Side-by-side for American retirees in 2026.
The default American retirement state — and still the #1 destination. No state income tax, no estate tax, year-round warm weather, and the country's largest retiree community.
Western alternative to Florida. No income tax, dry desert climate, and Las Vegas/Henderson/Reno offer tax-free retirement with strong healthcare.
| No state income tax | Income tax | No state income tax |
| Exempt | Social Security | Exempt |
| All retirement income state-tax-free | Pension treatment | All retirement income state-tax-free |
| 0.82% | Property tax (effective) | 0.59% |
| 7.00% | Avg combined sales tax | 8.24% |
| 102.8 | Cost of living (US=100) | 101.3 |
| None (no estate or inheritance tax) | Estate / inheritance tax | None |
| Hot/humid year-round, especially May–October. Mild winters statewide. Hurricane season June–November. | Climate | Dry desert. Hot summers (100°F+ in Las Vegas), mild winters. Reno cooler with four seasons. |
| Strong — large hospital systems statewide (Cleveland Clinic Florida, Mayo Jacksonville, AdventHealth). Above-average Medicare Advantage options. | Healthcare | Improving but historically weak — limited specialist availability vs Florida/Arizona. Mayo Clinic and Cleveland Clinic do not have presence. |
| The Villages, Sarasota, Naples | Top retirement cities | Henderson, Reno, Mesquite |
$50,000 homestead exemption + 'Save Our Homes' 3% annual cap on assessment increases
3% annual property tax cap on primary residences; senior tax assistance programs available
Florida: The default American retirement state — and still the #1 destination. No state income tax, no estate tax, year-round warm weather, and the country's largest retiree community. Nevada: Western alternative to Florida. No income tax, dry desert climate, and Las Vegas/Henderson/Reno offer tax-free retirement with strong healthcare. The right choice depends on your income mix, climate preference, and whether state income tax matters more to you than property tax.
No, Florida does not tax Social Security retirement benefits.
No, Nevada does not tax Social Security retirement benefits.
Florida's cost of living index is 102.8 (US = 100). Nevada's is 101.3. Nevada is cheaper on average.
Enter your retirement income and see the after-tax difference between Florida and Nevada in 30 seconds.
Open tax estimator →Tax data current as of 2026 publication. Rates and rules change annually — verify with a CPA before relocating. This page is educational and not personalized tax or legal advice.