Does West Virginia tax retirement income?

Does West Virginia tax Social Security?

West Virginia no longer taxes Social Security benefits, for anyone, starting in 2026.

For 2026, 100% of federally taxable Social Security is subtracted for everyone, regardless of income. Before 2026 the full subtraction applied only up to $50,000 of AGI single or $100,000 joint, with 35% above that in 2024 and 65% in 2025.

Your federal return is a separate question — see how much of your benefit the IRS taxes with the taxable Social Security calculator.

Are pensions taxed in West Virginia?

The first $2,000 of state, teacher and federal pensions is exempt, police and fire pensions are fully exempt, and at 65+ an $8,000 deduction covers any income.

The first $2,000 per person of benefits from West Virginia PERS, the Teachers Retirement System and federal retirement systems is subtracted. West Virginia police, firefighter, State Police and deputy sheriff pensions are fully exempt. Other public and private pensions are taxable, but the $8,000-per-person modification at 65+ (or if permanently disabled) applies to income from any source, reduced by the other retirement subtractions you claim.

Public vs. private pensions: Certain public pensions get $2,000 (police and fire: all); private pensions rely on the $8,000 at 65+.

Are IRA and 401(k) withdrawals taxed in West Virginia?

IRA and 401(k) withdrawals are taxable, but at 65+ the $8,000-per-person modification can cover them.

The $8,000 is reduced by any Social Security, public pension, police/fire and military subtractions you claim.

Required minimum distributions (RMDs) are IRA and 401(k) withdrawals, so the same rules apply. Estimate your RMD.

Is military retirement pay taxed in West Virginia?

Military retirement pay — regular, Reserve and National Guard, and the other uniformed services — is fully exempt.

What is West Virginia’s income tax rate?

5 brackets, topping out at 4.58%.

Five brackets for 2026 after a 5% cut: 2.11% up to $10,000, then 2.81%, 3.16%, 4.22% and 4.58% above $60,000. 2025 rates ran from 2.22% to 4.82%.

Single, joint and head of household filers share one table; married filing separately uses half-size brackets.

Standard deduction and exemptions

No standard deduction; personal exemptions of $2,000 each (a surviving spouse gets an extra $2,000 for two years after the death). The $8,000 senior modification works much like a standard deduction.

What tax breaks do seniors get in West Virginia?

The $8,000-per-person modification at 65+ or if disabled, and the full Social Security exemption from 2026. Homestead and senior property-tax credits exist but aren’t covered here.

What changed for 2026?

HB 4880 (2024) phased in the full Social Security exemption, reaching everyone in 2026. SB 392 (2026) cut rates 5% retroactive to January 1, 2026. Further cuts can follow if revenue beats an inflation-adjusted base; any cut from an August 2026 finding would apply from 2028 at the earliest.

2026 rates come from SB 392 (signed March 31, 2026), retroactive to January 1.