{"id":118803,"date":"2023-10-21T09:26:53","date_gmt":"2023-10-21T09:26:53","guid":{"rendered":"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/"},"modified":"2023-10-21T09:26:53","modified_gmt":"2023-10-21T09:26:53","slug":"what-state-does-not-tax-military-retirement","status":"publish","type":"post","link":"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/","title":{"rendered":"What state does not tax military retirement?"},"content":{"rendered":"<p>When it comes to military retirement, many retired service members are concerned about taxes impacting their monthly income. However, there is one state in the United States that stands out from the rest by not taxing military retirement. That state is **Alaska**. <\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_62 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#FAQs_Related_to_State_Taxation_of_Military_Retirement\" title=\"FAQs Related to State Taxation of Military Retirement:\">FAQs Related to State Taxation of Military Retirement:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#1_Are_military_retirement_benefits_taxed_at_the_state_level\" title=\"1. Are military retirement benefits taxed at the state level?\">1. Are military retirement benefits taxed at the state level?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#2_How_many_states_do_not_tax_military_retirement\" title=\"2. How many states do not tax military retirement?\">2. How many states do not tax military retirement?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#3_What_are_the_benefits_of_living_in_a_state_that_does_not_tax_military_retirement\" title=\"3. What are the benefits of living in a state that does not tax military retirement?\">3. What are the benefits of living in a state that does not tax military retirement?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#4_Can_military_retirees_change_their_state_of_residence_to_avoid_state_taxes_on_retirement_benefits\" title=\"4. Can military retirees change their state of residence to avoid state taxes on retirement benefits?\">4. Can military retirees change their state of residence to avoid state taxes on retirement benefits?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#5_What_factors_should_military_retirees_consider_when_choosing_a_state_for_retirement\" title=\"5. What factors should military retirees consider when choosing a state for retirement?\">5. What factors should military retirees consider when choosing a state for retirement?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#6_Can_military_retirees_claim_residency_in_a_state_where_they_do_not_currently_live\" title=\"6. Can military retirees claim residency in a state where they do not currently live?\">6. Can military retirees claim residency in a state where they do not currently live?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#7_Are_military_retirement_benefits_exempt_from_federal_income_tax\" title=\"7. Are military retirement benefits exempt from federal income tax?\">7. Are military retirement benefits exempt from federal income tax?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#8_Do_all_states_tax_military_retirement_equally\" title=\"8. Do all states tax military retirement equally?\">8. Do all states tax military retirement equally?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#9_Are_there_any_exceptions_to_state_taxation_of_military_retirement_benefits\" title=\"9. Are there any exceptions to state taxation of military retirement benefits?\">9. Are there any exceptions to state taxation of military retirement benefits?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#10_Can_military_retirees_be_taxed_by_more_than_one_state_on_their_retirement_benefits\" title=\"10. Can military retirees be taxed by more than one state on their retirement benefits?\">10. Can military retirees be taxed by more than one state on their retirement benefits?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#11_Can_military_retirees_living_overseas_avoid_state_taxes_on_their_retirement_benefits\" title=\"11. Can military retirees living overseas avoid state taxes on their retirement benefits?\">11. Can military retirees living overseas avoid state taxes on their retirement benefits?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#12_Are_all_forms_of_military_retirement_income_exempt_from_state_taxes\" title=\"12. Are all forms of military retirement income exempt from state taxes?\">12. Are all forms of military retirement income exempt from state taxes?<\/a><\/li><\/ul><\/nav><\/div>\n<h3><span class=\"ez-toc-section\" id=\"FAQs_Related_to_State_Taxation_of_Military_Retirement\"><\/span>FAQs Related to State Taxation of Military Retirement:<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<h3><span class=\"ez-toc-section\" id=\"1_Are_military_retirement_benefits_taxed_at_the_state_level\"><\/span>1. Are military retirement benefits taxed at the state level?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nYes, military retirement benefits are typically subject to state income taxes unless exempted by the state.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"2_How_many_states_do_not_tax_military_retirement\"><\/span>2. How many states do not tax military retirement?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nThere are currently only nine states that do not tax military retirement: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"3_What_are_the_benefits_of_living_in_a_state_that_does_not_tax_military_retirement\"><\/span>3. What are the benefits of living in a state that does not tax military retirement?