Retirement Tax Breakdown for Nebraska Residents

Complete Nebraska retirement tax guide: income tax rates, capital gains treatment, Social Security and pension taxation, property taxes, and sales tax. Overall retiree-friendliness rank: #38 of 51.

State Income Tax
5.84% top rate

4 bracket(s)

Capital Gains Rate
5.84%

Treated as ordinary income

Property Tax Rate
1.54%

#8 (Low)

Sales Tax Rate
7%

State 5.5% + local avg 7%

Less Tax-Friendly State

Nebraska exempts Social Security but taxes pensions. Property taxes are among the highest in the nation. The graduated income tax has moderate top rates.

Retirement Income Taxation

Social Security

Not taxed

Pension Income

Taxable

Retirement Exemption

None

Tax Comparison Summary

State income tax5.84% top
Capital gains5.84%
Property tax1.54% effective
Sales tax7% combined
Overall retiree rank#38 of 51

Nebraska Income Tax Brackets

State Tax Bracket Schedule

RateFromTo
2.46%$0$3,700
3.51%$3,700$22,170
5.01%$22,170$35,730
5.84%$35,730No limit

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