How your state taxes retirement.
You don't have to relocate to plan well. Wherever you live, see how all 50 states and D.C. treat Social Security, pensions, and 401(k)/IRA income — and what senior property-tax breaks you can claim right where you are.
Showing 51 states.
Alaska
- Income tax
- No state income tax
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on any retirement income.
- Property tax
- Moderate; many boroughs give a senior exemption on the first $150,000 of value.
No income or state sales tax, plus an annual Permanent Fund dividend — but high cost of living and cold.
Florida
- Income tax
- No state income tax
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on any retirement income.
- Property tax
- Moderate; generous homestead exemption and 'Save Our Homes' cap, plus extra senior exemptions.
The classic retiree state — no income tax, warm winters, huge 55+ community supply.
Iowa
- Income tax
- Flat 3.8%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; since 2023, retirement income is exempt for residents 55+.
- Property tax
- Above average; senior credit available.
Recent reforms made retirement income tax-free for 55+.
Mississippi
- Income tax
- Flat ~4.4% (declining toward 3%)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Does NOT tax qualified retirement income — Social Security, pensions, and 401(k)/IRA are exempt.
- Property tax
- Among the lowest; homestead exemption for 65+.
Full exemption on retirement income and very low cost of living.
Nevada
- Income tax
- No state income tax
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on any retirement income.
- Property tax
- Below average with assessment caps.
No income tax and no estate tax; warm and increasingly popular with retirees.
New Hampshire
- Income tax
- No tax on wages (interest/dividends tax repealed in 2025)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on retirement income.
- Property tax
- Among the highest in the U.S.; senior exemptions by town.
No income or sales tax, but high property taxes fund local services.
Pennsylvania
- Income tax
- Flat 3.07%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Does NOT tax retirement income for retirees — Social Security, pensions, and 401(k)/IRA are exempt.
- Property tax
- Above average; senior rebate program.
One of the most retiree-friendly tax codes, with a low flat rate.
South Dakota
- Income tax
- No state income tax
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on any retirement income.
- Property tax
- Above average; senior assessment freeze by income.
No income tax and no estate tax.
Tennessee
- Income tax
- No state income tax
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on any retirement income.
- Property tax
- Below average; senior tax-relief and freeze programs.
No income tax, low property taxes, and growing cities like Nashville and Memphis.
Texas
- Income tax
- No state income tax
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on any retirement income.
- Property tax
- Among the highest; over-65 homestead exemption and tax 'ceiling' (freeze).
No income tax, but budget for high property taxes (the 65+ freeze helps a lot).
Washington
- Income tax
- No income tax (7% tax on large capital gains)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on retirement income (capital-gains tax applies only to very large gains).
- Property tax
- Around average; senior exemption and deferral by income.
No income tax on retirement income, though high-end capital gains are taxed.
Wyoming
- Income tax
- No state income tax
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- No tax on any retirement income.
- Property tax
- Among the lowest; senior relief programs.
No income tax, low property taxes, and no estate tax.
Alabama
- Income tax
- Graduated, up to 5%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security and traditional (defined-benefit) pensions are exempt; 401(k)/IRA withdrawals are taxed.
- Property tax
- Among the lowest in the U.S.; homestead exemption for 65+.
Very low property taxes and no tax on Social Security make it gentle on fixed incomes.
Arizona
- Income tax
- Flat 2.5%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; most other retirement income taxed (some military/government exemptions).
- Property tax
- Below average; senior 'freeze' available by income.
Low flat rate and warm, dry climate draw many retirees.
Arkansas
- Income tax
- Graduated, up to ~3.9%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; up to $6,000 of other retirement income excluded.
- Property tax
- Low; homestead credit and senior assessment freeze.
Low overall tax burden and inexpensive housing.
Delaware
- Income tax
- Graduated, up to 6.6%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; $12,500 retirement-income exclusion at 60+.
- Property tax
- Among the lowest in the U.S.
No sales tax and low property taxes make it a quiet retiree favorite.
Georgia
- Income tax
- Flat ~5.39% (declining)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; up to $65,000 of retirement income excluded per person at 65+ ($35,000 at 62–64).
- Property tax
- Below average; senior exemptions vary by county.
Large retirement-income exclusion makes it very gentle for 65+.
Idaho
- Income tax
- Flat 5.695%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; limited deductions for some government pensions.
- Property tax
- Below average; homeowner's exemption and 'circuit breaker' for seniors.
No Social Security tax and a moderate flat rate.
Indiana
- Income tax
- Flat ~3.0% (declining) + local
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; other retirement income taxed (some military deductions).
- Property tax
- Below average; over-65 deduction and circuit-breaker caps.
Low flat rate and affordable housing.
Kentucky
- Income tax
- Flat 4% (declining)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; up to $31,110 of other retirement income excluded.
