When people think of relocating for retirement, they often think of Florida -- and millions have actually moved there for their golden years. If the Sunshine State is tempting you, be sure to read up on it and consider lots of pros and cons.
For example, upsides of Florida include lots of natural beauty and beaches, warm winters, and no state income tax. Florida is one of many states that don't tax Social Security benefits, and it doesn't tax pension income or distributions from 401(k) and IRA accounts, either.
There are other taxes, though. For example, Florida's state sales tax is 6%, though groceries and prescription drugs are exempt. (That 6% rate applies to cars, though, so a new $30,000 vehicle could cost you $1,800 in state taxes.)
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Downsides of Florida include hurricane risks; the cost of hurricane and flood insurance (if you seem to need it); skin damage from the sun; pests such as alligators, snakes, and rats; and the hot, hot summers.
The average Florida home value, as of 2025's second quarter, was about $407,830, roughly on par with the recent median U.S. home sale price of $410,800. Much depends on where you live, though. The state's overall cost of living is only 2% higher than the national average, per RentCafe.com, but in places such as Miami and Fort Lauderdale, it can be more than 20% higher.
Car insurance, meanwhile, recently averaged $3,229 annually in Florida for full coverage, well above the national average of around $2,400.
Go ahead and consider Florida, but do a lot of research first. It's also a good idea to just try living there for a few months or even a year, to make sure it's a good fit for you.
