Taxes on pension .....???

Vette51

Well-Known Member
If I were to retire at 58 for instance, what taxes do you pay ?? All normal taxes ?? I read that we wouldnt pay SS tax but would pay federal and certain state taxes it. Looking for retirees under 60 basically to see how hard we get taxed. Thanks
 

brownmonster

Man of Great Wisdom
If I were to retire at 58 for instance, what taxes do you pay ?? All normal taxes ?? I read that we wouldnt pay SS tax but would pay federal and certain state taxes it. Looking for retirees under 60 basically to see how hard we get taxed. Thanks
State and federal taxes based on your income. Assuming you make less then when you were working you would be in a lower tax bracket. You can google the tax brackets.
 

Shiftless

Well-Known Member
If I were to retire at 58 for instance, what taxes do you pay ?? All normal taxes ?? I read that we wouldnt pay SS tax but would pay federal and certain state taxes it. Looking for retirees under 60 basically to see how hard we get taxed. Thanks

I retired at 49 (almost 14 years ago) and age has nothing to do with earned income. So age of 58, 69, 107 doesn't make a difference! Like what brownmonster posted above, it all falls into your tax bracket you earned income is placed.

As a side note: I don't let the the annuity I receive from my retirement have its taxes handled by that entity. I control paying my own taxes. If you are retirement ready, check into what works for you.
 

rod

Retired 19 years
my UPS pension
my wifes State pension
my SS
my wifes SS
my State pension
income from township job (I still do a little work for them)
most payouts from our investment portfolio

all taxed



my military disability ck

not taxed
 

old levi's

blank space
my UPS pension
my wifes State pension
my SS
my wifes SS
my state pension
income from township job (I still do a little work for them)
most pay outs from our investment portfolio

all taxed



my military disability ck

not taxed

what level of disability?
 

cosmo1

Perhaps.
Staff member
my UPS pension
my wifes State pension
my SS
my wifes SS
my State pension
income from township job (I still do a little work for them)
most payouts from our investment portfolio

all taxed



my military disability ck

not taxed

No state income tax on pensions here.
 

rod

Retired 19 years
No state income tax on pensions here.

I think Mn. is # 5 or 6 on being the most heavily taxed state. We have to live in an icebox and they still tax you all to hell. About the only breaks we get are we don't have a personal property tax and you don't pay sales tax on clothes or food bought at a grocery store.
 

cosmo1

Perhaps.
Staff member
I think Mn. is # 5 or 6 on being the most heavily taxed state. We have to live in an icebox and they still tax you all to hell. About the only breaks we get are we don't have a personal property tax and you don't pay sales tax on clothes or food bought at a grocery store.

Same here for clothing and food. But, we have the highest gas tax.
 

25TOLIFE

Well-Known Member
If I were to retire at 58 for instance, what taxes do you pay ?? All normal taxes ?? I read that we wouldnt pay SS tax but would pay federal and certain state taxes it. Looking for retirees under 60 basically to see how hard we get taxed. Thanks

I have no taxes taken out of pension check. I'm prepared to pay Uncle Sam come tax season but the past 4 years I broke even and have enough to write off to offset any taxes I would have paid. I'd rather owe them a few dollars than have them hold a few thousand of mine.
 

Round the block again

Well-Known Member
I’m not retired yet, but from what I’m told it’s $100 federal taxes on each $1000.00, and they don’t take out state taxes - you have to save a little each month then pay state taxes at tax time , save $60 a month.
 

brownmonster

Man of Great Wisdom
I’m not retired yet, but from what I’m told it’s $100 federal taxes on each $1000.00, and they don’t take out state taxes - you have to save a little each month then pay state taxes at tax time , save $60 a month.
My state and federal taxes come out of my pension each month. You fill out a W-4 and it's up to you how much you want withheld.
 
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