What decides your state tax in retirement
Three things matter more than a state's headline rate. The first is how it treats Social Security: 42 states and DC leave it alone entirely in 2026, and most of the other eight exempt it below an income limit or at older ages. The second is how it treats pensions. Some states exempt all of them, some exempt only their own public pensions, and many give a fixed exclusion of a few thousand dollars or more. The third is whether 401(k) and IRA withdrawals share that exclusion or are taxed in full.
That is why a state with a high top rate can cost a retiree less than a state with a low flat tax. Georgia's rate is over 5%, but at 65 it excludes $65,000 of retirement income per person, so many retirees owe nothing. Oregon has no sales tax, but it taxes pensions and IRA withdrawals at up to 9.9%. This calculator applies each state's own rules to your mix of income so you can see the real difference.
Moving in retirement
Once you move, your old state cannot tax your pension or retirement plan income, under a federal law passed in 1996. So the comparison here is the whole story for income tax. It is not the whole story for cost: property tax, sales tax and housing often matter more, and our retirement taxes by state pages cover those for each state.
Questions
Can my old state tax my pension after I move?
No. Federal law (4 U.S.C. 114) stops a state from taxing pension and most retirement plan income of people who no longer live there. You pay tax to the state where you live when you receive the money.
Why does it matter which state paid my pension?
Several states exempt their own public pensions but tax pensions from other states. New York, Kansas, Louisiana and Massachusetts are examples. A New York teacher who retires in New York pays no state tax on the pension, but the same pension is taxed in Massachusetts.
Does this include federal tax?
No. Federal income tax is the same wherever you live, so this calculator shows only the state part. Up to 85% of Social Security can be taxed federally, and pensions and traditional account withdrawals are taxed as ordinary income.
How accurate is this?
It uses each state's 2026 rates, standard deductions and exemptions, and the main retirement exclusions. It leaves out local income taxes, property and sales taxes, itemized deductions and smaller credits, so treat it as a close estimate and check your state's page for details.