By state
Retirement tax rules by US state
Approximate effective income-tax rate, Social Security treatment, and notable retirement-income carve-outs for all 50 states + DC. Pick your state for the full picture, a worked example, and a state-specific FAQ.
Last reviewed May 3, 2026
Editorial review pending — see editorial process
| State | Effective rate | Taxes SS? | Notable carve-out |
|---|---|---|---|
| Alabama | 4.50% | No | Excludes all defined-benefit pension and SS income; effective rate is on remaining IRA/401(k) withdrawals. |
| Alaska | 0.00% | No | — |
| Arizona | 2.50% | No | Flat 2.5% income tax (2023+). |
| Arkansas | 3.90% | No | First $6,000 of pension/IRA income excluded for 59½+. |
| California | 6.00% | No | 9.3% top bracket; $75k-$150k retirees usually land at 4-8% effective. Fully exempts SS. |
| Colorado | 4.40% | No | Flat 4.4%. Fully exempts SS for taxpayers age 65+ (2025 law). |
| Connecticut | 5.50% | Yes | Taxes SS above $75k single / $100k joint. Pension/IRA income partially excluded based on income. |
| Delaware | 5.20% | No | Excludes $12,500 of pension/IRA income for 60+. |
| Dist. of Columbia | 6.50% | No | DC fully exempts SS; effective rate covers IRA/401(k) and pension. |
| Florida | 0.00% | No | — |
| Georgia | 5.39% | No | Flat 5.39% (2024+), dropping toward 4.99%. Up to $65k of retirement income excluded for 65+. |
| Hawaii | 6.50% | No | Fully excludes employer-funded pension; partial exclusion on IRAs depending on contributions. |
| Idaho | 5.80% | No | Flat 5.8% (2024+). Fully exempts SS. |
| Illinois | 4.95% | No | Flat 4.95%. Fully exempts ALL retirement income (SS, pensions, 401(k), IRA). |
| Indiana | 3.00% | No | Flat 3.0% (2026; was 3.05%). Local county taxes add 0.5–3% on top. |
| Iowa | 3.80% | No | Flat 3.8% (2025+). Fully exempts ALL retirement income for 55+ (2023 reform). |
| Kansas | 5.40% | No | SS fully exempt as of 2024. Public-pension excluded; private retirement taxed. |
| Kentucky | 3.50% | No | Flat 3.5% (2026; was 4.0%). First $31,110 of pension/IRA income excluded. |
| Louisiana | 3.00% | No | Flat 3.0% (2025+). Excludes federal/state pension; up to $6k of other retirement income for 65+. |
| Maine | 6.50% | No | Up to $45,864 of pension/IRA income excluded (2025). |
| Maryland | 5.00% | No | Up to $39,500 of pension income excluded for 65+. Local county add-on of 2.25–3.2% on top of state rate. |
| Massachusetts | 5.00% | No | Flat 5%. Fully exempts SS. 4% surtax on income over $1M. |
| Michigan | 4.25% | No | Flat 4.25%. Public/private pension exclusions phasing back in for 2026 (PA 4 of 2023). |
| Minnesota | 7.00% | Yes | Taxes SS above $105k joint / $82k single (2025 thresholds, indexed). |
| Mississippi | 4.40% | No | Flat 4.4% (2026; phasing toward 3%). All retirement income (pensions, IRA, 401(k)) fully exempt. |
| Missouri | 4.20% | No | SS fully exempt as of 2024 (no income limit). Public-pension exclusions remain. |
| Montana | 5.90% | Yes | Taxes SS using federal-conformity formula. Top bracket 5.9%. |
| Nebraska | 4.55% | No | Top rate 4.55% (2026, final phase-down). SS fully exempt as of 2024. |
| Nevada | 0.00% | No | — |
| New Hampshire | 0.00% | No | Interest & dividend tax fully repealed for tax year 2025. |
| New Jersey | 6.37% | No | Generous retirement-income exclusion: up to $100k joint / $75k single fully exempt for 62+. |
| New Mexico | 4.70% | Yes | Taxes SS above $100k single / $150k joint (2022 reform). |
| New York | 6.00% | No | $20k pension/IRA exclusion for 59½+; SS fully exempt. Top bracket 6.85% above $215k single. |
| North Carolina | 4.25% | No | Flat 4.25% (2026; phasing toward 3.99% by 2027). SS fully exempt. |
| North Dakota | 1.80% | No | Three-bracket; ~1.5% effective at $75k-$150k. SS fully exempt as of 2021. |
| Ohio | 3.00% | No | Two-bracket (2.75%/3.5%). Retirement income credit up to $200. |
| Oklahoma | 4.40% | No | Excludes $10k of retirement income; SS fully exempt. |
| Oregon | 8.50% | No | 9.9% top bracket; ~7-9% effective for retirees. SS fully exempt. |
| Pennsylvania | 3.07% | No | Flat 3.07%. Fully exempts ALL retirement income (SS, 401(k), IRA, pensions) once you reach retirement age. |
| Rhode Island | 4.70% | Yes | Taxes SS above ~$95k single / $120k joint. Up to $20k pension/IRA exclusion for FRA+. |
| South Carolina | 4.40% | No | Top rate 6.4% but $10k retirement income deduction (under 65) and $15k for 65+ keep effective rate ~4.4%. |
| South Dakota | 0.00% | No | — |
| Tennessee | 0.00% | No | Hall income tax fully repealed 2021. |
| Texas | 0.00% | No | — |
| Utah | 4.55% | Yes | Flat 4.55%. SS partially taxable but with non-refundable credit that often zeroes liability for low/middle income. |
| Vermont | 6.00% | Yes | Taxes SS above $50k single / $65k joint (federal-conformity formula). |
| Virginia | 5.00% | No | Top bracket 5.75%. $12k age-deduction for 65+. SS fully exempt. |
| Washington | 0.00% | No | No income tax. 7% capital-gains tax on long-term gains over $270k (2024 threshold) — applies to taxable brokerage withdrawals only. |
| West Virginia | 5.00% | No | SS tax fully phased out for 2026 (was 35% taxable 2025, 65% 2024). |
| Wisconsin | 5.30% | No | Top bracket 7.65%; ~5-6% effective at retiree income. SS fully exempt. |
| Wyoming | 0.00% | No | — |