Does Georgia Tax Retirement Income?

No. Georgia does not tax Social Security benefits.

Social Security benefits are not included in Georgia taxable income.

The Georgia answer is separate from the federal one. Depending on combined income, up to 85% of Social Security benefits can be taxable on the federal return regardless of what Georgia does, so the state rule changes the state line only. Our guide to states that do not tax Social Security shows where Georgia sits among the states that still tax benefits.

Partly. Georgia taxes some pension income, subject to an exclusion or age rule.

Pension income can be included in the age-based retirement exclusion. The available amount depends on age and the type of income included.

Residents age 62 through 64 may qualify for an exclusion up to $35,000. At age 65 or older, the maximum rises to $65,000 per eligible taxpayer, subject to the earned-income limitation inside the exclusion.

Public and private pensions, annuities, and retirement-plan distributions do not always get the same treatment. The pension comparison lists which states exempt pensions broadly, partly, or only for certain plans.

Partly. Georgia taxes some traditional 401(k) and IRA withdrawals, subject to an exclusion or age rule.

Traditional IRA and 401(k) distributions can qualify for the retirement-income exclusion when the age and income rules are met.

Two timing points matter in Georgia. A Roth conversion is taxable in the year it is done, and Georgia starts from federal adjusted gross income, so a large conversion can land in a year when the state exclusion does not cover it. Qualified Roth withdrawals later are generally not taxable at either level. Required minimum distributions follow the same Georgia rules as any other traditional-account withdrawal.

Every state page on this site runs the same retiree profile so the states can be compared: $30,000 of Social Security, $40,000 withdrawn from a traditional 401(k), and a $20,000 private pension, $90,000 in total.

A 68-year-old with $30,000 of Social Security, $40,000 from a 401(k), and a $20,000 pension has $60,000 of non-Social-Security retirement income. If all $60,000 qualifies, the age-65 exclusion can shelter it, leaving no Georgia taxable retirement income in this simplified example.

The 68-year-old starts with federal AGI of about $85,500. Georgia removes the $25,500 of federally taxable Social Security, then applies the age-65 retirement exclusion to the remaining $60,000 of 401(k) and pension income. Because $60,000 is under the $65,000 cap, all of it is excluded, the $15,000 standard deduction has nothing left to offset, and the Georgia tax is $0. Contrast: add a $150,000 lump-sum IRA withdrawal and retirement income is $210,000, the exclusion still stops at $65,000, and after the $15,000 standard deduction about $130,000 is taxed at 4.99%, roughly $6,500. Spreading that same $150,000 over three tax years keeps each year inside or near the cap, and a married couple where both spouses are 65 and each has their own retirement income can exclude up to $130,000 combined, but the cap is per spouse, not per return, so one spouse cannot use the other's unused room.

The same $90,000 profile looks different a state line away. The rows below come from the reviewed 51-state table; each state name links to its own guide.

• Florida: has no individual income tax at all.
• South Carolina: treats Social Security as exempt, pensions as partially taxed, and 401(k) and IRA withdrawals as partially taxed, with a top rate of 5.21% and retirement deduction plus age-65 deduction rules.
• North Carolina: treats Social Security as exempt, pensions as taxed, and 401(k) and IRA withdrawals as taxed, with a top rate of 3.99% and bailey relief and service-conditioned military deduction.

For a married couple with two eligible retirees, Georgia can be much more favorable than a single $65,000 headline suggests because the exclusion is determined per eligible taxpayer.

Military retirement: For 2026, a military retiree under 62 can exclude up to $17,500 of military retirement pay, plus another $17,500 if Georgia earned income exceeds $17,500; retirees 62 and older use the general $35,000 or $65,000 age-based exclusion. Beginning with tax year 2027, HB 266 lets a military retiree under 65 exclude up to $65,000 of military retirement pay without the earned-income condition, but not in addition to the general retirement exclusion. See the military retirement tax map for every state's treatment.

Estate and inheritance tax: Georgia has no separate estate or inheritance tax.

Selling a home or investments in Georgia: retirement-income rules do not cover capital gains. See Georgia capital gains tax before selling appreciated property or a brokerage position in the year you move or retire.

• Confirm the exclusion you are claiming. Residents age 62 through 64 may qualify for an exclusion up to $35,000. At age 65 or older, the maximum rises to $65,000 per eligible taxpayer, subject to the earned-income limitation inside the exclusion.
• Part-year residents. If you moved into or out of Georgia during the year, retirement income is generally allocated to the period of residency, and the former state may still tax distributions received before the move. Document the move date, the new domicile, and where each distribution was received.
• Withholding and estimates. Pension and IRA custodians often withhold federal tax but not Georgia tax. If Georgia taxes any part of your retirement income, check whether quarterly estimated payments are needed to avoid an underpayment penalty.
• Federal side. The federal return has its own rules: up to 85% of Social Security can be taxable, the temporary $6,000 federal senior deduction is available for 2025 through 2028 subject to income limits, and Roth conversions are taxed in the conversion year. State exemptions do not change any of that.
• Large one-time distributions. Track which spouse received each stream and whether it is earned or retirement income. The per-person design matters when comparing Georgia with Florida or South Carolina.

Comparing states before a move? Use the retirement taxes by state table and the moving states tax guide, and read retirement tax planning for how distributions, conversions, and a move are sequenced together.