Retirees ages 55 through 64 are able to exclude pension income up to $20,000 per year per person.
Retirees who are age 65 and over can exclude up to $24,000 per year per person.
Anyone receiving a survivor benefit, regardless of their age, can also qualify for the pension exclusion.
The retirees age as of December 31st determines the amount of the exclusion. The income subject to the exclusion are:
Public Employees' Retirement Association (PERA) retirement benefits
Social
Security payments
Certain
other retirement pensions, and distributions from Individual Retirement
Accounts
Tax-deferred
savings plans
