You may see a slight increase in the net amount of your retirement benefit beginning with your July 31, 2025 payment, as Georgia’s flat income tax rate decreases from 5.39% to 5.19% effective July 1, 2025.

This change is part of tax reform under HB 1437. In April 2025, Governor Kemp signed HB 111, accelerating the reduction toward a 4.99% flat tax rate.

More information regarding HB 111 and the income tax cut can be found here.