Public employees in Washington State can take comfort in the security of their retirement funds. If you live in a state outside Washington, you will be responsible for paying any pension income taxes owed to that state.The tax treaty between the United States and the United Kingdom, which this item focuses on, is one of the most comprehensive when it comes to pensions. The Retirement Marketplace makes it easy to find affordable retirement benefits. Learn more about retirement plans available through the state program. Usually, you fill out the required paperwork and submit it to the plan administrator, who then can tell you what your benefits will be and when they will start. Under the annual retirement test, you can still get all benefits due for the year if your earnings do not exceed the annual exempt amount. Washington becomes the 16th state to offer a retirement savings plan for workers without access to one. Employees can opt out of participation. By this definition, Washington retired three times.