Nine states currently tax part or all of your Social Security income
As of 2025, nine states treat Social Security benefits as taxable income: Colorado, Connecticut, Kansas, Minnesota, Missouri, Montana, Nebraska, Rhode Island, and Utah. The amount you owe depends on your total income, your filing status, and the state's specific rules — not all nine states tax benefits the same way, and not all beneficiaries in those states pay tax on their benefits.
If you live in one of these states and receive Social Security, you may owe state income tax on a portion of your benefits. The federal government does not tax most people's Social Security, but these nine states have chosen to tax it under their own tax codes. Understanding how your state calculates this tax matters because it affects how much of your benefit check you actually keep.
Key Takeaways
- Colorado, Connecticut, Kansas, Minnesota, Missouri, Montana, Nebraska, Rhode Island, and Utah tax Social Security benefits under their state income tax laws.
- Each state uses different income thresholds and formulas, so the same benefit amount may be taxed differently depending on where you live.
- Your total income — including wages, pensions, interest, and part of your Social Security — determines whether you owe tax on benefits in your state.
- Some states exempt beneficiaries over a certain age or with income below a threshold, so not all retirees in these states pay tax on benefits.
- You can request that your state withhold taxes from your Social Security check, or pay estimated taxes quarterly to avoid a large bill at tax time.
How each state taxes Social Security differently
Colorado taxes Social Security benefits for people with federal adjusted gross income above $25,000 (single filers) or $32,000 (married filing jointly). The state taxes up to 85 percent of benefits above those thresholds, using the same formula the federal government uses. This means your Colorado tax bill depends on how much other income you have in addition to Social Security.
Connecticut taxes benefits for single filers with combined income above $50,000 and married filers above $60,000. Combined income includes adjusted gross income plus tax-exempt interest plus half of Social Security benefits. Connecticut taxes up to 75 percent of benefits that exceed the threshold.
Kansas taxes all Social Security benefits as income but allows a deduction of up to $75,000 per year for people age 55 and older. Younger beneficiaries get a smaller deduction or none at all, depending on their age and income. This means many Kansas retirees over 55 pay little or no tax on benefits.
Minnesota taxes benefits using federal taxable income thresholds. If your federal return shows taxable Social Security income, Minnesota taxes the same amount. Minnesota also allows a credit for people age 65 and older, which can reduce or eliminate the tax.
Missouri taxes benefits for single filers with adjusted gross income above $25,000 and married filers above $32,000, using the same federal formula. However, Missouri allows a deduction of up to $6,000 per year for people age 59 and older, which can offset some or all of the tax.
Montana taxes benefits using federal taxable income. If you owe federal tax on benefits, you likely owe Montana tax as well. Montana allows a credit for low-income beneficiaries, which may reduce your state tax.
Nebraska taxes all Social Security benefits but allows a deduction of up to $20,000 per year for people age 67 and older. Younger beneficiaries get a smaller deduction. This means many older Nebraska retirees pay no tax on benefits.
Rhode Island taxes benefits for single filers with adjusted gross income above $50,000 and married filers above $60,000, using a formula similar to Connecticut's. Rhode Island taxes up to 85 percent of benefits above the threshold.
Utah taxes benefits using federal taxable income. If you owe federal tax on benefits, you owe Utah tax on the same amount. Utah allows a credit for people age 59 and older, which can reduce the tax owed.
Income thresholds and what counts toward them
Most of these nine states use income thresholds to determine whether you owe tax on benefits. If your income falls below the threshold, you owe no state tax on Social Security. If it exceeds the threshold, you owe tax on some or all of the excess.
What counts as income varies by state. Most states include wages, self-employment income, pensions, interest, dividends, and capital gains. Some states also count tax-exempt interest from municipal bonds. A few states count half of your Social Security benefits as income when calculating whether you exceed the threshold — this creates a situation where having more Social Security income can push you over the threshold and trigger tax on benefits you would not otherwise owe tax on.
