Question for military retirees...or anyone who knows...

Discussion in 'General Conversation' started by Flatheadhunter33, May 20, 2009.

  1. Flatheadhunter33

    Flatheadhunter33 New Member

    Messages:
    3,764
    State:
    Yuma, Arizona
    I have a question for all the military retirees (or any one who might be able to answer this). Depending on how things go in the next year with the Marine Corps promotion system...I may be retiring (God willing) late 2010 or early 2011...depending on terminal and all that stuff...Im kind of looking forward to it but also not really (make sense? LOL) anyhow, my question is this...I just realized that military pension is taxable income! I really never thought of that! I always thought that if you rated 50 percent...thats what you got! If you all dont mind me asking....what percentage of your pension is taxed? Does it include basic pay percentage as well as medical percentage? I guess I got alot of stuff to consider! I have been to tap and tamps classes once and plan to go again...Thanks in advance:wink:.
     
  2. ryang

    ryang Well-Known Member

    Messages:
    5,290
    State:
    Blacklick, Ohio
    Name:
    Gary
    For one Dameon Thank you for your service to this wonderfull country. I am retired but from the Reserves so I cannot give you that answer for another 17 years LOL. That being said I think that if you make more than a certain amount over 25K then it will be taxed otherwise I would think it would be the same as being on Social Security. Im guessing at that though. What a crock tho you get taxed while active duty your pension is going to be taxed twice ce la vi
     

  3. Dirtdobber

    Dirtdobber Guest Staff Member

    Messages:
    3,584
    State:
    Vian Okla
    If you have pay from a service connected disability it is tax free. Your retirement will be taxed unless you get 100% SC disability. I draw 100% SC and none of mine is taxed. I don't draw military retirement. You need to check with the VA they can answer all you questions.
    Thank you for your service to this great country SEMPER FI
     
  4. jim

    jim New Member

    Messages:
    2,579
    State:
    Jacksonville NC
    Depends on your state.NC does not tax gov retirees but only after a bitter fight in the Supreme court.Lots of states did not tax their retirees but did tax military and federal.Go figure but that is how much they "honored" their veterans who went off and fought wars by taxing us but not the folks that styed behind and worked for the state.You can Google the states fed reiree tax plans easily enough.SOME like Colo give you a break on the first 25K then tax the rest.SC does something similiar.TX,WY,NC,FL, are some that dont tax.See your retiree office and they can provide you the info.Good on you that you are thinking about these things.:big_smile:
     
  5. AwShucks

    AwShucks New Member

    Messages:
    4,532
    State:
    Guthrie, Oklaho
    You need to check with the state listed in your HOR. Oklahoma doesn't tax a portion of the retirement. If you have a VA disability, the percentage of disability is not taxed. It is reflected on your retirement earning forms. The old adage of there being no free lunch also applies to just about any benefit you may receive from your service. You will still pay for it. LOL Oh yes, and that saying about medical care for the rest of your life. that was just a rumor. For whatever good the VA does, it is not where what you should be entitled.