Retirement income tax by state
Which states tax Social Security, pensions and military retirement in 2026?
Eight states tax some Social Security benefits for 2026: Colorado, Connecticut, Minnesota, Montana, New Mexico, Rhode Island, Utah and Vermont, and most of them only above an income limit or below a certain age. Nine states have no tax on personal income at all. Pensions, IRA withdrawals and military retirement pay are treated very differently from state to state, as the table below shows.
Which states tax Social Security in 2026?
These eight states tax at least some federally taxable Social Security benefits for 2026. In each, retirees below the limits shown pay nothing on their benefits. West Virginia dropped off the list for 2026, when its exemption reached 100% for every filer; for 2025 it still taxed part of the benefits of people with AGI over $50,000 ($100,000 joint).
- Colorado: exempt at 65 or older, and from 55 to 64 with AGI up to $75,000 ($95,000 joint); otherwise up to $20,000 is subtracted.
- Connecticut: exempt with federal AGI under $75,000 ($100,000 joint or head of household); above that, up to 25% of benefits is taxed.
- Minnesota: fully subtracted with AGI under $86,410 single or $110,780 joint for 2026, phasing out above that.
- Montana: taxed to the same extent as on your federal return.
- New Mexico: exempt with federal AGI up to $100,000 ($150,000 joint); above that, none of it is exempt.
- Rhode Island: exempt at full retirement age with AGI under $107,000 ($133,750 joint) for 2025; the age test ends in 2027.
- Utah: taxed, but a credit cancels the tax with AGI up to $54,000 single or $90,000 joint, shrinking above that.
- Vermont: exempt with AGI up to $55,000 ($70,000 joint), phasing out to nothing at $65,000 ($80,000 joint).
States with no tax on retirement income because they have no income tax
Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming tax no personal income, so Social Security, pensions, IRA and 401(k) withdrawals and military retirement pay are all untaxed there. New Hampshire joined the list for 2025, when its interest and dividends tax ended. Washington’s capital gains tax does not apply to retirement accounts.
How every state taxes Social Security, pensions and military retirement
The table shows the main rules for 2026, or 2025 where the 2026 figures are not yet published. Social Security here means the part that is taxable on your federal return, which is what states start from. Each state’s page has the details, forms and income limits.
| State | Social Security | Pensions, 401(k) and IRAs | Military retirement |
|---|---|---|---|
| Alabama | Not taxed | Defined-benefit and public pensions exempt; IRA and 401(k) taxed, with up to $6,000 excluded at 65+ | Exempt |
| Alaska | No income tax | No income tax | No income tax |
| Arizona | Not taxed | Taxed; up to $2,500 of federal and Arizona public pensions exempt | Exempt |
| Arkansas | Not taxed | First $6,000 exempt | Exempt |
| California | Not taxed | Taxed | Up to $20,000 excluded for 2025–2029 if AGI is $125,000 or less ($250,000 joint) |
| Colorado | Exempt at 65+; limits from 55 to 64 | Up to $20,000 subtracted at 55–64, $24,000 at 65+, shared with Social Security | Up to $15,000 under 55; pension subtraction from 55 |
| Connecticut | Exempt under $75,000 AGI ($100,000 joint); up to 25% taxed above | Exempt below $75,000 AGI ($100,000 joint), phasing out; IRAs fully from 2026 | Exempt |
| Delaware | Not taxed | Up to $12,500 excluded at 60+; $2,000 under 60 | Up to $12,500 excluded (rising from 2027) |
| Florida | No income tax | No income tax | No income tax |
| Georgia | Not taxed | Up to $35,000 excluded at 62–64, $65,000 at 65+ | Under 62: up to $17,500, plus $17,500 with earned income |
| Hawaii | Not taxed | Employer-funded pensions exempt; 401(k), IRAs and contributory pensions taxed | Exempt |
| Idaho | Not taxed | Taxed, except certain public pensions at 65+ (up to $48,216 for 2025, less Social Security) | Deductible within the same limit if 62+, disabled, or under 62 and working |
| Illinois | Not taxed | Not taxed (qualified plans, IRAs and government plans) | Exempt |
| Indiana | Not taxed | Taxed; civil service annuities up to $16,000 at 62+, less Social Security | Exempt |
| Iowa | Not taxed | Exempt at 55+, or if disabled or a surviving spouse | Exempt |
