Retiring in South Carolina: Your Tax-Friendly Palmetto Paradise
Retirement South Carolina
Although South Carolina gets its nickname of “The Palmetto State” from the famous Sabal Palmetto tree that lines nearly 200 miles of coastline, the state has so much more to love than just its trees and beaches. One perk in particular? Retiring in South Carolina means tax-friendly golden years — and it’s a great place to live!
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Benefits of Retiring in South Carolina
Yep, it’s no surprise: South Carolina has some pretty incredible beaches. But in addition to its gorgeous coastline, the state offers plenty of other outdoor excitement, not to mention mild weather to enjoy it all throughout the year. And history buffs can always find somewhere to explore in South Carolina, as it was one of the original 13 colonies. There are battlefields, famous forts, and towns featuring colonial history to explore while living in the Palmetto State.
Retiring in South Carolina — FAQs
Q: Is South Carolina a good state to retire to?
A: With an affordable cost of living, tax benefits for retirees, beautiful summers, and mild winters, there’s no question that South Carolina is a good state for retirees.
Q: What are the benefits of living in South Carolina for retirees?
A: South Carolina is proud to represent southern hospitality at its finest — its cities and towns are brimming with Southern charm. And whether you prefer to be immersed in some of the state’s rich history or surrounded by beautiful beach views, there's a place every retiree can happily call home in South Carolina.
Q: What are the pros and cons of retiring in South Carolina?
A: If you decide to retire in South Carolina, you’ll certainly be able to enjoy the beautiful coastline and ideal weather, among many other benefits. But just as in any other place, retiring in South Carolina also has a few “cons” — like the potential for extreme weather, for one, and expensive real estate in certain parts of the state.
Q: Where is better to retire, Florida or South Carolina?
A: That depends on your personal preferences, of course. But when comparing the cost of living in South Carolina and Florida, South Carolina’s cost of living is much cheaper overall. South Carolina has a cost of living index of 89.3, which is 10.7 percent lower than the national average. Florida, on the other hand, has a cost of living index of 103.1, a little more than 3 percent higher than the national average. One reason for the Sunshine State’s index is its higher-than-average housing value.
History comes alive in Charleston, SC, where Fort Sumter witnessed the first shots of the Civil War.
Retiring in South Carolina — Pros and Cons
To help balance your options and figure out if the Palmetto State is right for you, check out some of the major pros and cons you can expect to experience if you decide to retire in South Carolina.
Pro: Ideal Warm Weather
One of the biggest benefits of retiring in South Carolina is getting to enjoy warm weather all year, which is why so many retirees end up here rather than the slightly less moderate state of North Carolina. Winters in South Carolina are mild, and the spring and fall provide the most ideal weather for lots of outdoor activities.
Con: Annoying Bugs
Due to the warm climate in South Carolina and other areas in the South, various kinds of bugs, such as fire ants, cockroaches, and mosquitoes, can be found throughout the state. Termites, which can cause damage to your home, are also rampant in some parts of South Carolina.
Pro: Outdoor Living at Its Best
South Carolina's coast is known for its beautiful beaches and numerous attractions. One of these is Myrtle Beach, a resort town that offers a variety of entertainment options and beachy activities. Attractions residents and vacationers enjoy include the SkyWheel on the boardwalk and beautiful sunsets in the evening.
Residents throughout the state also enjoy a wide range of activities that involve forest trails, lakes, and picturesque walking among the hills. The best forests in South Carolina include the Francis Marion and Sumter National Forest and Congaree National Park.
Con: Extreme Weather
Situated along the Atlantic coast, South Carolina is at risk of storms, floods, hurricanes, and tornadoes. But extreme weather is common in many popular retirement spots, including Florida.
Pro: Lots of History
South Carolina played a crucial role in the Civil War and was one of the original 13 colonies in the United States. The city of Charleston, for example, is rich in historical architecture and landmarks, including
Fort Sumter and the Aiken-Rhett House.
Con: Expensive Home Prices in Certain Areas
While you can take advantage of low property taxes in South Carolina, retirees looking to buy coastal property in a desirable area like Charleston or Myrtle Beach will have to spend a decent amount of money. Just like with many big cities across the U.S., housing prices will get more expensive the closer you get to the water.
