By Hank Russell
Just in time for Memorial Day, in which we remember those who sacrificed their lives for this country, WalletHub recently came out with a study showing the best and worst states to live in for those who retired from military service. Based on the findings, New York fell in the bottom third overall.
According to the study, the state was ranked the 38th best state for military retirees. The best for those retired from the military was South Carolina, while Oregon was the worst.
One of the factors that determined the rankings was the tax rate. Next to Illinois, New York had the highest tax rate, with residents paying 14.95% in state and local taxes; in addition, the state had the fifth-highest cost of living. Based on WalletHub data, Alaska, Delaware and Wyoming had the lowest tax rates.
WalletHub also found that New York had the lowest per-capita of veterans, next to New Jersey. However, the Empire State had the highest number of Veterans Administration (VA) health facilities per number of veterans and ranked seventh in terms of the quality of VA hospitals and third in the quality of health care overall.
The problems military retirees will have in this state are getting a job, finding an affordable place to live and starting a business. WalletHub found that New York ranks 39th in job opportunities for veterans, 49th in housing affordability (behind California and Hawai) and 50th in the percentage of businesses owned by veterans (behind New Jersey). New York also had a high percentage of homeless veterans, ranking 38th.
Also, if veterans need assistance with benefits, they may be out of luck: New York has only the 38th-most VA Benefits-Administration facilities per number of veterans. The state also received poor marks for veterans, in terms of economic environment (49th) and quality of life (46th).
“Transitioning from military to civilian life isn’t easy, but the best states for military retirees make that adjustment as smooth as possible,” said WalletHub analyst Chip Lupo. “In addition to providing the conditions necessary for our veterans to thrive financially, they also have ample resources for taking care of military retirees’ physical and mental health.”
When asked what retired military personnel should consider when deciding where to live, First Sergeant Barry Horner (retired), director of veteran and military services at Central Community College in Nebraska, suggested retiring near a military base or a VA medical facility.
“The local military installation offers Commissary, Exchange, dry cleaning, barbers/salons, eye care — all sorts of services at competitive or reduced rates when compared to off-post services,” Horner said. “Some military installations offer housing to retirees if one doesn’t mind living back on post/base. That option costs less than renting or buying a home and, for some, living under the military umbrella is a good option.”
He also suggested finding a state that doesn’t tax federal retirement pay. “After location, taxes on retirement pay needs considered to ensure retirees receive as much of their hard-earned pay as possible,” he said.
Elizabeth Kubala, the executive director of the Wohl Veterans Legal Clinic and director of veteran and military affairs for the Syracuse University College of Law, said she “would personally welcome tax relief” for veterans such as herself. “Tax exemptions for military retirement are a meaningful financial benefit to honor those who served their nation.”