41. District of Columbia

Average annual benefit: $16,959

In the nation’s capital, 57,338 retirees collected average monthly benefits of $1,413.25. Moderately tax-friendly D.C. does not tax benefits or government pensions. However, other retirement income is fully taxable.

Property tax and sales tax averages are low (groceries and medicines exempt), but the cost of living is quite high. Estate tax exemption amounts are the lowest in the country, capped at $4 million, nearly a third of the federal cap.