Retirement taxes by state
How Iowa taxes retirement income in 2026
Iowa has a flat 3.8% income tax. Here's how Iowa 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 nothing in Iowa income tax.
Updated October 2026 · 2026 tax year
Iowa at a glance
- Flat 3.8% income tax.
- Social Security isn't taxed.
- Retirement income (pensions, 401(k)s, IRAs, Roth conversions) is fully exempt from age 55.
- Extra $20 tax credit per person from age 65.
Iowa retirement tax questions
Does Iowa tax Social Security?
No. Social Security isn't taxed.
Does Iowa tax 401(k) and IRA withdrawals?
Not from age 55 — before then, yes. Retirement income (pensions, 401(k)s, IRAs, Roth conversions) is fully exempt from age 55. Also: extra $20 tax credit per person from age 65.
Does Iowa tax pensions?
Not from age 55 — before then, yes. Retirement income (pensions, 401(k)s, IRAs, Roth conversions) is fully exempt from age 55.
Does Iowa tax Roth conversions?
Not from age 55 — before then, yes. Retirement income (pensions, 401(k)s, IRAs, Roth conversions) is fully exempt from age 55.
What is Iowa's income tax rate in 2026?
Iowa has a flat 3.8% income tax.
What retirees actually pay in Iowa: 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. That couple would owe nothing in Iowa — one of 24 states (counting DC) where they'd pay $0.
| Household | Total income | Iowa 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 | $0 | 0.0% |
| Single retiree, 70 $30,000 of Social Security, a $25,000 pension and $15,000 of IRA withdrawals | $70,000 | $0 | 0.0% |
| 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 | $0 | 0.0% |
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.
Details and limits
Retirement income, including Roth conversions, is exempt from age 55.
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.