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New York State and Local Retirement System

Tax Services

Frequently Asked Questions

  1. If I move to a state other than New York, would my pension check be taxed?

    Your New York State pension is not taxed in New York. Please visit the Retired Public Employees Association website for more information on which states do tax pensions.

  2. Why is my withholding tax status married with 3 exemptions?

    This is the starting point for all of our pensioners. At the time of retirement, you are given a Form W-4P (Withholding Certificate for Pension or Annuity Payments). This form is provided so that you may change your designation at any time.

  3. What are the monies reported in Box 5 on my 1099-R Form?

    These monies represent the portion of your pension not subject to federal income tax. Generally, if you have made after-tax contributions while employed, a small percentage of your pension will be excluded from taxation each year until all of the after-tax contributions are fully recovered.

  4. How can I have a “Fixed Amount” of federal withholding deducted each month from my pension check?

    Simply indicate the amount in Box No. 3 on Form W-4P. Please note, however, that any changes must be received in this office prior to each month's pension close-out date in order to effect your next check.