Retiring and Relocating? How Your Move May Impact Social Security

Retiring and Relocating? How Your Move May Impact Social Security

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Thinking about moving to a new state—or even another country—for a fresh start in retirement? It sounds exciting, but before you pack your bags, it’s smart to understand how your move might affect your Social Security benefits.

While your monthly check from the Social Security Administration (SSA) won’t change just because you move, where you move to can impact how far your benefits go—and even how much you’ll owe in taxes.

Let’s break it down so you can plan wisely and avoid any surprises.

Moving to Another State: What Stays the Same, What Changes

First, the good news: Your Social Security check doesn’t shrink or grow just because you cross state lines. Whether you’re getting retirement, spousal, or disability benefits, the federal amount remains the same.

But what does change?

Cost of Living Matters

Move to a cheaper area: Your monthly benefits will stretch further, helping you cover more of your expenses.

Move to a pricier area: Your cost of living may outpace your benefit, meaning you’ll need more from savings or other income.

State Taxes on Social Security

Most states don’t tax Social Security benefits—but nine states still do (as of 2025). These include:

Colorado

Connecticut

Kansas

Minnesota

Missouri

Montana

Nebraska

New Mexico

Utah

Important: Each state has its own income thresholds and tax rules. Even if a state taxes Social Security, you might not actually owe anything depending on your income. It’s a good idea to speak to a local accountant or check with the state’s Department of Taxation before you move.

Federal Taxes Might Still Apply

No matter where you live in the U.S., federal taxes on Social Security could come into play, depending on your provisional income.

Provisional income includes:

Your adjusted gross income (AGI)

Half of your Social Security benefits

Nontaxable interest, like from municipal bonds

If moving to a high-cost area pushes your AGI up (because you’re withdrawing more from savings or retirement accounts), it could bump you into a higher tax bracket, meaning more of your Social Security becomes taxable.

Moving Abroad: What to Know Before You Retire Overseas

Dreaming of retiring in a scenic country with a lower cost of living? That can work well—but there are important rules to understand if you plan to live abroad.

Federal Taxes Still Apply Overseas

Even outside the U.S., if your provisional income is high, you’ll still owe federal taxes on your Social Security. So plan your withdrawals and income carefully.

You Might Not Receive Payments in Certain Countries

In most places around the world, you’ll receive your Social Security through direct deposit or prepaid debit card. But if you retire in certain countries, benefit delivery becomes tricky.

Countries where benefits are restricted:

Azerbaijan

Belarus

Kazakhstan

Kyrgyzstan

Tajikistan

Turkmenistan

Uzbekistan

In these cases, you might be able to petition the SSA for payments under restricted conditions.

Countries where Social Security payments are completely blocked:

Cuba

North Korea

If you retire in these countries, you won’t get your payments at all. However, if you later move to a country where SSA payments are allowed, you may receive back payments for the time you missed.

Plan Before You Move Abroad

Before making an international move, contact the Social Security Administration directly. They can explain exactly how your new location could affect your payments and help you plan accordingly.

Quick Summary Table: Social Security and Moving

Move TypeImpact on BenefitsTaxesPayment Restrictions
Within U.S. (State to State)No change to monthly checkPossible state taxes (in 9 states), Federal taxes based on incomeNone
To Another CountryNo change to benefit amountFederal taxes may applyRestricted or blocked in some countries

What Retirees Should Do Now

Compare cost of living before relocating

Check state tax rules if moving within the U.S.

Understand payment rules if moving abroad

Consult a tax expert or financial planner

Update SSA with your new address or direct deposit info

The Overlooked $23,760 Social Security Bonus

Many retirees miss out on thousands in benefits simply because they don’t understand how the system works. For example:

Delaying benefits until age 70 can significantly boost your monthly payment.

Spousal and survivor benefits may offer additional income streams.

Avoiding early retirement penalties or reducing taxable income could increase your lifetime Social Security total by tens of thousands.

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