Retirement Tax Breakdown for California Residents

Complete California retirement tax guide: income tax rates, capital gains treatment, Social Security and pension taxation, property taxes, and sales tax. Overall retiree-friendliness rank: #48 of 51.

State Income Tax
13.3% top rate

10 bracket(s)

Capital Gains Rate
13.3%

Treated as ordinary income

Property Tax Rate
0.71%

#30 (Above Avg)

Sales Tax Rate
8.9%

State 7.25% + local avg 8.9%

Less Tax-Friendly State

California has the highest state income tax in the US. Capital gains are taxed as ordinary income. Social Security is exempt, but all other retirement income is taxed.

Retirement Income Taxation

Social Security

Not taxed

Pension Income

Taxable

Retirement Exemption

None

Tax Comparison Summary

State income tax13.3% top
Capital gains13.3%
Property tax0.71% effective
Sales tax8.9% combined
Overall retiree rank#48 of 51

California Income Tax Brackets

State Tax Bracket Schedule

RateFromTo
1%$0$10,412
2%$10,412$24,684
4%$24,684$38,959
6%$38,959$54,081
8%$54,081$68,350
9.3%$68,350$349,137
10.3%$349,137$418,961
11.3%$418,961$698,271
12.3%$698,271$1,000,000
13.3%$1,000,000No limit

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