Nebraska taxes — property, income, sales, retirement

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Property tax, income tax, sales tax, and retirement-income treatment in Nebraska. Quick read for movers, retirees, and remote workers.

Income tax up to 5.84%. Higher property tax. SS now untaxed (phased out). Partial pension exclusion.
Effective property tax
1.61%
of home value/yr
Income tax (top rate)
5.84%
Sales tax (state)
5.50%
local adds more
SS taxed by state?
No

Property tax

Nebraska’s effective property tax rate is approximately 1.61% of assessed home value per year. On a $350,000 home that’s about $5,635/yr. Rates vary by county and municipality — this is a state-wide average.

Income tax

Top marginal rate: 5.84%. Brackets vary by income. For wage earners, the effective rate depends on filing status, deductions, and credits.

Sales tax

State base rate: 5.50%. Local municipal and county additions can raise the combined rate by 1-4 percentage points.

Retirement income

Social Security: Not taxed by state. Pensions & 401(k) withdrawals: Partial exclusion / credit available.

Top cities in Nebraska

Omaha · pop 489,265 · momentum 65

Lincoln · pop 300,619 · momentum 70

Bellevue · pop 64,777 · momentum 69

Grand Island · pop 53,250 · momentum 65

Kearney · pop 34,741 · momentum 75

Fremont · pop 28,190 · momentum 73

Compare to other states: All 50 state tax overviews · All Nebraska cities · Is Nebraska a good place to live? · Best Nebraska cities for retirees

Sources: Tax Foundation effective property tax rankings, state DOR publications, AARP retirement tax guide. 2024/2025 representative figures — verify with a CPA for your specific situation.