Side-by-side for American retirees in 2026.
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).
Four-season retirement with proximity to DC, the Blue Ridge, and the Chesapeake Bay. Income tax applies but a meaningful age 65+ deduction softens it.
| No state income tax | Income tax | Progressive, top 5.75% |
| Exempt | Social Security | Exempt |
| All retirement income state-tax-free | Pension treatment | $12K age deduction at 65+; Social Security fully exempt |
| 1.63% | Property tax (effective) | 0.82% |
| 8.20% | Avg combined sales tax | 5.77% |
| 92.6 | Cost of living (US=100) | 101.4 |
| None | Estate / inheritance tax | None |
| Highly varied. Hot humid summers statewide. Hill Country mild winters; Panhandle has snow; Gulf Coast similar to Florida. | Climate | Four distinct seasons. Mild winters in the south/coast; cooler in the mountains. Warm humid summers. |
| Strong in major metros — MD Anderson Cancer Center (Houston), Houston Medical Center, Dallas-area systems. Rural Texas healthcare is weaker. | Healthcare | Excellent — UVA Health (Charlottesville), VCU Health (Richmond), proximity to top DC-area systems. |
| Fredericksburg, San Antonio, Georgetown | Top retirement cities | Williamsburg, Charlottesville, Roanoke |
$100K homestead exemption (2023) + senior 65+ school tax freeze + additional $10K senior exemption
Real estate tax relief for elderly/disabled available in most localities — income limits vary
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). Virginia: Four-season retirement with proximity to DC, the Blue Ridge, and the Chesapeake Bay. Income tax applies but a meaningful age 65+ deduction softens it. The right choice depends on your income mix, climate preference, and whether state income tax matters more to you than property tax.
No, Texas does not tax Social Security retirement benefits.
No, Virginia does not tax Social Security retirement benefits.
Texas's cost of living index is 92.6 (US = 100). Virginia's is 101.4. Texas is cheaper on average.
Enter your retirement income and see the after-tax difference between Texas and Virginia 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.