Retirement taxes by state
How Hawaii taxes retirement income in 2026
Hawaii's income tax rates run from 1.4% to 11%. Here's how Hawaii treats Social Security, retirement-account withdrawals, pensions and Roth conversions in 2026 — and what that means in dollars: a retired couple, both 67, with $98,000 of income pays about $610 in Hawaii income tax.
Updated October 2026 · 2026 tax year
Hawaii at a glance
- Income tax from 1.4% to 11%.
- Social Security isn't taxed.
- Pension income is fully exempt.
- Extra $1,144 deduction per person from age 65.
- Capital gains are taxed at no more than 7.25%.
- Changes already passed into law for 2027 are included.
Hawaii retirement tax questions
Does Hawaii tax Social Security?
No. Social Security isn't taxed.
Does Hawaii tax 401(k) and IRA withdrawals?
Yes, at the state's regular income tax rates. Hawaii has no special exclusion for retirement-account withdrawals. Also: extra $1,144 deduction per person from age 65.
Does Hawaii tax pensions?
No. Pension income is fully exempt.
Does Hawaii tax Roth conversions?
Yes. A Roth conversion counts as income in Hawaii in the year you convert, taxed at the state's regular rates. Qualified Roth withdrawals later aren't taxed.
What is Hawaii's income tax rate in 2026?
Hawaii's income tax rates run from 1.4% to 11%.
What retirees actually pay in Hawaii: three examples
Calculated with Retirology's tax engine under 2026 law, using each state's standard deduction, its retirement breaks and the 2026 federal rules for how much Social Security is taxable. For the retired couple, Hawaii ranks 36th lowest of the 50 states and DC.
| Household | Total income | Hawaii tax | Share |
|---|---|---|---|
| Retired couple, both 67 $48,000 of Social Security, $40,000 drawn from IRAs and 401(k)s, and $10,000 of qualified dividends | $98,000 | $610 | 0.6% |
| Single retiree, 70 $30,000 of Social Security, a $25,000 pension and $15,000 of IRA withdrawals | $70,000 | $66 | 0.1% |
| Early-retired couple, both 56, converting to Roth A $60,000 Roth conversion and $20,000 of long-term gains and qualified dividends, living on savings | $80,000 | $2,651 | 3.3% |
State income tax only — before local taxes, property tax relief and credits not listed above. Federal income tax is extra and the same in every state.
Hawaii income tax brackets (2026)
Rates apply to Hawaii taxable income, after the state's deductions and the retirement breaks above.
| Single | Rate | Married filing jointly | Rate |
|---|---|---|---|
| Up to $9,600 | 1.4% | Up to $19,200 | 1.4% |
| $9,600 – $14,400 | 3.2% | $19,200 – $28,800 | 3.2% |
| $14,400 – $19,200 | 5.5% | $28,800 – $38,400 | 5.5% |
| $19,200 – $24,000 | 6.4% | $38,400 – $48,000 | 6.4% |
| $24,000 – $36,000 | 6.8% | $48,000 – $72,000 | 6.8% |
| $36,000 – $48,000 | 7.2% | $72,000 – $96,000 | 7.2% |
| $48,000 – $125,000 | 7.6% | $96,000 – $250,000 | 7.6% |
| $125,000 – $175,000 | 7.9% | $250,000 – $350,000 | 7.9% |
| $175,000 – $225,000 | 8.25% | $350,000 – $450,000 | 8.25% |
| $225,000 – $275,000 | 9% | $450,000 – $550,000 | 9% |
| $275,000 – $325,000 | 10% | $550,000 – $650,000 | 10% |
| Over $325,000 | 11% | Over $650,000 | 11% |
Details and limits
Employer-funded pensions are exempt; IRA and 401(k) money is taxed (the employer-funded share of a 401(k) isn't split out). Capital gains max 7.25%. Act 24 adds a 13% bracket from 2027; the later Act 46 deduction and bracket steps aren't included.
Sources
Rates and rules for the 2026 tax year, from Retirology's state tax data (reviewed October 2026):
This page explains state tax rules in general terms. It isn't tax advice — check your state's official instructions or a tax professional for your situation.