The Best Places To Retire in South Carolina
Charleston is a coveted destination for retiring in South Carolina.
1. Charleston, SC
- Average rent (one-bedroom): $2,025
- Average home value: $562,800
- Great for: Hospitality, history, unique architecture
Those looking to relocate to South Carolina will find Charleston's Southern charm and history appealing. The locals are welcoming and friendly, and the culture in the area is best characterized by proper manners and hospitality.
As one of the oldest cities in the state, Charleston has plenty of well-preserved, colonial-style structures along its beautiful cobbled streets. One of the most famous sites in the city is Fort Sumter, where the first shots of the American Civil War were fired. Other historical landmarks include the Drayton Hall mansion and the Magnolia Cemetery. And for retirees who enjoy a good meal after sightseeing, Charleston does not disappoint. World-class dining includes restaurants such as Lowland, consistently named among the city’s best, where the James Beard Award-winning chef dishes up classic Southern comfort food with signature flair.
2. Columbia, SC
- Average rent (one-bedroom): $1,400
- Average home value: $221,200
- Great for: Fun attractions, vibrant downtown area, music performances
Columbia, South Carolina's capital, is home to a variety of interesting attractions, including the Riverbanks Zoo & Garden, a great place to explore when the grandkids come for a visit. The city also boasts the largest indoor entertainment venue in the state, the 18,000-seat Colonial Life Arena, home to the University of South Carolina Gamecocks, concerts, and other live events.
As a college town, Columbia has a vibrant atmosphere that’s a bit different from other cities and towns in the state. Its downtown area is full of trendy restaurants and bars, as well as live music performances throughout the year.
3. Greenville, SC
- Average rent (one-bedroom): $1,425
- Average home value: $307,300
- Great for: Art, culture, history
Greenville is regarded as one of the best cities in the state — and the country: Green Vegas, as locals fondly refer to it, was ranked No. 4 on U.S. News & World Report’s Best Places to Live in 2024-2025.
Greenville has a wide variety of art and culture to offer visitors and residents. The Greenville County Museum of Art, for example, features an extensive collection of works by prominent Southern artists, and the Upcountry History Museum is a must-visit for anyone interested in exploring Greenville's history and understanding what life used to be like in Upstate South Carolina.
4. Myrtle Beach, SC
- Average rent (one-bedroom): $1,650
- Average home value: $300,700
- Great for: Entertainment options, shopping, golfing, affordable housing
Known as the Grand Strand, a 60-mile stretch of white sandy beaches along the South Carolina coast, the communities of Myrtle Beach have been popular vacation destinations for Northerners for decades. From the famous boardwalk attractions to the area’s 90-plus golf courses, there’s no shortage of recreation for retirees. Fishing boats and dolphin cruises head out to sea daily, hosted by local stalwarts, including the captains of the Hurricane Fleet.
Arts lovers can also enjoy local live performances or the Myrtle Beach Art Museum, where exhibitions include the works of regional artists and touring shows. And dining aficionados will find no shortage of local seafood. The Sea Captain’s House is a local favorite that’s been around for 60 years — and it’s open for breakfast, lunch, and dinner. (Here’s a live webcam from the balcony, just for fun.)
Hilton Head is known for its world-class beaches and golf resorts.
5. Hilton Head Island, SC
- Average rent (one-bedroom): $2,875
- Average home value:$762,000
- Great for: Golfing, recreational activities, retirement communities
Hilton Head Island is known for its world-class beaches and golf resorts, including Harbour Town Golf Links, the Robert Trent Jones Golf Course, and the Hilton Head National Golf Club. And what would retiring in South Carolina be without recreational activities like hiking, art classes, and tours?
What’s more, nearly 40 percent of residents are 65 or older. This statistic makes Hilton Head Island an ideal community for retirees to settle down — lots of appropriately aged friends to make! However, as a resort town, Hilton Head has some pretty hefty home prices — but when you’re considering retiring in South Carolina, pros and cons balance out. The island’s quality of life, along with South Carolina taxes — for retirees and other residents — make Hilton Head a terrific place to retire.
