Side-by-side for American retirees in 2026.
One of the most generous states for retirees — up to $130K per couple of retirement income excluded from state tax. Mild climate, mountains, and Atlanta as a hub.
Big, varied, and tax-friendly. No state income tax, lower cost of living than Florida, and three distinct retirement regions (Hill Country, Gulf Coast, North Texas).
| Flat 5.29% | Income tax | No state income tax |
| Exempt | Social Security | Exempt |
| $65K/person retirement exclusion at 65+ — among the most generous in the US | Pension treatment | All retirement income state-tax-free |
| 0.81% | Property tax (effective) | 1.63% |
| 7.40% | Avg combined sales tax | 8.20% |
| 90.8 | Cost of living (US=100) | 92.6 |
| None | Estate / inheritance tax | None |
| Hot humid summers, mild winters in southern half; cooler in northern mountains. Long growing season. | Climate | Highly varied. Hot humid summers statewide. Hill Country mild winters; Panhandle has snow; Gulf Coast similar to Florida. |
| Strong — Emory Healthcare (Atlanta), Piedmont Healthcare. Solid coverage in mid-sized cities. | Healthcare | Strong in major metros — MD Anderson Cancer Center (Houston), Houston Medical Center, Dallas-area systems. Rural Texas healthcare is weaker. |
| Athens, Savannah, Blue Ridge | Top retirement cities | Fredericksburg, San Antonio, Georgetown |
Standard $2,000 homestead + larger exemptions for 65+ in many counties; double for 65+ with income under ~$10K
$100K homestead exemption (2023) + senior 65+ school tax freeze + additional $10K senior exemption
Georgia: One of the most generous states for retirees — up to $130K per couple of retirement income excluded from state tax. Mild climate, mountains, and Atlanta as a hub. Texas: Big, varied, and tax-friendly. No state income tax, lower cost of living than Florida, and three distinct retirement regions (Hill Country, Gulf Coast, North Texas). The right choice depends on your income mix, climate preference, and whether state income tax matters more to you than property tax.
No, Georgia does not tax Social Security retirement benefits.
No, Texas does not tax Social Security retirement benefits.
Georgia's cost of living index is 90.8 (US = 100). Texas's is 92.6. Georgia is cheaper on average.
Enter your retirement income and see the after-tax difference between Georgia and Texas 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.