- Property tax
- Below average; homestead exemption for 65+.
Falling flat rate and a sizable retirement exclusion.
Louisiana
- Income tax
- Flat 3% (recent reform)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; federal/state pensions exempt, plus up to $6,000 of other retirement income at 65+.
- Property tax
- Among the lowest; generous homestead exemption.
Very low property taxes and a new low flat income-tax rate.
Michigan
- Income tax
- Flat 4.25%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; pension/retirement deduction is being phased back in through 2026.
- Property tax
- Above average; homestead property-tax credit.
Recent law restores generous retirement-income deductions.
Missouri
- Income tax
- Graduated, up to ~4.7%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt (tax repealed in 2024); pension/retirement deductions by income.
- Property tax
- Below average; senior 'circuit breaker' and new freeze.
Dropped Social Security taxation in 2024 with no income cap.
North Carolina
- Income tax
- Flat 4.5% (declining)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; other retirement income taxed (certain government pensions exempt under 'Bailey').
- Property tax
- Below average; senior/disabled homestead exclusion.
Falling flat rate, mild climate, and growing Black professional communities.
North Dakota
- Income tax
- Graduated, very low (top ~2.5%)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt (repealed 2021); other retirement income taxed at low rates.
- Property tax
- Around average; homestead credit for seniors.
Some of the lowest income-tax rates in the country.
Ohio
- Income tax
- Graduated (declining, top ~3.5%)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; retirement-income credit for other income.
- Property tax
- Above average; homestead exemption for 65+.
Low and falling income-tax rates plus affordable cities like Columbus.
Oklahoma
- Income tax
- Graduated, up to 4.75%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; up to $10,000 of other retirement income excluded.
- Property tax
- Low; senior valuation freeze by income.
Low taxes and very affordable housing.
South Carolina
- Income tax
- Graduated (top ~6.2%, declining)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; up to $10,000 retirement deduction, plus $15,000 at 65+.
- Property tax
- Among the lowest; homestead exemption for 65+.
Low property taxes, mild climate, and solid senior deductions.
Virginia
- Income tax
- Graduated, up to 5.75%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; up to $12,000 age deduction at 65+ (income-based).
- Property tax
- Below average; local senior exemptions and deferrals.
No Social Security tax and a meaningful 65+ age deduction.
Colorado
- Income tax
- Flat 4.4%
- Social Security
- Taxed (see notes)
- Pensions & 401(k)/IRA
- Residents 65+ can deduct all federally taxable Social Security; a retirement-income deduction (up to $24,000 at 65+) covers pensions/401(k).
- Property tax
- Low; senior homestead exemption for long-time owners.
Technically taxes Social Security, but generous senior deductions erase it for most over 65.
District of Columbia
- Income tax
- Graduated, up to 10.75%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; pensions and 401(k)/IRA taxed.
- Property tax
- Low rate with a generous homestead deduction and senior 50% reduction.
High top income rate, but strong senior property-tax relief.
Hawaii
- Income tax
- Graduated, up to 11%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security and most employer-funded pensions exempt; 401(k)/IRA taxed.
- Property tax
- Among the lowest rates in the U.S. (but very high home values).
Pension-friendly, but extreme cost of living offsets the tax breaks.
Illinois
- Income tax
- Flat 4.95%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Does NOT tax retirement income — Social Security, pensions, and 401(k)/IRA are all exempt.
- Property tax
- Among the highest in the U.S.; senior freeze available by income.
Rare full exemption on retirement income, but very high property taxes.
Kansas
- Income tax
- Graduated, up to ~5.58%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt (tax repealed in 2024); other retirement income taxed (public pensions exempt).
- Property tax
- Above average; senior refund program.
Dropped its Social Security tax in 2024, a big win for retirees.
Maine
- Income tax
- Graduated, up to 7.15%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; pension deduction (up to the SS amount) available.
- Property tax
- Above average; senior 'Property Tax Stabilization' and fairness credits.
No Social Security tax, but higher income and property taxes.
Maryland
- Income tax
- Graduated, up to 5.75% + local
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; pension exclusion (~$39,500) at 65+; 401(k)/IRA taxed.
- Property tax
- Around average; homestead cap and senior credits.
Local 'piggyback' income taxes add up, but pensions get a break.
Massachusetts
- Income tax
- Flat 5% (+4% surtax over $1M)
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; government pensions exempt; 401(k)/IRA and private pensions taxed.
- Property tax
- Above average; senior 'circuit breaker' credit.
Flat rate is moderate, but high cost of living overall.
Nebraska
- Income tax
- Graduated, up to ~5.2%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt (fully phased out by 2024); other retirement income taxed.
- Property tax
- Among the highest; senior homestead exemption by income.
Ended Social Security taxation, but property taxes stay high.
