Florida’s zero state income tax saves $5,000 to $15,000 annually
A $2.2 million portfolio in Florida can yield $77,000 in gross annual income at a 3.5% blended yield.
This income faces federal tax only in Florida, but is also subject to a state marginal rate of roughly 6% in New York.
The weighted state and local tax burden for a New York resident is $10,828 per capita, compared to $5,110 in Florida.
A 3.5% dividend growth portfolio can double to $154,000 in nine years, while a 10% high-yield strategy may result in principal erosion.