US Tax Tools

California Retirement Income Tax 2025

See how California treats Social Security, private pensions, annuities, and IRA distributions for a full-year resident, then run the official-source estimate with your own income.

Social Security

U.S. Social Security is subtracted from California income.

Pension and IRA income

Private pension and IRA income is generally taxable.

012025 STATE RETURN INPUTS
Retirement income by state
For California, the model subtracts $15,000 of retirement income and estimates $2,660 of 2025 state income tax.

Estimated 2025 state tax

$2,660

Resident return; local taxes and unmodeled credits excluded.

Modeled state taxable income

$65,000

Retirement-income subtraction

$15,000

U.S. Social Security is subtracted from California income.

Private pension and IRA income is generally taxable.

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California worked example

For a single filer age 68 with $80,000 of federal AGI, including $15,000 of federally taxable Social Security, $30,000 of pension income, $20,000 of IRA distributions, and $15,000 of other state-taxable income:

Retirement subtraction

$15,000

Modeled state taxable income

$65,000

Estimated 2025 state tax

$2,660

This is an illustration, not a tax return. Local taxes, credits, and unmodeled state adjustments are excluded.

What this model does not include

The calculator does not reproduce every state deduction, credit, addition, or special government and military pension rule. Review the official instructions before filing.

Review the full California income tax guide →

California retirement income tax FAQs

Does California tax Social Security benefits in 2025?

U.S. Social Security is subtracted from California income.

Does California tax pensions and IRA withdrawals?

Private pension and IRA income is generally taxable.

What does the California retirement tax example include?

The example uses a single filer age 68 with $80,000 of federal AGI, $15,000 of federally taxable Social Security, $30,000 of private pension income, $20,000 of IRA distributions, and $15,000 of other state-taxable income.

Is this a complete California resident return?

No. The estimate focuses on retirement-income treatment and the state rate schedule. It excludes local income tax and does not reproduce every deduction, credit, addition, subtraction, or special pension rule. Review the official state instructions for exceptions that apply to your return.

Sources

Related Calculators

Last updated July 27, 2026 Tax year 2025

Data sources: California FTB Publication 1005 (2025)

This tool is general information only, not financial advice.

Reviewed by USTax Tools Editorial Desk

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