Retirement taxes by state
How Pennsylvania taxes retirement income in 2026
Pennsylvania has a flat 3.07% income tax. Here's how Pennsylvania 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 $307 in Pennsylvania income tax.
Updated October 2026 · 2026 tax year
Pennsylvania at a glance
- Flat 3.07% income tax.
- Social Security isn't taxed.
- 401(k)/403(b), IRA and Roth conversion income is fully exempt from age 59½.
- Pension income is fully exempt.
Pennsylvania retirement tax questions
Does Pennsylvania tax Social Security?
No. Social Security isn't taxed.
Does Pennsylvania tax 401(k) and IRA withdrawals?
Not from age 59½ — before then, yes. 401(k)/403(b), IRA and Roth conversion income is fully exempt from age 59½.
Does Pennsylvania tax pensions?
No. Pension income is fully exempt.
Does Pennsylvania tax Roth conversions?
Not from age 59½ — before then, yes. 401(k)/403(b), IRA and Roth conversion income is fully exempt from age 59½.
What is Pennsylvania's income tax rate in 2026?
Pennsylvania has a flat 3.07% income tax.
What retirees actually pay in Pennsylvania: 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, Pennsylvania ranks 33rd lowest of the 50 states and DC.
| Household | Total income | Pennsylvania 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 | $307 | 0.3% |
| 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 | $2,456 | 3.1% |
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 is exempt (plan/IRA money from 59½, incl. conversions). No standard deduction. Local wage taxes don't apply to retirement income.
Local income taxes
Some places in Pennsylvania add a local income tax. Retirology models these when you pick your locality:
- Philadelphia (wage tax, retirement-exempt)
- Pittsburgh (wage tax, retirement-exempt)
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.