5 States That Do Not Tax Social Security or Retirement Income

4. Georgia

Insider Monkey Score: 18

Tax Friendliness: Very Tax Friendly

Cost of Living Index: 90.9

The state of Georgia does not tax social security benefits. Moreover, all types of retirement income are provided a maximum deduction of $65,000 per person for seniors aged 65 or older. In other words, withdrawals from retirement accounts and public and private pensions are partially taxed. The cost of living in this state is 9.1% lower than the national average.