Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I understand NY has a tax exemption of 20k for pensions. Are private pensions, IRA and 401k RMDs or withdrawals part of that $20k? Or only the pension part?
Ex. $10k from your previous employer, 6k withdrawal from your 401k and another 4k from your IRA. Maybe 5k more from your Roth. Would any be NY taxable?
all qualified retirement money is exempt up to 20k .
ny or nyc pensions have no cap and are excluded . private pensions are 20k
“
New York State has long been known as the “land of taxes.” Higher-than-average real estate, income, and sales taxes have been a reality for many years. However, New York offers some significant tax breaks to older residents, making it less onerous to retire and remain in the state.
Here are some of the major tax breaks a retiree in New York can look forward to:
Taxes on Social Security: The good news here is that all Social Security income is tax-free in New York, regardless of your income or the size of your Social Security benefit. The federal government may tax some of your Social Security benefit if your income is above certain guidelines, but New York will take a pass. This is an important benefit and a bonus for New Yorkers since 12 other states levy income taxes on Social Security benefits if their residents pay federal income taxes on the benefits.
Taxes on Retirement Income: New York gives every resident who is age 59.5 or older a break on taxes against retirement income from pensions and/or retirement account distributions. The first $20,000 of retirement income is exempt from tax. This includes income from a corporate pension, an Individual Retirement Account, a 401k account, or other retirement plan. Married couples get a double exemption, with each eligible for the $20,000 exclusion for a total of $40,000. This benefit applies to all taxpayers of any income level.
Taxes on Public Pensions: Workers with New York State or local government pensions, federal government pensions, or certain public authorities get an added break: No state income tax on their pensions, period.”