If you have a traditional pension, you can consider yourself lucky. There are not many people out there who can say the same. But before you do your victory dance, remember your pension can get taxed as ordinary income in certain states and there won’t be much left of it once Uncle Sam takes its share.
Will your state tax your pension income, too? Well, it all depends on where you live. Usually, at least a portion of your income coming from private-sector defined benefit plans is taxable in most states. But there are also states that do not levy any taxes on pension incomes at all. Want to know what these are? Then, read on to find out the 14 states that allow you to enjoy your pension income, free of charge!
Our first state is a sweet home for your pension…..