You might assume Social Security escapes state taxes, but eight states still take a slice that can affect your monthly budget and retirement plans. Knowing which states tax benefits and how those rules can change your after‑tax income helps you plan where to live, when to claim benefits, and how much to expect each month.
This article breaks down the states that continue to tax Social Security in 2026 and explains the basic ways those taxes apply, so you can spot potential costs without wading through complex rules. Expect clear comparisons and practical takeaways that help you weigh relocation, filing strategy, or retirement timing.
California taxes Social Security if combined income exceeds certain thresholds.
California does not tax Social Security itself, but the IRS can tax up to 85% of your benefits at the federal level if your combined income passes set thresholds.
Combined income equals your adjusted gross income plus tax-exempt interest and half your Social Security benefits.
If that number is above the IRS limits, a portion of your benefits becomes federally taxable even though California won’t add a state tax on them.
Colorado taxes Social Security benefits above specific income limits.
If your federal adjusted gross income plus half your Social Security exceeds Colorado’s thresholds, some of your benefits become taxable at the state’s 4.4% flat rate.
Taxpayers 65 and older often qualify for deductions that can exclude Social Security up to certain limits, so check your eligibility.
Visit Colorado’s official tax guidance on Social Security, pensions, and annuities for the exact income limits and subtraction rules: Colorado income tax topics.
Connecticut taxes Social Security for income over $75,000 for singles.
If your federal adjusted gross income (AGI) is under $75,000 as a single filer, Connecticut excludes your Social Security benefits from state tax.
Once your AGI exceeds $75,000, some or all of those benefits become taxable at the state level.
Check Connecticut’s detailed rules and thresholds because deductions and other retirement income can change your AGI.
For the official explanation of the exemption amounts, see Connecticut’s retirement income report.
Kansas taxes Social Security benefits partially, based on income.
If you live in Kansas, recent law changes mean Social Security can be taxed depending on your income.
Kansas eliminated the old $75,000 threshold in 2024, but certain retirement income rules still affect your state tax bill.
Check your adjusted gross income and other retirement income to see if any of your benefits become taxable.
For details on the 2024 change and current rules, read the Kansas tax update.
Minnesota taxes Social Security income, but allows some credits
You may owe Minnesota tax on Social Security if your federal taxable benefits push your income above the state thresholds. The state follows federal rules but offers a subtraction that can reduce or eliminate the tax for many retirees.
Check the Minnesota Department of Revenue guidance for the subtraction details and income limits, since eligibility depends on your filing status and other income. If your income is moderate, the subtraction often removes most or all state tax on benefits.
Missouri taxes Social Security income after certain age and income criteria.
You may qualify for a full exemption on Social Security if you meet age and income rules starting with tax year 2024.
If you’re 62 or older (or disabled) and your income falls below limits, Missouri generally won’t tax your Social Security benefits; higher combined income can trigger taxation.
Check Missouri’s official pension and deduction guidance for the exact AGI thresholds and filing details at the Missouri Department of Revenue.
Montana partially taxes Social Security benefits depending on income.
If you live in Montana, some of your Social Security may be taxable at the state level depending on your income and filing status.
Montana lets you exclude a portion of federal retirement income, but higher income can push more benefits into taxable territory.
Check Montana’s income thresholds and deduction rules to see how much of your benefits they will tax, and consider consulting a tax pro for calculations.
Visit a detailed guide to Montana retirement tax rules for the latest thresholds and examples.
Nebraska taxes Social Security if income is above set limits.
If your Nebraska income exceeds certain thresholds, the state can tax part of your Social Security benefits. The tax applies after you add other income to a portion of your benefits to calculate Nebraska taxable income.
Nebraska offers exemptions and phase-outs that may reduce what you owe, depending on filing status and age. Check the Nebraska Department of Revenue or a current guide for the exact limits that affect your situation.
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