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2026 rules · verified against New Jersey's primary source
New Jersey fully exempts military retirement pay from state income tax.
New Jersey does not tax U.S. military pensions or survivor benefit payments, regardless of age or income.
Treatment
fully exempt
Top marginal rate
10.75%
Source: https://www.nj.gov/treasury/taxation/military/taxinformation.shtml · verified July 2026
Estimated New Jersey state income tax on your military retirement, using the top marginal rate on the taxable portion (an upper bound; your effective rate is usually lower).
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