Another state that retirees may want to think twice about settling in, New Jersey has the highest property taxes in the entire nation. It is $2,530 per $100,000 in home value. For a $400,000 home that’s an annual tax bill of (hold your breath) some $10,120. Now for some good news: The state offers a program that reimburses eligible seniors for property tax increases. However, in order to qualify you not only need to be at least 65, but you must also have lived in the state for at least a decade and have income below specific limits. The 2019 limit was $91,505 or less. There’s also a $250 property tax deduction for seniors who have annual income of $10,000 or less. As for income taxes here, they are not quite so significant. Married seniors filing a joint return are allowed to exclude up to $80,000 of income from a pension, annuity, IRA, or other retirement plan if their New Jersey income is $100,000 or less. Single taxpayers and married taxpayers filing a separate return are permitted to exclude as much as $60,000 and $40,000. As of 2020, the maximum exemption increases to $100,000 for joint filers, $75,000 for single filers, and $50,000 for separate filers. Also, noteworthy, Social Security benefits are not taxed in New Jersey. One more positive note, sales taxes are also not steep here. The state’s sales tax rate is about 6.6%. And while there is no estate tax here, there is still an inheritance tax.