When you retired, you might have thought that income taxes were a thing of the past. You’ve paid taxes for years as well as paying into Social Security. However, in certain states, your Social Security benefits can actually be subject to a state tax in some situations.
If Social Security is your only source of income, it’s unlikely that your benefits will be taxed. However, if you’re also working or are drawing from retirement savings, you could see a state tax levied in these 17 states:
- Colorado
- Connecticut
- Kansas
- Minnesota
- Missouri
- Montana
- Nebraska
- New Mexico
- North Dakota
- Rhode Island
- Utah
- Vermont
- West Virginia
Whether you’re living in one of these states right now or are considering moving to one in the future, it’s important to know what to expect.
Learn more from The Motley Fool’s article “37 States That Don’t Tax Social Security Benefits” about what else to keep in mind when choosing where to retire.
One way that NORA is helping our nation’s retirees is by advocating for a guaranteed 3% COLA every year. This would help Social Security beneficiaries plan for the future and afford goods and services even as prices rise. We also want to see this legislation made retroactive to 2010 to repay seniors for the years of low COLAs. Learn more about our mission today. And follow us on Twitter and Facebook for all the latest updates! And please feel free to contact us!
