Your golden years are your best years! Make them shine!

  • Home
  • Personal Finance
  • Retirement Life
  • Saving & Spending

7 States That Don’t Tax Your Pension, 401(k), Social Security, and More

February 22, 2023 · Personal Finance
happy retire state
Photo by Patrizia Tilly from shutterstock.com

Breaks on pensions

It seems that some states also offer breaks on pensions, as long as they’re not 401(k) or IRAs. Alabama has a total of 5 percent income tax, and income from pensions is usually exempt.

Income from defined contribution plans, like IRAs, isn’t completely exempt, but the good news: starting in 2023, there will be a $6,000 annual exemption. Hawaii has a whopping 11 percent top income tax but doesn’t have any tax pension distributions. You will have to pay taxes on your contributions, and any other gains from those contributions when you take the withdrawals.

As for other states, they seem to limit how much retirement income is taxable. For instance, Arkansas exempts $6,000 of private or public employee retirement income, but also all military and railroad retirement income.

Pages: 1 2 3 4 5 6 7 8 9 10

Share this article

Facebook Twitter Pinterest LinkedIn Email

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

30 comments on “7 States That Don’t Tax Your Pension, 401(k), Social Security, and More”

  1. David Gonzalez says:
    May 26, 2026 at 9:49 pm

    They simply lie of those bull shit states

    Reply
  2. Roger says:
    May 23, 2026 at 11:41 am

    What are the best states for retirement?

    Reply
  3. Thomas says:
    March 5, 2026 at 1:38 am

    How many people live too be 100 and if you do you’re too dam old.

    Reply
  4. Sean Stites says:
    March 2, 2026 at 11:16 pm

    I never saw the 7 states listed anywhere in this article rife with ads & other distractions!

    Reply
  5. James Gong says:
    March 29, 2025 at 1:06 am

    No it is that the politicians and lobbyist make so much income they think all the lower level job people include retiree have the same amount of disposable income so they take care of their life style and the hell with those who pay their salaries. So get rid of the many lobbyist and their pushing agenda paying politicians and the politicians might just working for the tax payer again. know what a dollar will by when you only have a dollar.

    Reply
  6. Roger Stoll says:
    March 25, 2025 at 8:19 pm

    Florida also has no state income tax

    Reply
  7. Juan M says:
    January 29, 2025 at 5:55 pm

    Democrats love to TAX productive Americans so they can BUY the votes of unproductive people with handouts. The Hasidic n NY have 8 and more children and SCAM every government program by not being married by the state (only married by their rabbi) so they can claim to be ‘unwed mothers’. The whore politicians say nothing because they want their ‘block vote’.

    Reply
  8. Bill-3 says:
    January 10, 2025 at 3:29 am

    You have an omission: Rhode Island DOES NOT TAX Miltary pensions.

    Reply
  9. Saroeun lee says:
    November 12, 2024 at 6:50 pm

    Where are your 7 states ?

    Reply
  10. Norman says:
    November 11, 2024 at 10:13 pm

    New Mexico exempts $35K of military retirement benefits from state income tax. Also, any portion of Social Security benefits taxed by the federal government, is exempt from state income tax. If you live to be 100years old, you are also exempt from all state income taxes!

    Reply
Se încarcă comentarii...

Nu mai există comentarii de afișat.

Search

Latest Posts

  • An older woman stands thoughtfully on her porch on a crisp autumn morning, holding a warm mug. The Exact Number of Americans Who Retire Each Day — And What It Means
  • A retired woman smiles warmly at her kitchen table while holding a mug next to her financial planning papers. The SS Benefits Most Divorced Retirees Forget They're Entitled To
  • An older woman sits at her sunlit kitchen table, looking at a financial letter with a relieved expression. State Pension Supplement Programs You May Not Know Exist
  • A retired couple hiking a mountain trail with snow-capped peaks in the background during golden hour. The Fastest-Growing Retirement Towns in the Mountain West
  • An older woman in a cozy cream cardigan sits by a window with a warm mug, looking thoughtfully out at her morning garden. Social Security Survivor Benefits: What Every Retiree Should Know
  • A retired couple walks along a scenic coastal path on a misty morning with a shingle-style cottage and sailboats in the background. 50 East Coast Towns Retirees Are Flocking To, According to the Latest Data
  • An elderly couple sits at a wooden kitchen table, looking over papers with hope in a warm, sunlit, cozy kitchen. Living on Social Security Alone? You May Be Eligible for These 10 Valuable Benefits
  • Horizontal bar chart showing the monthly Social Security gap between men receiving $2,198 and women receiving $1,760, illustrating a $438 de Women Receive Smaller Social Security Benefits Than Men ($438 Less) - and the Gap Could Grow
  • An elegant ink and watercolor illustration of a split path representing different retirement saving options under new policy rules. Who Really Stands to Gain From Trump’s New 401(k) Proposal - and Who Could Be Left Out
  • Ink and watercolor illustration of a balance scale holding a warm coffee mug on one side and a vintage travel suitcase on the other. 8 Jobs That Let Retirees Set Their Own Schedule

Newsletter

Get retirement tips and senior living advice delivered to your inbox.

Related Articles

An elegant ink and watercolor illustration of a split path representing different retirement saving options under new policy rules.

Who Really Stands to Gain From Trump’s New 401(k) Proposal – and Who Could Be Left Out

Discover how new 2026 retirement proposals, alternative asset rules, and the Saver's Match impact your…

Read More →
A senior couple planning their future on a tablet in a sunny garden setting.

Long-Term Care Insurance: What It Covers and What It Costs in 2027

Discover what long-term care insurance covers, projected 2027 care costs, and average premium rates to…

Read More →
stimulus check

Trump Promises $2,000 Tariff Checks: Could You Qualify?

How the numbers look Here are some of the fiscal realities: In Fiscal Year 2025,…

Read More →
social security

9 States to Live on Your Social Security Check Alone

3. Alabama As the song says, “Sweet Home Alabama,” this is one of the states…

Read More →
Kamala Harris Tax Reform

6 Kamala Harris Tax Reforms We Avoided by Choosing Trump

The child tax credit The Biden administration has been focused on the child tax credit,…

Read More →
Medicare open enrollment

Missed the Medicare Deadline? Your Options Aren’t Over Yet

Common Qualifying Situations for SEPs Here are some of the most frequent scenarios that open…

Read More →
tax-saving strategies

4 Tax-Saving Strategies for the 2025 Bracket Update

A mature man smiles while reviewing paperwork, discovering how these smart tax-saving strategies can help…

Read More →
A retired woman smiles warmly at her kitchen table while holding a mug next to her financial planning papers.

The SS Benefits Most Divorced Retirees Forget They’re Entitled To

Discover exactly how to claim Social Security divorced spouse benefits in 2026 to maximize your…

Read More →
social security homebuying

8 Myths About Homebuying That Will Cost You a Fortune

The only buying cost you’ll have is the mortgage Homebuyers might be shocked to find…

Read More →
Retired in USA

Your golden years are your best years! Make them shine!

Inedit Agency S.R.L.
Bucharest, Romania

contact@ineditagency.com

Trust & Legal

  • Terms and Conditions
  • Privacy Policy
  • Do not sell my personal information
  • Subscribe
  • Unsubscribe
  • Contact
  • CA Privacy Policy
  • Request to Know
  • Request to Delete

Categories

  • Enjoying Retirement
  • Personal Finance
  • Saving & Spending

© 2026 Retired in USA. All rights reserved.