6. Pendleton, SC
- Average rent (one-bedroom): $2,025
- Average home value: $273,000
- Great for: Fishing, seafood, festivals, attractions for grandkids
Rated by Niche as the No. 3 best place to live in South Carolina in 2024, Pendleton is a small town nestled in the Upstate region, with easy access to Clemson University — just 10 minutes away — and within an hour of the Blue Ridge Mountains.
Pendleton is known for its historic district, one of the largest in the country — and a treasure trove of Southern charm and creativity. Restored homes and shops line the quaint streets, along with cozy cafes and coffee shops. Visit the Art Gallery on Pendleton Square for a showcase of regional artistry. As for dining, local restaurants include 1826 Bistro on the Green, which serves up craft cocktails and regional specialties (try the speckled trout!).
7. Murrells Inlet, SC
- Average rent (one-bedroom): $1,800
- Average home value: $379,600
- Great for: Fishing, seafood, festivals, attractions for grandkids
The village of Murrells Inlet is about 12 miles south of Myrtle Beach — but feels worlds apart. Named the best place to retire in South Carolina by Niche, this fishing haven has a quieter, laid-back energy, focused more on natural beauty and recreation than the touristy-boardwalk vibe of other destinations. But it wasn’t always a peaceful paradise: According to legend, Murrells Inlet was once a pirate hideout for legends like Blackbeard and Stede Bonnet.
Today, however, the village has a variety of calmer attractions, perfect for retirees, like Brookgreen Gardens and Huntington State Park. And known as the seafood capital of South Carolina, Murrells Inlet is home to dozens of restaurants — many offering dishes that are fresh-off-the-boat delicious. Locals love to dine in one of the destinations along the MarshWalk, a half-mile boardwalk overlooking a natural saltwater estuary. Festivals also contribute to the area's appeal, such as the Atalaya Arts and Crafts Festival, which takes place each year and features over 100 artists.
8. Rock Hill, SC
- Average rent (one-bedroom): $1,450
- Average home value: $324,400
- Great for: Recreational facilities, vibrant downtown atmosphere, cultural events
Rock Hill is just 30 miles from Charlotte, North Carolina, and it’s home to more than 30 parks — two things that make this town a great choice for retirees who love to stay active. It’s also home to Winthrop University, which adds the vibrance of a college town. For retirees who want a quieter pace but still desire modern conveniences and amenities, Riverwalk is a 1,000-acre planned community along the Catawba River with a variety of housing options, several retail and dining centers, and lots of recreational facilities.
In Rock Hill’s historic Old Town, residents flock to First Fridays and visit the galleries, restaurants, and bars of the neighborhood. A must: Old Town Kitchen & Cocktails for local seafood and specialty drinks.
Upscale homes and resorts line the waterways of Isle of Palms, a barrier island off the coast of South Carolina.
9. Isle of Palms, SC
- Average rent (one-bedroom): $2,275
- Average home value: $1.6M
- Great for: Local beach and racquet club for residents, beautiful homes, golfing, volleyball tournaments
Isle of Palms is a beautiful barrier island town near Charleston, South Carolina, known for estate homes and pristine beaches. Resorts are also a hallmark of this upscale destination: The Wild Dunes Beach and Racquet Club is located on the northern end of the island, and locals also enjoy the Windjammer Resort and Beach Club. For less-pricey pursuits, the Isle of Palms County Park is a great place to swim, play volleyball, and enjoy a tasty ice cream cone on the boardwalk.
All the dining and attractions of Charleston, the grand dame of South Carolina, are just 30 minutes away. But there’s no need to leave the Isle of Palms. Try Coda Del Pesce for a romantic date night or a special family event, Papi’s Taqueria for authentic Mexican cuisine, and one of the island’s many tasty breakfast spots.
