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Missouri Taxes: What You Need to Know

Federal, State, and Local Tax Withholding in Missouri in 2024

Federal Income Tax

In 2024, Missouri residents are subject to federal income tax rates, which are based on a progressive tax system. The federal income tax brackets are structured as follows:

• 10% on taxable income up to $11,000
• 12% on income from $11,001 to $44,725
• 22% on income from $44,726 to $95,375
• 24% on income from $95,376 to $182,100
• 32% on income from $182,101 to $231,250
• 35% on income from $231,251 to $578,125
• 37% on income over $578,125

These tax brackets are adjusted annually by the IRS to account for inflation, impacting how much residents owe based on their income.

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Missouri State Income Tax

Missouri employs a progressive state income tax system. For 2024, the state tax brackets are structured as follows:

This structure means that those with higher incomes pay a greater percentage in state taxes, ensuring a more equitable tax burden based on income levels.

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Local Taxes

While Missouri does not impose a state-wide local income tax, some cities and counties may have their own taxes. For instance, Kansas City imposes a local income tax of 1.0% on residents and 0.5% on non-residents.

In addition, Missouri has a sales tax rate of 4.225%, and local jurisdictions can add their rates, resulting in an average combined sales tax rate of approximately 8.60%. 

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FICA & State Insurance Taxes in Missouri in 2024

FICA taxes include Social Security and Medicare contributions. For 2024:

• Social Security Tax: 6.2% on income up to $168,600.
• Medicare Tax: 1.45%, with an additional 0.9% on income over $200,000.

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1. Pre-Tax Deductions (Medical Insurance, 401K, etc.) in Missouri in 2024

Pre-tax deductions are essential for reducing taxable income, thereby lowering tax liability. Here are the common pre-tax deductions applicable to Missouri residents:

2. Health Insurance Premiums

Employee contributions toward medical, dental, and vision insurance through employer-sponsored plans are generally pre-tax. This reduces both the taxable income and the amount of federal, state, and FICA taxes owed.

3. 401(k) Contributions

Contributions to 401(k) retirement plans are made on a pre-tax basis, allowing employees to save for retirement while also lowering their taxable income. In 2024, the maximum contribution limit for a 401(k) plan is $23,000, with an additional $7,500 catch-up contribution permitted for individuals aged 50 and older.

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4. Health Savings Accounts (HSA) and Flexible Spending Accounts (FSA)

• Health Savings Accounts (HSA): For individuals enrolled in high-deductible health plans, the contribution limits for 2024 are $4,150 for individuals and $8,300 for families.
• Flexible Spending Accounts (FSA): Employees can contribute up to $3,050 pre-tax for eligible medical expenses.

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5. Commuter Benefits

Pre-tax deductions are also available for commuting expenses, including public transportation and parking. The IRS sets annual limits on contributions to these accounts, enabling further tax savings for employees. 

In 2024, the IRS limit for pre-tax commuter benefits is $315 per month for transit expenses and an additional $315 per month for qualified parking expenses. Utilizing commuter benefits can help employees save money on commuting costs while reducing taxable income.

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Median Household Income in Missouri

As of 2023, the median household income in Missouri is $68,545, reflecting continued economic growth and recovery in the state. This figure indicates a steady rise from $64,811 in 2022. The increase in median household income can be attributed to several factors, including job creation, wage growth, and overall improvements in the state’s economic conditions.

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This trend aligns with national averages, demonstrating that Missouri residents are experiencing better financial stability. The growth in income levels can help support local economies through increased consumer spending and investment in services and goods.

For more detailed statistics and analysis, consider checking resources like Statista or reports from the U.S. Census Bureau

Missouri Tax Brackets 2024

The tax brackets are the same across different filing statuses, but the standard deduction amounts vary.

• $0 to $1,207: Tax rate is 0%.
• $1,207 to $2,414: Tax is 2% of the amount over $1,207.
• $2,414 to $3,621: Tax is $24 plus 2.5% of the amount over $2,414.
• $3,621 to $4,828: Tax is $54 plus 3% of the amount over $3,621.
• $4,828 to $6,035: Tax is $90 plus 3.5% of the amount over $4,828.
• $6,035 to $7,242: Tax is $132 plus 4% of the amount over $6,035.
• $7,242 to $8,449: Tax is $180 plus 4.5% of the amount over $7,242.
• Over $8,449: Tax is $234 plus 4.95% of the amount over $8,449​(

Standard Deduction for Missouri (2024)

The Missouri standard deduction is aligned with the federal standard deduction:

• Single Filer: $13,850
• Married Filing Jointly: $27,700
• Married Filing Separately: $13,850
• Head of Household: $20,800
• Qualified Widow(er): $27,700

These amounts reflect the same deduction levels used at the federal level for each filing category​