Moving from Georgia to Gulf Shores & Baldwin County

Georgia is an easy drive to the Alabama Gulf Coast, and plenty of Georgians retire here. But Georgia is already quite tax-friendly to retirees — so be clear-eyed about what the move does and doesn't save.

Don't expect a big income-tax win. Georgia taxes retirement income on paper at a flat 5.19%, but it lets residents 65+ exclude up to $65,000 per person ($130,000 per couple) of retirement income, and Social Security is fully exempt. For most retirees that wipes out the Georgia income-tax bill already. Alabama exempts Social Security and pensions but taxes 401(k)/IRA at up to 5% above a much smaller 65+ exclusion — so for a high-withdrawal retiree, Alabama could even be slightly worse on income tax. The move isn't about income.

What the move actually changes

GeorgiaBaldwin County, AL
Income tax (retirees)5.19% flat, but 65+ exclude $65K/person; SS exempt — often ~$0SS/pension exempt; 401(k)/IRA taxed up to 5% above smaller 65+ exclusion
Property tax (effective)~0.72–0.79%~0.32–0.36%
Sales tax (combined)~7.4% (groceries exempt from state)~9.4% (2% state grocery rate)
Estate taxNoneNone
The real win is property tax — and the beach. Baldwin County's effective property tax is roughly half of Georgia's, a steady annual saving that grows with the home's value. Pair that with living on the Gulf, and you have the actual case for the move. Be honest about two offsets, though: Alabama's sales tax is higher than Georgia's, and if you draw heavily on retirement accounts you may give back some of the property-tax win in income tax. For a Social-Security-and-pension retiree buying a nice home, the move clearly pays; for a big-401(k) retiree it's closer, and mostly about lifestyle.

The line item that dwarfs the tax differences

On the coast, insurance is bigger than any of these tax gaps. A Gulf Shores home can run $4,000+ a year. The way to control it is the same for everyone: lean inland (Foley) and buy a FORTIFIED home. See the insurance guide and FORTIFIED grant guide. Most drive-in Georgia retirees land in inland Foley — LiveOak Village or Ethos — for the best balance of taxes, insurance and Gulf access.

See your real Georgia-to-Alabama delta

Give us your income mix and target home price; we'll show the honest year-one comparison — property, income, sales and insurance — so you know exactly what changes.

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Sources: Georgia Department of Revenue (flat 5.19% income tax; $65K/person 65+ retirement exclusion; SS exempt; no estate tax); Kiplinger/AARP (GA property & sales tax); Baldwin County Revenue Commission & Alabama Department of Revenue. Not tax advice; ranges illustrative. Verified 2026.