Your filing status matters. Single filers and married filers filing jointly have different thresholds in most states. Married filers filing separately usually face lower thresholds and higher tax rates, so that filing status is rarely advantageous if you live in one of these states.
Age-based exemptions and deductions
Several of these states offer breaks for older beneficiaries. Kansas, Missouri, and Nebraska allow larger deductions or exemptions for people over a certain age — typically 55, 59, or 67 depending on the state. This means a 70-year-old with the same income as a 60-year-old may owe less or no tax on benefits in these states.
Minnesota and Utah offer tax credits rather than deductions for people age 65 and older. A credit directly reduces the tax you owe, which is often more valuable than a deduction. Colorado, Connecticut, and Rhode Island do not offer age-based breaks — everyone with income above the threshold pays tax on benefits the same way.
If you are approaching the age threshold in your state, check the exact age requirement and income limits. Some states phase out the deduction or credit as income rises, so you may get a partial benefit even if you do not may have access to for the full amount.
How to handle withholding and estimated taxes
If you live in one of these nine states and expect to owe state tax on benefits, you have two main options: request withholding from your Social Security check, or pay estimated taxes quarterly.
To request withholding, contact the Social Security Administration and complete Form W-4V (Voluntary Withholding Request). You can choose to have 7, 10, 15, or 20 percent of your benefit withheld. The withheld amount goes to the federal government, not your state, so you will need to check whether your state allows you to explore federal withholding to state tax liability. Some states do; others do not.
If federal withholding does not cover your state tax, you can pay estimated state taxes directly to your state revenue department. Most states require estimated tax payments in four installments: April, June, September, and January. Your state revenue office can tell you the exact due dates and the amount to pay based on your expected income.
Many people in these states find it simpler to set aside a portion of each Social Security check themselves and pay the state tax bill when they file their return. This works if you have other income sources or savings to cover the payment.
What to do if you move to or from one of these states
If you move from one of these nine states to a state that does not tax Social Security, you will no longer owe state tax on benefits starting in the year you move. However, you may still owe tax for the part of the year you lived in the taxing state, depending on your state's rules about part-year residents.
If you move into one of these nine states, you will begin owing state tax on benefits starting in the year you move, unless you may have access to for an exemption or deduction based on age or income. Some states allow a grace period for new residents, but most do not.
If you are considering a move and Social Security taxation is a factor, check the specific rules in both your current state and the state you are moving to. The difference in state tax can be significant over many years of retirement.
Frequently Asked Questions
Do I have to pay federal tax on Social Security if I live in one of these nine states?
Federal tax and state tax are separate. Whether you owe federal tax on Social Security depends on your total income and filing status, not on which state you live in. Most people do not owe federal tax on Social Security. If you do owe federal tax, you may also owe state tax in one of these nine states, but the two are calculated independently.
Can I avoid state tax on Social Security by moving to a different state?
Yes. If you move to one of the 41 states that do not tax Social Security, you will not owe state tax on benefits in your new state. However, you may owe tax for the portion of the year you lived in the taxing state. Some people in high-tax states do consider moving to a no-tax state as part of retirement planning.
What if my income is below the threshold in my state?
If your total income is below your state's threshold, you owe no state tax on Social Security benefits. However, you still need to file a state return to report your income and claim any deductions or credits you are may have access to to. Check your state's filing requirements, as some states require a return even if you owe no tax.
How do I know how much state tax I will owe?
Your state revenue department publishes tax tables and worksheets that show how much tax you owe based on your income and filing status. You can also use your state's tax software or contact a tax professional. Because the calculation depends on your specific income sources and deductions, it is worth doing the math before the year ends so you can adjust withholding or estimated payments if needed.
If I worked in one state but retired in another, which state taxes my Social Security?
The state where you live when you receive Social Security is the one that may tax it. Your work history or where you paid taxes during your career does not determine state taxation of benefits. Only your current state of residence matters.