Does Oregon tax pensions and retirement income?
Taxed, with narrow exceptions
Yes. Oregon taxes the pension income of residents. Some federal pensions for service before October 1991 can be partly or fully subtracted.
In the state's own words
Copied word for word from the official document linked below each quote:
“If you change your permanent residence to Oregon, your pension income, along with all other income regardless of source, is taxable in Oregon.”
And Social Security?
No. Oregon does not tax Social Security. The Oregon Social Security page quotes the rule.
Federal tax still applies
Whatever Oregon does, pensions, annuities and traditional IRA or 401(k) withdrawals are generally taxable on your federal return. See the federal tax brackets and, if you are 73 or older, the required minimum distribution calculator.
State rules change, and the details (age limits, income limits, which plans qualify) matter. Check with the Oregon Department of Revenue before you file or move.
Other states in the same group
Check our work
The answer above comes from this document. Follow the link and compare.
- Personal Income Tax: IndividualsOregon Department of Revenue. Read on November 12, 2026.