Tennessee retirement taxes in 2026: what retirees pay

Tennessee keeps things simple for retirees: the state has no income tax. Pension checks, withdrawals from IRAs and workplace retirement accounts, and Social Security benefits all arrive without any state income tax taken from them. So the state-level part of your retirement tax picture is short here. Federal taxes still apply, and other costs of living still matter, but when it comes to the state taking a share of your retirement income, Tennessee asks for nothing.

Tennessee retirement taxes at a glance (2026)

How Tennessee treats retirement income

Tennessee has no income tax, so pensions, IRA and 401(k) withdrawals and Social Security are not taxed by the state. 1

What three retirees would pay in Tennessee

These are estimates from Monte Climb's planner on 2026 law, for three example households. They start, as the app does, from federal taxable income: the 2026 standard deduction plus the extra amount at 65 2, the taxable part of Social Security 3 and the senior deduction 4.

• A single retiree, 67 with $54,000 of income would owe about $0 to Tennessee.
• A married couple, both 67 with $106,000 of income would owe about $0 to Tennessee.
• A married couple, both 62, before Social Security with $76,000 of income would owe about $0 to Tennessee.

The same couple next door

The married couple, both 67, with $106,000 of income, in Tennessee and the states around it:

Every figure here starts from federal taxable income, as above, so a state whose own deductions are smaller can tax more than shown.

What these estimates leave out

• City income taxes, and capital gains rules a state applies apart from its rate.
• Rules for military and public-employee pensions that some states treat separately.

What this means for your plan

With no state income tax on any of your retirement income, the state doesn't factor into decisions like when to claim Social Security or how to order account withdrawals. What's left to plan around is federal tax, spending, and how long your savings need to last. Monte Climb runs Tennessee's rules on your own plan, so you can see how the absence of state tax plays out next to everything else in your retirement.

Sources

1. Tennessee income tax for 2026 (Monte Climb's audit grades it high)
2. Rev. Proc. 2025-32 §4.14(1) and §4.14(3): the 2026 standard deduction and the additional amount at 65
3. IRC §86 and IRS Publication 915: how much of Social Security is taxable (thresholds set by statute, not indexed)
4. P.L. 119-21 (One Big Beautiful Bill Act) §70103: the $6,000 deduction for each person 65 or older, 2025–2028

Figures computed by code from Monte Climb's 2026 state tables (snapshot f024e17). An illustration, not tax advice.

Frequently asked questions

Does Tennessee tax Social Security?

In 2026, Social Security is not taxed (no income tax) in Tennessee.

What is Tennessee's income tax rate in 2026?

Tennessee has no state income tax.

How much state tax would a retired couple pay in Tennessee?

A married couple, both 67, with $106,000 of Social Security, pension and IRA income would owe about $0 to Tennessee in 2026, by Monte Climb's estimate.