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Retirees - About Taxes and Your Pension Payment

Federal Income Taxes

It's important to note that your pension payments are considered taxable income for federal income tax purposes.  You will be provided a W4-P as part of your retirement application.  The W4-P is a federal income tax withholding form.  It tells the Administrative Office the amount of federal income tax to withhold from your pension payment. 
 

State Income Taxes

The Administrative Office is unable to withhold state income taxes from your pension payment.

 

 

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