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nLiving in a state that does not tax military retirement can help retired service members stretch their retirement income further and reduce their overall tax burden.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"4_Can_military_retirees_change_their_state_of_residence_to_avoid_state_taxes_on_retirement_benefits\"><\/span>4. Can military retirees change their state of residence to avoid state taxes on retirement benefits?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nYes, military retirees have the option to establish residency in a state that does not tax retirement benefits to avoid paying state income taxes on their military pensions.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"5_What_factors_should_military_retirees_consider_when_choosing_a_state_for_retirement\"><\/span>5. What factors should military retirees consider when choosing a state for retirement?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nMilitary retirees should consider factors such as cost of living, quality of life, healthcare options, proximity to military bases, and tax implications when choosing a state for retirement.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"6_Can_military_retirees_claim_residency_in_a_state_where_they_do_not_currently_live\"><\/span>6. Can military retirees claim residency in a state where they do not currently live?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nMilitary retirees can claim residency in a state where they do not currently live if they establish significant ties to that state, such as owning property, registering to vote, or obtaining a driver&#8217;s license.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"7_Are_military_retirement_benefits_exempt_from_federal_income_tax\"><\/span>7. Are military retirement benefits exempt from federal income tax?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nMilitary retirement benefits are subject to federal income tax, but they may be partially or fully exempt from state income tax depending on the state of residence.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"8_Do_all_states_tax_military_retirement_equally\"><\/span>8. Do all states tax military retirement equally?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nNo, each state has its own tax policies regarding military retirement benefits, with some states fully exempting them from state income tax and others partially taxing them.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"9_Are_there_any_exceptions_to_state_taxation_of_military_retirement_benefits\"><\/span>9. Are there any exceptions to state taxation of military retirement benefits?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nSome states offer exemptions or deductions for military retirement benefits, especially for disabled veterans or service members who receive combat-related special compensation.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"10_Can_military_retirees_be_taxed_by_more_than_one_state_on_their_retirement_benefits\"><\/span>10. Can military retirees be taxed by more than one state on their retirement benefits?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nMilitary retirees who have lived in multiple states during their military career may be subject to taxation by more than one state on their retirement benefits, depending on each state&#8217;s tax laws.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"11_Can_military_retirees_living_overseas_avoid_state_taxes_on_their_retirement_benefits\"><\/span>11. Can military retirees living overseas avoid state taxes on their retirement benefits?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nMilitary retirees living overseas can establish residency in a state that does not tax retirement benefits to avoid state income taxes, even if they are not physically present in that state.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"12_Are_all_forms_of_military_retirement_income_exempt_from_state_taxes\"><\/span>12. Are all forms of military retirement income exempt from state taxes?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>\nNot all forms of military retirement income may be exempt from state taxes, as some states only exempt specific types of military pensions or portions of retirement benefits.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>When it comes to military retirement, many retired service members are concerned about taxes impacting their monthly income. However, there is one state in the United States that stands out from the rest by not taxing military retirement. That state is **Alaska**. FAQs Related to State Taxation of Military Retirement: 1. Are military retirement benefits &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"What state does not tax military retirement?\" class=\"read-more button\" href=\"https:\/\/namso-gen.co\/blog\/what-state-does-not-tax-military-retirement\/#more-118803\">Read more<span class=\"screen-reader-text\">What state does not tax military retirement?<\/span><\/a><\/p>\n","protected":false},"author":21,"featured_media":107420,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[86279],"tags":[],"class_list":["post-118803","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-learn","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What state does not tax military retirement?<\/title>\n<meta name=\"description\" content=\"When it comes to military retirement, many retired service members are concerned about taxes impacting their monthly income. 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