10. Tega Cay, SC
- Average rent (one-bedroom): $1,575
- Average home value: $583,100
- Great for: Variety of housing options, recreational activities, local golfing
Ranked the No. 1 best place to live in South Carolina by Niche, Tega Cay is located on a peninsula on the eastern side of Lake Wylie. It’s a peaceful community — previously a gated community constructed in the 1970s — surrounded by thick forests and only about 20 miles from Charlotte, NC.
A steady increase in new housing in Tega Cay, including single-family homes, townhomes, and apartments, has brought new residents into the area. And at the Tega Cay Golf Club, guests enjoy 27 holes of golf and a variety of other local activities, such as boat launches along the shoreline, tennis courts, and trails.
11. Northlake, SC
- Average rent (one-bedroom): $1,225
- Average home value: $257,200
- Great for: Water activities, affordable and stylish homes
Located in South Carolina's Upstate region, Northlake is adjacent to the city of Anderson and just about 30 miles away from Greenville. Homes here are affordable and the cost of living is more than 12 percent below the national average, which makes it even more attractive for people considering retiring in South Carolina.
Ranked the No. 1 best suburb to buy a house in South Carolina by Niche, Northlake is located on the northern section of Lake Hartwell, a 56,000-acre reservoir popular with residents. Along with water skiing, residents enjoy recreational activities such as fishing, swimming, and watching wildlife. The neighborhoods in Northlake are well designed and feature well-kept homes in all kinds of styles and colors. The homes on the water, in particular, are larger, and many feature boat docks.
What Are the Tax Benefits of Retiring in South Carolina?
South Carolina is considered a tax-friendly state for retirees, offering several benefits to make retirement more affordable. We recommend consulting with a tax professional for individual guidance, of course. But in general, retiring in South Carolina is a good financial move. One of the key questions retirees often ask is: “Does South Carolina tax Social Security?” The good news is the Palmetto State does not tax these benefits, which provides significant relief for retirees who rely on this income.
Overall, South Carolina retirement taxes are among the most favorable in the U.S. The state allows generous deductions on other types of retirement income, such as pensions, 401ks, and IRAs. In fact, taxpayers ages 65 and older can claim a retirement income deduction of up to $15,000, which will certainly help to reduce South Carolina taxes for retirees.
How Much Money Do You Need To Retire Comfortably in South Carolina?
So is South Carolina a good place to live for retirement? Absolutely! Although the Palmetto State is home to so many great perks like beautiful weather, lots of outdoor activities, and rich history, the affordable cost of living is why so many retirees ultimately decide to make South Carolina their new home.
Retirees in the state enjoy favorable tax rates, as there's no tax on Social Security benefits. In addition, various types of retirement income, such as private pension plans and retirement accounts, can be eligible for deductions of up to $15,000.
And with a cost of living index of 89.3, South Carolina’s is approximately 11 percent less expensive than the national average. Housing is around 23 percent lower than the national average, as well — although monthly utilities may be one of your pricier expenses, at about 4 percent higher than the national average.
When comparing nearby Southern states like North Carolina and Florida, South Carolina’s cost of living is much cheaper overall. North Carolina has a slightly higher cost of living index of 91, while Florida has a cost of living even higher than the national average, at 103.1.
But, specifically, how much money do you need to retire comfortably in South Carolina? That depends on several factors. Start with your pre-retirement salary. According to NerdWallet, you want to aim to save about 10 to 15 percent of your pre-tax income annually before you retire. How much you end up with depends on when you started and how much you saved, of course. And how much you need to live comfortably in South Carolina, specifically, depends on your personal lifestyle preferences.
PODS delivers your container right to your driveway so you can pack and move at your own pace
Retiring in South Carolina: Making the Move With PODS
Is South Carolina a good place to retire to? Absolutely! And with a portable container from PODS, it couldn’t be easier. The container will be delivered to your driveway, where you can pack and load it on your own schedule. Then, it will be transported to your new home when you’re ready to move. And if you need a little extra time at any point, that’s no problem! Flexibility is automatically built in, with one month of storage included in the price of every move.
Editor’s note: Average rent prices were obtained from RentCafe and average home values were obtained from Zillow. For ease of reading, monthly rental prices were rounded to the nearest $25 and home values were rounded to the nearest $100.
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