| Kansas | Not taxed | Federal and KPERS pensions exempt; private pensions, 401(k) and IRAs taxed | Exempt |
| Kentucky | Not taxed | Up to $31,110 excluded | Partly: within the $31,110 exclusion, more for service before 1998 |
| Louisiana | Not taxed | Louisiana public and federal pensions exempt; up to $12,000 of other retirement income at 65+ | Exempt |
| Maine | Not taxed | Up to $49,824 for 2026, less Social Security; phases out at high incomes | Exempt |
| Maryland | Not taxed | Up to $41,200 (2025) at 65+ or disabled, less Social Security; IRAs excluded | Up to $12,500, or $20,000 at 55+ |
| Massachusetts | Not taxed | Federal and Massachusetts government pensions exempt; private pensions and IRAs taxed | Exempt |
| Michigan | Not taxed | From 2026, up to $67,610 ($135,220 joint) subtracted at any age | Exempt |
| Minnesota | Exempt under $86,410 AGI ($110,780 joint), phasing out | Taxed; a small subtraction for some lower-income people 65+ | Exempt |
| Mississippi | Not taxed | Exempt once retired under the plan; early distributions taxed | Exempt |
| Missouri | Exempt at 62+ and for disability benefits | Public pensions up to $47,633 (2025); private pensions and IRAs up to $6,000 within income limits | Exempt |
| Montana | Taxed as on the federal return | Taxed; $5,660 subtraction at 65+ (2025) | Up to 50% subtracted, only against Montana earned income, for five years |
| Nebraska | Not taxed | Taxed (CSRS annuities excluded, FERS not) | Exempt |
| Nevada | No income tax | No income tax | No income tax |
| New Hampshire | No income tax | No income tax | No income tax |
| New Jersey | Not taxed | Up to $100,000 joint ($75,000 single) excluded at 62+, less as income rises to $150,000 | Exempt |
| New Mexico | Exempt with AGI up to $100,000 ($150,000 joint); taxed above | Taxed; up to $8,000 exemption at 65+ with low income | Up to $30,000 exempt |
| New York | Not taxed | New York and federal government pensions exempt; up to $20,000 of other pensions and IRAs at 59½+ | Exempt |
| North Carolina | Not taxed | Taxed, except Bailey settlement government pensions | Exempt with 20 years of service or a medical retirement |
| North Dakota | Not taxed | Taxed | Exempt |
| Ohio | Not taxed | Taxed; small retirement income credit up to $200 | Exempt |
| Oklahoma | Not taxed | Up to $10,000 exempt; CSRS fully | Exempt |
| Oregon | Not taxed | Taxed; federal pensions exempt for service before October 1991 | Taxed, except the share for service before October 1991 |
| Pennsylvania | Not taxed | Not taxed after eligible retirement; IRA withdrawals not taxed at 59½+ | Exempt |
| Rhode Island | Exempt at full retirement age with AGI under $107,000 ($133,750 joint) | Up to $50,000 excluded under the same tests; IRAs excluded from it | Exempt |
| South Carolina | Not taxed | Up to $10,000 deducted at 65+ ($3,000 under 65), within a $15,000 age-65 deduction | Exempt |
| South Dakota | No income tax | No income tax | No income tax |
| Tennessee | No income tax | No income tax | No income tax |
| Texas | No income tax | No income tax | No income tax |
| Utah | Taxed; credit removes it with AGI up to $54,000 ($90,000 joint) | Taxed; up to $450 credit if born in 1952 or earlier | A credit removes the tax |
| Vermont | Exempt with AGI up to $55,000 ($70,000 joint), phasing out | Taxed; option to exempt $10,000 of CSRS or other public pension | Exempt with AGI up to $125,000, phasing out at $175,000 |
| Virginia | Not taxed | Taxed; age deduction at 65+ | Up to $40,000 subtracted |
| Washington | No income tax | No income tax | No income tax |
| West Virginia | Not taxed from 2026 | Taxed; up to $2,000 of PERS, teachers’ and federal pensions exempt; $8,000 at 65+ | Exempt |
| Wisconsin | Not taxed | Up to $24,000 ($48,000 joint) subtracted at 67+ | Exempt |
| Wyoming | No income tax | No income tax | No income tax |
States that don’t tax pensions or IRA withdrawals
Beyond the nine states with no income tax, a few states exempt most retirement plan income outright. Illinois does not tax qualified plans, IRAs or government pensions at any age. Mississippi exempts retirement income once you have met your plan’s requirements. Pennsylvania does not tax pensions and 401(k) payments after you are eligible to retire and have retired, or IRA withdrawals from 59½. Iowa excludes all qualifying retirement income from age 55.
