Military Retirement Pay Income Tax Exemption
100% exemption of military retirement pay and SBP payments from Hawaii state income tax.
State BenefitHawaiiTax Benefits
Verified September 30, 2026 against files.hawaii.gov
At a glance
- Benefit type
- Tax Benefits — Hawaii
- Who it's for
- Veterans, Survivors
- VA rating needed
- No rating requirement
- Estimated value
- Full exemption (up to 11% state tax savings)
- Where it applies
- Hawaii
- Last verified
- September 30, 2026
What is Military Retirement Pay Income Tax Exemption?
Military Retirement Pay Income Tax Exemption is a Hawaii tax benefits benefit for veterans, survivors. 100% exemption of military retirement pay and SBP payments from Hawaii state income tax. The listed value is Full exemption (up to 11% state tax savings).
Who qualifies
- Veterans
- Survivors
- Available to any veteran
- Hawaii residency
Who is eligible
Eligibility
All military retirees receiving retirement pay, including Survivor Benefit Plan (SBP), RCSBP, and RSFPP annuities. Must file Hawaii state taxes.
What Military Retirement Pay Income Tax Exemption covers
Covers
Full exemption of military retirement pay and SBP payments from Hawaii state income tax. Hawaii's top marginal rate is 11%, so this is highly valuable for retirees.
How to apply for Military Retirement Pay Income Tax Exemption
How to apply
Exclude qualifying income when filing Hawaii state tax return.
Verified information & sources
- Last verified
- September 30, 2026
- Official source
- files.hawaii.gov
- Apply at
- tax.hawaii.gov
Compiled and fact-checked against the official source linked above. Benefit rules and dollar amounts change over time — always confirm current details at the official source before applying. A county Veterans Service Officer (VSO) is a free, accredited advocate who can review your eligibility and help you file at no cost.
How VetUnlock verifies benefitsFrequently asked questions about Military Retirement Pay Income Tax Exemption
Who qualifies for Military Retirement Pay Income Tax Exemption?
Military Retirement Pay Income Tax Exemption is for Veterans, Survivors; available to any veteran; hawaii residency. See the eligibility details on this page and confirm with the official source before applying.
How much is Military Retirement Pay Income Tax Exemption worth?
The listed value is Full exemption (up to 11% state tax savings). Amounts can change — confirm the current figure at the official source linked on this page.
How do I apply for Military Retirement Pay Income Tax Exemption?
Apply through the official source linked on this page. A county Veterans Service Officer (VSO) can review your eligibility and help you file at no cost.
Where can I verify Military Retirement Pay Income Tax Exemption?
Benefit rules and dollar amounts change, so always confirm current details at the official source linked on this page. A free, accredited county or state Veterans Service Officer (VSO) can also verify your eligibility and help you apply.