Retirement in Miami: 5 Reasons It Costs You Less Than $50,000 a Year
Written by
Athena Valentine Lent
Edited by
Molly Sullivan
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GOBankingRates recently compiled a list of cities where your retirement will cost less than $50,000 per year to help readers know where their fixed income can go further. Along with the Florida towns of Tampa and Orlando, Miami earned a spot on the list. The average cost for expenditures for those 65 and older comes in at $1,914 per month.
Along with significant tax breaks and a robust senior citizen community, Miami also offers excellent medical care, nice weather, and free city services. These alone are just a few of the perks of retiring here. As the “Golden Girls” once said, “Miami is nice, so I’ll say it twice.” Here are five reasons why you should consider this Florida city for retirement.
No State Income Tax
First and foremost, Miami offers unique financial security for retirees. Why? Florida is one of several states that does not collect a state income tax. This means your Social Security and any other retirement income, such as benefits, are safe from paying state income taxes. This financial freedom can help your money, especially a limited income, go much further, providing a sense of reassurance and confidence in your financial stability.
You Can Take Advantage of a Homestead Exemption
In addition to state income tax breaks, you can also take advantage of a tax break if you own the home you currently reside in, known as a homestead exemption. A homestead exemption can decrease your home’s value, so you pay less in property taxes. Florida allows a homestead exemption of up to $50,000 depending on the location where you reside for all homeowners. Additional benefits exist for those ages 65 and up if you meet specific criteria such as limited income or using your home as your residence for a predetermined period.
Utilities Are Lower Since Fuel Costs Have Declined
Despite a warmer-than-normal climate in Miami, you’ll still get to take advantage of lower than the national average rates for your utilities. On average, Miami residents pay $128.11 for electricity, water and gas. Although utilities are typically lower than a mortgage or rent payment, some states can see higher bills depending on their natural climate. Just think, if you don’t want to turn the air down, you can always go for a swim at the beach. Miami also offers utility assistance to those who live on a limited income, which is perfect for those in retirement.
Free Transportation
Miami Dade County has an excellent transportation system with free transportation for its residents. While not all forms of transportation are free, The Department of Transportation and Public Works (DTPW) offers the Metromover free of charge regardless of age. But for those 65 and older, you can ride all public transportation for free! The Golden Passport EASY Card can be obtained at the Miami-Dade Transit Golder Passport Office or your 311 service center (community resource center). If you live outside of Miami, you can still get a discounted EASY card if you’re 65 and older. With free transportation, it makes it easier to attend any medical appointments as well as run errands.
Free Entertainment
Another perk of living in Miami is that there’s never a shortage of things to do. In addition to beaches and other outdoor activities, various events are planned for seniors. Miami-Dade County Parks, Recreation, and Open Spaces Department offers adults 55 and older access to their free Active Older Adults program. This program provides fitness classes, games, field trips and other recreational activities at no additional cost. Free classes include bingo, yoga, Zumba, sewing and ceramics, just to name a few. Another bonus? Lunch is accessible daily for free, which can help you cut back on your food costs.
The Miami-Dade Public Library System also offers its Museum Pass Program. This program allows free access to over a dozen museums, the Zoom, and popular outdoor attractions. Availability is limited through each library, but it’s easy to get on the list, and admission is good for two. Miami-Dade Library also offers free adult learning classes in various subjects for further education, ADA accommodations for those with limited eyesight, and mobile services such as borrowing a laptop with its own wifi and book delivery.
There are so many reasons to retire to Miami, and it’s a bonus that there are a ton of financial perks those of retirement age can take advantage of. It’s important to take advantage of as many things as you can to make your income go further in your golden years and Miami makes it easy to do so.
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