$49,495 difference over 30 yearsFor one couple (both 60, $2M, 60/40, $80,000 a year to spend after tax), QuantCalc's 51-state planner study found a median 30-year income-tax bill (federal + state + IRMAA) of $212,092 in South Carolina and $162,597 in Florida — Florida is the cheaper state by $49,495.
South Carolina vs Florida at a glance
| Factor | South Carolina | Florida |
|---|---|---|
| State income tax | 5.21% top | None |
| Taxes Social Security | No | No |
| Taxes 401(k)/IRA | Yes | No |
| State estate/inheritance tax | No | No |
| Tax on $100k withdrawal | $1,402/yr | $0/yr |
| Retirement-friendliness | moderate | tax free |
| 30-yr median income tax, federal + state + IRMAA (MC) | $212,092 | $162,597 |
| 30-yr state income tax (MC) | $49,028 | $0 |
| 30-yr success rate (MC) | 83.14% | 84.05% |
| Median balance at 90 (MC) | $2,051,661 | $2,153,150 |
The income-tax difference, year by year
The simplest way to see the gap: take a married couple, both 65, whose only income is a $100,000 IRA withdrawal split evenly between them. On that withdrawal South Carolina collects $1,402 in state income tax and Florida collects $0 — a difference of $1,402 every year. Both figures are QuantCalc's state tax engine run on the couple's whole 2026 return in each state, so each state's own brackets, deductions, retirement-income exclusions and credits apply. A senior deduction against any income from age 65, and Social Security fully exempt. No state income tax, no estate tax, a primary FIRE destination.
Over a 30-year retirement, QuantCalc's 51-state planner study (one couple, identical portfolio and after-tax spending in both states, only the state changes; every year priced by the planner's federal and state tax engines) puts the median income-tax difference at $49,495.
Beyond income tax
State income tax is only part of the retirement-cost picture. When comparing South Carolina and Florida, also weigh:
- Property tax — a tax-free-income state can still have high property tax; factor your home value.
- Sales tax — affects every dollar you spend, not just income.
- Estate / inheritance tax — South Carolina: none; Florida: none. Matters for larger estates.
- Roth conversion cost — converting in the lower-income-tax state of the two cuts the state tax on each converted dollar. See conversion-tax scenarios.
See South Carolina vs Florida on your full plan
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Compare other states
Deep-dive either state: South Carolina retirement tax guide · Florida retirement tax guide. Or see the full 50-state comparison and the 51-state Monte Carlo study.
FAQ
Is South Carolina or Florida better for retirement taxes?
On income tax, Florida is the lighter-tax state. In QuantCalc's 51-state planner study, one couple (both 60, $2M, $80,000 a year to spend after tax) pays a median $162,597 of federal and state income tax and IRMAA over 30 years in Florida versus $212,092 in the other — a $49,495 difference on identical income and spending.
Does South Carolina tax Social Security and 401(k) withdrawals?
South Carolina does not tax Social Security benefits and taxes 401(k)/traditional IRA distributions at the state level. A senior deduction against any income from age 65, and Social Security fully exempt.
Does Florida tax Social Security and 401(k) withdrawals?
Florida does not tax Social Security benefits and exempts 401(k)/traditional IRA distributions at the state level. No state income tax, no estate tax, a primary FIRE destination.
How much would moving from South Carolina to Florida save on retirement taxes?
For a married couple, both 65, whose only income is a $100,000 IRA withdrawal split evenly between them, the state income tax is $1,402 in South Carolina versus $0 in Florida — $1,402 per year of difference. Over 30 years, the planner study's median income-tax gap was $49,495. Don't forget property tax, sales tax, and estate tax also differ — see the table above.
Last updated 2026-10-28. State tax data 2026 (Tax Foundation + state DoR); the withdrawal figures are QuantCalc's state tax engine. Monte Carlo figures from the QuantCalc 51-state planner study (v2026.3, re-run 2026-10-12, CC-BY-4.0): one couple, both 60, $2M, 60/40, $80,000 a year to spend after tax, in each state. Educational only, not tax advice.