3. Delaware

Average annual benefit: $19,009

In The First State, 156,16 retirees collected average monthly benefits of $1,584.12. Delaware does not tax Social Security. There is an available deduction on income derived from retirement accounts or pensions, which are both taxable.

Kiplinger calls Delaware the “most tax-friendly” with no state sales tax or death taxes and very low property taxes. There is also a school property tax credit available for some seniors. There are no estate or inheritance taxes.