Retirement Tax Breakdown for Delaware Residents

Complete Delaware retirement tax guide: income tax rates, capital gains treatment, Social Security and pension taxation, property taxes, and sales tax. Overall retiree-friendliness rank: #7 of 51.

State Income Tax
6.6% top rate

6 bracket(s)

Capital Gains Rate
6.6%

Treated as ordinary income

Property Tax Rate
0.58%

#38 (High)

Sales Tax Rate
0%

State 0% + local avg 0%

Tax-Friendly State

Delaware has no sales tax, no Social Security tax, and a $12,500 retirement income exclusion for those 60+. Property taxes are low. A popular retirement state.

Retirement Income Taxation

Social Security

Not taxed

Pension Income

Taxable

Retirement Exemption

$12,500 (age 60+)

Tax Comparison Summary

State income tax6.6% top
Capital gains6.6%
Property tax0.58% effective
Sales tax0% combined
Overall retiree rank#7 of 51

Delaware Income Tax Brackets

State Tax Bracket Schedule

RateFromTo
2.2%$0$5,000
3.9%$5,000$10,000
4.8%$10,000$20,000
5.2%$20,000$25,000
5.55%$25,000$60,000
6.6%$60,000No limit

Tax drag can cut your retirement runway by years.

Run Delaware's custom tax profile inside Alistair. Model your actual retirement income against real state tax rules.

Try Alistair Free