Updated September 4, 2026. Quick answer: No. Mississippi fully exempts public, private, federal, and military retirement income alike, with no dollar cap, once ordinary retirement-plan age or service requirements are met. Only early or excess distributions, taxable as such under the federal rules, are taxed.
Confidence note: high. This page is scoped to pension, IRA and 401(k) taxation specifically. For the state’s full retirement-tax picture (Social Security, tax rates, estate and probate), see how Mississippi taxes retirement income generally.
How pensions and retirement-account withdrawals are taxed
| Public (state/local government) pensions | Fully exempt, no cap, for Mississippi state and local retirement systems. |
|---|---|
| Private (employer) pensions | Fully exempt, no cap; the statute treats private retirement plans the same as public ones. |
| Federal government pensions (FERS/CSRS) | Fully exempt, no cap. The same statutory clause names the Federal Civil Service Retirement Act explicitly, on identical footing with Mississippi’s own public retirement system. |
| Military retirement pay | Exempt, under the same general federal-government-retirement clause that covers other federal pensions; there is no standalone statutory line specific to military pay. |
| IRA and 401(k)/403(b) distributions | Fully exempt once ordinary retirement-plan age or service requirements are met. Early or excess distributions, taxable as such under the federal Form 5329 standard, remain taxable; Mississippi does not set its own numeric age threshold. |
| General retirement-income exclusion | A separate age-65/blindness exemption stacks on top of the retirement exemption: $1,500 for the taxpayer or spouse at 65 or older, and another $1,500 if blind. |
Coordinate this with your overall retirement plan
An adviser can help weigh how much of a pension or IRA withdrawal to take this year, whether a Roth conversion makes sense before or after a move, and how state tax interacts with the rest of your plan, but that does not replace the numbers in your own return.
Before you start, what actually happens. The form is run by Kapitalwise, our advisor-matching partner. Kapitalwise sends your details to advisers who pay for the introduction, so expect calls and texts. Clear Money Guide is paid when you submit the form, whether or not you hire anyone. The matching service is free to you and there is no obligation to hire anyone.
The Kapitalwise form opens here. You stay on this page.
What happens when you press the button
It requests contact details and phone verification by text. Nothing loads and nothing reaches Kapitalwise until you press the button. Submitting the form does not guarantee an adviser or a match. This matching form is not tax or legal advice.
Social Security
Social Security is never taxed by Mississippi. Social Security has its own rules in every state; see the full breakdown in how Mississippi taxes retirement income generally.
Statute and sources
Governing citation: Miss. Code Ann. sec. 27-7-15(4)(k) and (l) (retirement exemptions), sec. 27-7-21(f) (age-65 exemption).
- Mississippi Legislature, bill text quoting Miss. Code Ann. sec. 27-7-15(4)(k)
- Mississippi Dept. of Revenue, 2025 Individual Income Tax Instructions
Read September 4, 2026.
Related: how Mississippi taxes retirement income generally · does Mississippi tax Roth conversions? · Roth conversion taxes, all 51 jurisdictions.
General information drawn from each state’s own published statutes and revenue-department guidance, not legal, tax or financial advice. Figures and exemption amounts are current as of the date in the quick answer, are set by state law, and can change by future legislation; any pending bill named on this page is not yet law. This page cannot see your own return, which governs. We are not a law firm, a tax adviser, or a fiduciary, and this is not personalized advice.