30. Tennessee
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Average annual benefit: $17,401
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In the Volunteer State, 964,035 retirees collected average monthly benefits of $1,450.11. Tennessee does not tax retirement income or benefits. Senior homeowners may find additional relief on the already low property taxes.
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Tennessee has one of the highest sales taxes. Groceries are not exempt, taxed at 4%, but prescription drugs are exempt. There are no inheritance or estate taxes. There is a state income tax on interest and dividends.
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