37 states that do not tax Social Security benefits | Personal Finance – Community News
Social Security

37 states that do not tax Social Security benefits | Personal Finance

If you retire in one of these 37 states, you don’t have to worry about your benefits being taxed at the state level:

  1. Alabama
  2. Alaska
  3. Arizona
  4. Arkansas
  5. California
  6. Delaware
  7. Florida
  8. Georgia
  9. Hawaii
  10. Idaho
  11. Illinois
  12. Indiana
  13. Iowa
  14. Kentucky
  15. Louisiana
  16. Maine
  17. Maryland
  18. Massachusetts
  19. Michigan
  20. Mississippi
  21. Nevada
  22. New Hampshire
  23. New Jersey
  24. New York
  25. North Carolina
  26. Ohio
  27. Oklahoma
  28. Oregon
  29. Pennsylvania
  30. south carolina
  31. south dakota
  32. Tennessee
  33. Texas
  34. Virginia
  35. Washington
  36. Wisconsin
  37. Wyoming

Should You Avoid States That Offer Tax Benefits?

It’s easy to see why seniors would rather avoid having their Social Security income taxed at the state level. But it’s also important to realize that some states that have tax breaks offer other benefits, such as a low cost of living and a temperate climate.

In addition, your goal may be to move closer to your family after you retire. And you shouldn’t necessarily be put off by the idea of ​​state-level Social Security taxes.

For starters, many of the states that have tax breaks also offer exemptions for low and middle earners. Second, there are other steps you can take to lower your overall tax burden in retirement.