25. Iowa

Average annual benefit: $17,614

In the Hawkeye State, 470,664 retirees collected average monthly benefits of $1,467.82. Benefits are not taxed, and there are deductions for other retirement income. The state is only moderately retirement-friendly due to higher-than-average property taxes.

Sales tax is 6%, plus up to 1% by localities. Residents deduct federal taxes from state taxable income. Inheritance tax is exempted for immediate family, as well as lineal ascendants and descendants. There is no estate tax.