New Jersey
- Income tax
- Graduated, up to 10.75%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; large retirement-income exclusion (up to $100k for incomes under ~$150k).
- Property tax
- Highest in the U.S.; senior freeze ('Senior Freeze') reimburses increases.
Generous retirement exclusion offset by the nation's top property taxes.
New Mexico
- Income tax
- Graduated, up to 5.9%
- Social Security
- Taxed (see notes)
- Pensions & 401(k)/IRA
- Taxes Social Security but exempts it for incomes under thresholds; modest retirement deductions.
- Property tax
- Low; senior valuation freeze by income.
Social Security is exempt for most low- and middle-income retirees.
New York
- Income tax
- Graduated, up to ~10.9%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security and government pensions exempt; up to $20,000 of private retirement income excluded at 59½+.
- Property tax
- Above average; STAR and senior exemptions help.
Strong pension breaks, but high overall cost outside upstate.
Oregon
- Income tax
- Graduated, up to 9.9%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; pensions and 401(k)/IRA taxed (small retirement credit).
- Property tax
- Around average with assessment caps.
No sales tax, but high income-tax rates on retirement withdrawals.
Utah
- Income tax
- Flat 4.55%
- Social Security
- Taxed (see notes)
- Pensions & 401(k)/IRA
- Taxes Social Security and other retirement income, but offers a retirement credit phased out by income.
- Property tax
- Below average; senior 'circuit breaker' relief.
Taxes Social Security, though credits offset it for lower incomes.
West Virginia
- Income tax
- Graduated, up to ~5.1%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security tax fully phased out by 2026; other retirement income taxed (government-pension deductions).
- Property tax
- Among the lowest; senior homestead exemption.
Finishing a multi-year phase-out of its Social Security tax, plus very low property taxes.
Wisconsin
- Income tax
- Graduated, up to 7.65%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; some retirement income deductible for lower incomes.
- Property tax
- Above average; senior credits.
No Social Security tax, but higher income and property taxes.
California
- Income tax
- Graduated, up to 13.3%
- Social Security
- Not taxed
- Pensions & 401(k)/IRA
- Social Security exempt; pensions and 401(k)/IRA fully taxed.
- Property tax
- Rates are low and capped by Prop 13, but high home values mean big bills.
Doesn't tax Social Security, but the nation's highest income-tax rates hit other retirement income.
Connecticut
- Income tax
- Graduated, up to 6.99%
- Social Security
- Taxed (see notes)
- Pensions & 401(k)/IRA
- Taxes Social Security above income thresholds; pension/annuity tax is phasing out for moderate incomes.
- Property tax
- Among the highest in the U.S.
High property taxes and Social Security taxation for higher incomes.
Minnesota
- Income tax
- Graduated, up to 9.85%
- Social Security
- Taxed (see notes)
- Pensions & 401(k)/IRA
- Taxes Social Security (with a growing income-based subtraction); other retirement income taxed.
- Property tax
- Around average; senior deferral program.
One of the few states still taxing Social Security, plus high top rates.
Montana
- Income tax
- Graduated, up to 5.9%
- Social Security
- Taxed (see notes)
- Pensions & 401(k)/IRA
- Taxes Social Security following federal rules; limited retirement deductions.
- Property tax
- Below average; senior 'circuit breaker' credit.
No sales tax, but it still taxes Social Security.
Rhode Island
- Income tax
- Graduated, up to 5.99%
- Social Security
- Taxed (see notes)
- Pensions & 401(k)/IRA
- Taxes Social Security above income thresholds; partial pension/401(k) exemption for moderate incomes.
- Property tax
- Above average; senior exemptions by town.
Still taxes Social Security for higher incomes.
Vermont
- Income tax
- Graduated, up to 8.75%
- Social Security
- Taxed (see notes)
- Pensions & 401(k)/IRA
- Taxes Social Security above income thresholds (exempt for lower incomes); other retirement income taxed.
- Property tax
- Among the highest; income-based 'property tax credit'.
High income and property taxes; Social Security taxed for higher incomes.
Staying put? You still have moves.
Property-tax freezes, homestead exemptions, reverse mortgages, home equity investments, and benefit programs can lower your costs — or turn your home into income — without leaving.
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How current is this & where it comes from
Last reviewed: June 2026Every state's tax treatment is compiled and reviewed by hand from public, primary sources. Tax rules, prices, and visa requirements change — always confirm the current year before making a decision.
- State revenue departments — Current-year income-tax rates and retirement-income rules.
- Tax Foundation — Income, sales, and property-tax comparisons across states.
- AARP & Kiplinger state tax guides — Retiree-specific tax treatment and senior exemptions.
- Social Security Administration — Federal taxation of Social Security benefits.
Educational summary for the 2025–2026 tax years — not tax advice. Rates and exemptions change yearly; confirm with your state revenue department or a tax professional.