35. Alabama
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Average annual benefit: $17,222
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In the Heart of Dixie, 709,443 retirees averaged $1,435.18 in monthly benefits. They aren’t taxed, but groceries aren’t exempt from the 9.22% average sales tax. Federal taxes may be deducted from state taxable income.
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In 1940, Social Security comprised only 0.29% of the national budget. By the 1970s, this was over 20%. Today, it’s approximately 23% of the budget, over $1 trillion. Approximately 83% was allotted to over 45 million retired workers.
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