Several more exempt large amounts: Michigan lets anyone subtract up to $67,610 ($135,220 joint) from 2026, Hawaii does not tax employer-funded pensions, Alabama exempts defined-benefit and public pensions, and Connecticut exempts pensions and IRAs below its income limits. Many other states exempt government pensions but tax private pensions and IRAs. For a shorter list of the states with no tax on retirement income, see our article on the nine states that don’t tax retirement income.
States that tax military retirement pay
Most states now exempt military retirement pay in full. The exceptions, for 2025 and 2026:
- California: taxed, except up to $20,000 excluded for 2025 through 2029 when AGI is $125,000 or less ($250,000 joint).
- Montana: up to 50% subtracted, but only against Montana wages or business income and for five years.
- Oregon: taxed, except the part earned by service before October 1, 1991.
- Vermont: exempt with AGI up to $125,000, then phasing out to nothing at $175,000.
- Partial exclusions: Colorado (under 55), Delaware, Georgia (under 62), Idaho, Kentucky, Maryland, New Mexico and Virginia.
- Utah taxes it but gives a credit that removes the tax.
Moving in retirement: your old state can’t follow your pension
Federal law bars a state from taxing a nonresident on income from qualified retirement plans, so once you move away, the state where you earned a pension or IRA generally cannot tax payments you receive later. New York, Oregon, Wisconsin and other states say so in their own guidance. What decides it is your actual residency: the state you leave can keep treating you as a resident until you change your domicile, and you file a part-year return there in the year you move.
Your new state then taxes retirement income under its own rules in the table above, and property, sales and other taxes matter too. Our state pages cover those for every state.
Retiring, or moving in retirement?
USTAXX prepares federal and state returns for retirees, including part-year returns in the year you move, the state retirement and Social Security subtractions, and military retirement exclusions. We are an IRS Authorized e-file provider and work with clients remotely through a secure portal, by phone or video, and in person in Naperville, IL.
Questions people ask
What states tax Social Security in 2026?
Eight: Colorado, Connecticut, Minnesota, Montana, New Mexico, Rhode Island, Utah and Vermont. Most of them tax benefits only above an income limit or below a certain age. West Virginia stopped taxing Social Security for 2026.
How many states don’t tax Social Security?
42 states: the nine with no personal income tax and 33 of the 41 income tax states. One of those, Missouri, exempts it for people 62 or older and for disability benefits, which covers most recipients.
Which states don’t tax pensions?
The nine states with no income tax, plus Illinois, Mississippi and Pennsylvania, which exempt most retirement plan income, and Iowa from age 55. Michigan, Hawaii, Alabama and Connecticut exempt large amounts or certain types of pensions.
Which states tax military retirement?
California (with a $20,000 exclusion for 2025 to 2029 below income limits), Montana, Oregon and Vermont above $125,000 of AGI tax most of it, and several states exempt only part. Most states exempt military retirement in full.
Can my old state tax my pension after I move?
Generally not. Federal law bars states from taxing nonresidents on qualified retirement plan income, so once you have changed your residency, your new state’s rules apply.
Where these rules come from
- Colorado DOR: Social Security, pensions and annuities
- Connecticut DRS: Resident income tax information
- Minnesota Department of Revenue: Social Security benefit subtraction
- Vermont Legislature: 32 V.S.A. §5830e, retirement exclusions
- California Legislature: R&TC §17132.9, military retirement exclusion
- West Virginia Tax Division: Social Security modification
- Illinois Department of Revenue: Publication 120, Retirement Income
General information, current when written, not advice about your situation. Fees and forms change; the official pages above are the authority.
