17. Maryland
- State sales and average local tax: 6 percent
- State tax on Social Security: None
- Effective property tax: 1.04 percent
- Income tax rate (65+): 4.75 percent
Maryland doesn’t tax your Social Security benefits, and its income tax rate is quite reasonable. Additionally, its sales tax is relatively low compared to other U.S. states listed here. Overall, the Old Line State is a state where most retirees are eager to move to.
16. Virginia
- State sales and average local tax: 5.73 percent
- State tax on your Social Security: None
- Effective property tax: 0.86 percent
- Income tax rate (65+): 5.75 percent
Virginia’s elderly residents enjoy no taxes on their Social Security benefits. The state also has the 10th-lowest sales tax. However, things aren’t that good when it comes to its income tax rate. Compared to more than half of the U.S. states listed in this article, Virginia’s income tax rate is really high.
