Newark when I was working the front desk. Back then we had 2 tax rates 2% on the first $20,000 and 2.5% on anything over that. The check was for one of his quarterly estimates and it was for $220,000.00.
I will never forget that.
Itās my first time visiting this thread but I just noted the property tax rates youāre talking about. Interesting that @dstark mentioned Park City. Itās a strange situation, with lots of high value second homes that help fund, but put no strain on, the schools.
Park City students attend the best high school in Utah, yet their parents pay the lowest property tax rate in the state, around 1/2% of market value.
@dstark, itās because I had have to read so closely over the past 100 (or so it seems) years that I thought I can get a break here.
On taxes: no income or estate taxes in Texas. High property tax (city, county and school district) and 6.25% state + local city sales tax = 8.25% total sales tax where I am. But, in theory, one can choose how much to spend on a house without regard to school district and how much to buy in discretionary shopping during retirement. I have not yet put that theory into practice.
@AttorneyMother, no breaks.
I like the numbers to be relatively close to being accurate. Otherwise, the decision making can go astray.
Having said this, I am not mappng out my future life or retirement as detailed as others. Expenses x years left to live < nest egg = close enough.
Your formula.
My daughter mentioned Texas home prices a couple of days ago. Thatās a dagger in my gut. I donāt want her considering that state. Sorry. ( I donāt think she really is considering Texas).
Itās too hot there!
Plusā¦ I donāt live there!
My youngest son said heād promise to live in Seattle if I bought him a house on the water. Ahā¦ I think he was serious, but I told him good luck with that! Might try offering your D some bait.