Teacher Retirement Tools

Moving from New Jersey to Tennessee: Retirement Tax Savings

Estimated annual state income-tax savings on pension income if you relocate from New Jersey to Tennessee in retirement.

Estimated Annual Tax Savings
$8,600
on a $80,000 annual pension
100 SCORE
Relocation Score
StatePension income tax
New Jersey (10.75%)$8,600/yr
Tennessee (0%)$0/yr

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Relocating from New Jersey to Tennessee could save a teacher with an $80,000 pension about $8,600 every year in state income tax — Tennessee levies no state income tax, while New Jersey taxes it at up to 10.75%.

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Estimates apply the state's top marginal income-tax rate to pension income. Actual tax depends on brackets, deductions, and filing status. Social Security and property taxes are not included.