Inge Johnsson—Alamy
By amondalek
October 24, 2016

When it comes to choosing a retirement destination, the big challenge is whittling down the possibilities. One critical factor to consider: how much of a bite of your nest egg. This year we went in search of the tax-friendliest small cities in the country—places big enough to have the amenities that retirees prize, such as access to great health care and recreation, but still affordable and compact enough to be manageable. Starting with states that have the lowest overall tax burdens, we zeroed in on locales that offer breaks on income, , pension, estate, and other taxes. These 12—a winner and runner-up in each region of the country—rose to the top.


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