Does Missouri Tax Retirement Income?

No. Missouri does not tax Social Security benefits.

For 2024 and later years, Social Security retirement benefits are fully deductible for taxpayers 62 or older, and disability benefits also qualify, with no income limit.

The Missouri 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 Missouri does, so the state rule changes the state line only. Our guide to states that do not tax Social Security shows where Missouri sits among the states that still tax benefits.

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

Public pensions such as state, local, and federal government retirement can be deducted up to the 2026 maximum Social Security benefit of $48,967, reduced by any Social Security deduction claimed. The prior income limits were removed starting in 2024. Private pensions can qualify for an exemption of up to $6,000, subject to an income-based phaseout.

The main exclusions are the full Social Security deduction at age 62 and the public pension exemption capped at the annual maximum Social Security benefit, less the Social Security deduction claimed. The $6,000 private retirement exemption phases out above $25,000 of Missouri adjusted gross income for a single filer or $32,000 on a joint return.

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

Traditional 401(k) and IRA withdrawals are generally taxable in Missouri but can count toward the $6,000 private pension exemption. The exemption phases out dollar for dollar as Missouri adjusted gross income exceeds $25,000 for a single filer or $32,000 on a joint return.

Two timing points matter in Missouri. A Roth conversion is taxable in the year it is done, and Missouri 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 Missouri 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 private pension deducts the Social Security in full. The $60,000 of 401(k) and private pension income exceeds the private exemption income limits, so no part of the $6,000 exemption applies and about $60,000 remains taxable before the standard deduction, at rates topping out at 4.7%.

The $30,000 of Social Security comes off in full because the filer is over 62, leaving $60,000 of 401(k) and private pension income. The $6,000 private pension exemption is gone before it starts, since Missouri adjusted gross income of $60,000 is $35,000 over the $25,000 single limit and the exemption shrinks dollar for dollar. Subtract the $16,100 standard deduction and roughly $2,000 more for being over 65, and about $41,900 is taxable, which produces roughly $1,800 of Missouri tax using the 2026 brackets ($263 on the first $9,436, then 4.7% of the rest). Contrast a retired teacher with the same $90,000 where the $20,000 is a public pension: the public pension exemption is capped at roughly $48,967 less the $30,000 Social Security deduction, so about $18,967 of the pension is sheltered and the bill drops by roughly $900. A $150,000 lump-sum IRA withdrawal in the same year would add roughly $7,050 at 4.7%, with no exemption to soften it.

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.

• Illinois: treats Social Security as exempt, pensions as exempt, and 401(k) and IRA withdrawals as exempt, with a top rate of 4.95% and qualified retirement income is subtracted.
• Florida: has no individual income tax at all.
• Texas: has no individual income tax at all.

Missouri's recent reforms reward Social Security recipients and government retirees far more than private savers. A retired teacher or federal employee can shelter most of their pension, while a private-sector retiree drawing the same dollars from a 401(k) generally pays tax on nearly all of it.

Military retirement: Military retirement pay is fully deductible from Missouri income. Survivor Benefit Plan payments do not qualify for the military subtraction but may qualify for the public pension exemption. See the military retirement tax map for every state's treatment.

Estate and inheritance tax: Missouri has no estate or inheritance tax.

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

• Confirm the exclusion you are claiming. The main exclusions are the full Social Security deduction at age 62 and the public pension exemption capped at the annual maximum Social Security benefit, less the Social Security deduction claimed. The $6,000 private retirement exemption phases out above $25,000 of Missouri adjusted gross income for a single filer or $32,000 on a joint return.
• Part-year residents. If you moved into or out of Missouri 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 Missouri tax. If Missouri 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. Classify every income source correctly. Military retirement pay receives the military subtraction, while Survivor Benefit Plan payments may use the public pension exemption instead. Private pensions and retirement accounts receive only the smaller phased exemption. Watch for further triggered rate cuts below 4.7%, which depend on state revenue rather than a fixed schedule.

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.