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States that tax Social Security benefits.

Most states fully exclude Social Security. A handful don't. Here's the breakdown.

If you're planning a retirement-state move or comparing retirement burdens across states, Social Security taxation is one of the biggest swing factors. Federal Social Security taxability is the same everywhere; state treatment varies considerably.

The summary

The 9 no-income-tax states (AK, FL, NV, NH, SD, TN, TX, WA, WY) don't tax Social Security because they don't tax any individual income. Among the 41 income-tax states + DC, most fully exclude Social Security at the state level — but about a dozen tax it partially or fully, usually with income-based phase-outs.

States that tax Social Security (with phase-outs)

These states tax some portion of Social Security at the state level. Most use income-based phase-outs, meaning lower- and moderate-income retirees see most or all of their Social Security excluded, while higher-income retirees see partial state-level taxation.

StateTreatmentNotesPer-state guide
Colorado (CO)PartialSubtraction for retirees over age threshold; income-basedCO →
Connecticut (CT)PartialExemption phases out at higher incomeCT →
Kansas (KS)PartialExcluded below income threshold; taxed aboveKS →
Minnesota (MN)PartialState subtraction phases out at higher incomeMN →
Montana (MT)PartialState subtraction; restructured 2024MT →
Nebraska (NE)Phasing outAnnual exclusion percentage increasing; heading to full exclusionNE →
New Mexico (NM)PartialExcluded below threshold; partial aboveNM →
Rhode Island (RI)PartialAge + income phase-outRI →
Utah (UT)PartialSocial Security credit phases out at higher incomeUT →
Vermont (VT)PartialIncome-based subtractionVT →
West Virginia (WV)Phasing outMulti-year exclusion phase-in; heading to full exclusionWV →
Wisconsin (WI)PartialIncome-based subtractionWI →

States that fully exclude Social Security

The majority of income-tax states + DC fully exclude Social Security from state taxable income, conforming to federal exclusion or going further. This is the most common state-level treatment.

StatePer-state guide
Alabama (AL)AL →
Arizona (AZ)AZ →
Arkansas (AR)AR →
California (CA)CA →
Delaware (DE)DE →
District of Columbia (DC)DC →
Georgia (GA)GA →
Hawaii (HI)HI →
Idaho (ID)ID →
Illinois (IL)IL →
Indiana (IN)IN →
Iowa (IA)IA →
Kentucky (KY)KY →
Louisiana (LA)LA →
Maine (ME)ME →
Maryland (MD)MD →
Massachusetts (MA)MA →
Michigan (MI)MI →
Mississippi (MS)MS →
Missouri (MO)MO →
New Jersey (NJ)NJ →
New York (NY)NY →
North Carolina (NC)NC →
North Dakota (ND)ND →
Ohio (OH)OH →
Oklahoma (OK)OK →
Oregon (OR)OR →
Pennsylvania (PA)PA →
South Carolina (SC)SC →
Virginia (VA)VA →

Key planning considerations

  • Federal Social Security taxability still applies everywhere. Up to 85% of Social Security benefits are federally taxable based on combined income (regardless of state). The federal floor is the same in every state — it's the state-level treatment that varies.
  • Phase-outs interact with other retirement income. Large Roth conversion years, IRA withdrawal lumps, capital gain harvesting, etc. can push income above state phase-out thresholds — triggering state Social Security tax in years it wouldn't otherwise apply. Strategic withdrawal sequencing matters in phase-out states.
  • Most retirement-state moves don't optimize for Social Security alone. Property tax, cost of living, healthcare access, and family proximity typically dominate the calculus. SS state-tax savings are usually a tiebreaker, not a primary driver.
  • State-tax treatment can change. Several states (Nebraska, West Virginia, Missouri, others) have phased out or are phasing out their Social Security tax via multi-year legislation. The current-year structure is what matters at filing.

Related comparisons

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