US Tax Tools

Oregon Retirement Income Tax 2025

See how Oregon 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

Social Security is not taxed.

Pension and IRA income

Private pension and IRA income is generally taxable.

012025 STATE RETURN INPUTS
Retirement income by state
For Oregon, the model subtracts $15,000 of retirement income and estimates $5,378 of 2025 state income tax.

Estimated 2025 state tax

$5,378

Resident return; local taxes and unmodeled credits excluded.

Modeled state taxable income

$65,000

Retirement-income subtraction

$15,000

Social Security is not taxed.

Private pension and IRA income is generally taxable.

Scope: The federal pension subtraction and retirement income credit are not modeled.

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Oregon 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

$5,378

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

What this model does not include

The federal pension subtraction and retirement income credit are not modeled. Review the official instructions before filing.

Review the full Oregon income tax guide →

Oregon retirement income tax FAQs

Does Oregon tax Social Security benefits in 2025?

Social Security is not taxed.

Does Oregon tax pensions and IRA withdrawals?

Private pension and IRA income is generally taxable.

What does the Oregon 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 Oregon 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. The federal pension subtraction and retirement income credit are not modeled.

Sources

Related Calculators

Last updated July 27, 2026 Tax year 2025

Data sources: Oregon Department of Revenue — Personal Income Tax

This tool is general information only, not financial advice.

Reviewed by USTax Tools Editorial Desk

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