Minnesota Salary Paycheck Calculator
Are you interested in your take-home pay in Alabama? Our Alabama Salary Paycheck Calculator provides a precise estimate of your net income after deductions.
Whether you’re a current resident or considering relocating to the Bay State, knowing how your paycheck is distributed can help you manage your finances effectively.
Gross To Net Calculator
The amount that remains after these deductions are considered your net pay.
Minnesota Taxes: What You Need to Know
Minnesota’s residents with the highest income bracket face some of the nation’s highest income tax rates; the state’s sales and property tax rates are considered average.
The state of Minnesota also offer several programs aimed at helping senior citizens save on their taxes.
In many of Minnesota’s major cities, the combined sales tax rate (including state and local taxes) is above 7.50%. In Minneapolis, there is an additional 3% surtax on dining, alcohol, and entertainment in the downtown area. Also, Mankato and Proctor impose their surtaxes on food and beverages at rates of 0.5% and 1%, respectively.
The income tax rates vary between 5.35% and 9.85%, while the state’s sales tax rate is 6.875%. The state provides various tax deductions and credits, such as a childcare credit and a student loan credit, which can help lower your state tax liability.
Here’s a general overview of Minnesota’s state tax system.
Federal, State, and Local Tax Withholding
- Federal Tax Withholding: Employers must withhold federal income tax from employees’ wages based on the information provided on their W-4 forms.
- State Tax Withholding: Minnesota requires employers to withhold state income tax from employees’ wages. The amount withheld depends on the employee’s earnings and the information provided on their W-4MN forms.
- Local Tax Withholding: While Minnesota does not have local income taxes, certain cities may have specific taxes or fees.
FICA & State Insurance Taxes
- FICA Taxes: FICA includes Social Security and Medicare taxes. Employers withhold 6.2% for Social Security and 1.45% for Medicare from employees’ wages. Employers match these contributions.
- State Insurance Taxes: These are taxes on insurance premiums, including auto theft prevention surcharges, fire safety surcharges, and more.
Pre-Tax Deductions
- Medical Insurance: Contributions towards health and dental insurance premiums can be made pre-tax, reducing taxable income.
- 401(k) and Retirement Plans: Contributions to retirement plans like 401(k) can also be made pre-tax, providing tax savings.
Tax Percentage Information
| Tax Type | Percentage |
| Federal Income Tax | Varies based on income |
| Minnesota State Income Tax | 5.35% to 9.85% |
| Social Security (FICA) | 6.2% |
| Medicare (FICA) | 1.45% |
| State Insurance Taxes | Varies |
| Pre-Tax Medical Insurance | Varies |
| Pre-Tax 401(k) Contributions | Up to IRS limits |
Median household income in Minnesota
Well, in 2023, the median household income in Minnesota was $90,340, which decreased from $90,390 in the previous year.
Now, let’s look at the table that refers to the tax rates in Minnesota, including individual and corporate income taxes, sales taxes, property tax rates, and specific excise taxes on gas and cigarettes. It also highlights the estate tax and provides context on per capita state and local tax collections and debt.
| Tax Type | Rate |
| Individual Income Tax | 5.35% to 9.85% |
| Corporate Income Tax | 9.8% |
| State Sales Tax | 6.875% |
| Average Combined Sales Tax | 8.04% |
| Effective Property Tax Rate | 0.98% |
| Estate Tax | Applicable (rate varies) |
| Gas Tax | $0.286 per gallon |
| Cigarette Excise Tax | $3.732 per pack |
Minnesota Tax Brackets 2024
Minnesota has a graduated income tax system, meaning the tax rate increases as income rises
The state has four income tax brackets: 5.35%, 6.80%, 7.85%, and 9.85%
For instance, if you are a single filer with a taxable income of $150,000, the first $30,070 would be taxed at 5.35%, income from $30,070 to $98,760 would be taxed at 6.80%, and any income above $98,760 would be taxed at 7.85%. So, not all taxable income is taxed at the same rate.
Let’s understand the tax brackets in detail;
| Rate | Married Filing Jointly | Married Filing Separately | Head of Household | Single |
| 5.35% | $0 – $46,330 | $0 – $23,165 | $0 – $39,010 | $0 – $31,690 |
| 6.80% | $46,330 – $184,040 | $23,165 – $92,020 | $39,010 – $156,760 | $31,690 – $104,090 |
| 7.85% | $184,040 – $321,450 | $92,020 – $160,725 | $156,760 – $256,880 | $104,090 – $193,240 |
| 9.85% | Over $321,450 | Over $160,725 | Over $256,880 | Over $193,240 |
Frequently Asked Questions
Minnesota does not have local income taxes, so the Minnesota Paycheck Calculator does not need to account for them. It calculates your take-home pay by considering federal, state, and FICA taxes (Social Security and Medicare).
Yes, Minnesota offers several state-specific deductions and exemptions:
- Standard Deduction: For 2024, the standard deduction amounts are $29,150 for Married Filing Jointly, $14,575 for Married Filing Separately, $14,575 for Single filers, and $21,900 for Head of Household.
- Dependent Exemption: Each dependent can reduce your taxable income by $5,050.
- Itemized Deductions: Minnesota allows itemized deductions for medical and dental expenses, real estate taxes, home mortgage interest, charitable contributions, and more.
Yes, the KEKA paycheck calculator is updated regularly to reflect the latest tax laws. It includes the updated tax brackets and standard deductions.
Minnesota’s tax system is progressive, with rates ranging from 5.35% to 9.85%. While federal tax deductions include a broader range of itemized deductions, Minnesota allows most federal itemized deductions except for the deduction for state and local income taxes. The standard deduction amounts also differ between federal and state levels.
With KEKA Paycheck Calculator, you can input details for multiple jobs or additional income sources. KEKA allows you to enter information about various jobs, dependents, and other income sources to accurately estimate your take-home pay.
Pre-tax deductions such as health insurance premiums, retirement contributions (e.g., 401(k)), and Health Savings Account (HSA) contributions reduce your taxable income. The Minnesota Paycheck Calculator allows you to input these deductions to calculate your net pay accurately.
To adjust the calculator for filing jointly, select the “Married Filing Jointly” status and input the combined income and deductions for both spouses. This will ensure the calculator applies the correct tax brackets and standard deductions for joint filers.
