Minnesota rules
How Minnesota taxes your salary after federal deductions in 2026
Minnesota income tax brackets: 5.35% to 9.85%
The Minnesota Department of Revenue applies four progressive brackets. The entry rate of 5.35% covers a wide band of income up to $33,310 (single), while the 9.85% top rate kicks in at $203,150. Minnesota's standard deduction of $15,300 (single) is close to the federal standard deduction of $16,100, which shelters a meaningful amount of income before state brackets apply.
| Rate | Taxable income |
|---|---|
| 5.35% | $0 – $33,310 |
| 6.80% | $33,310 – $109,430 |
| 7.85% | $109,430 – $203,150 |
| 9.85% | Over $203,150 |
2026 brackets after Minnesota standard deduction ($15,300 single / $30,600 married). Source: MN Dept of Revenue, Tax Foundation 2026.
Wide brackets favor the middle class
Minnesota's bracket structure is designed with wide income bands: the first bracket covers $0 to $33,310, and the second covers $33,310 to $109,430. This means a worker earning $80,000 pays only the 5.35% rate on the first $33,310 of taxable income and 6.80% on the rest, resulting in an effective state rate well below the top marginal rate. Compare this to Oregon, where the 8.75% bracket starts at just $11,400.
Social Security and Minnesota tax
Minnesota is one of a shrinking number of states that taxes Social Security benefits. However, for active salary earners, this is not relevant to your paycheck calculation. It becomes important if you are considering retirement in Minnesota versus a state that fully exempts Social Security.
Minnesota salary after taxes: worked examples
Below is a side-by-side breakdown for three common salary levels in Minnesota, assuming single filing status with no pre-tax deferrals.
| Gross salary | Federal tax | FICA | MN state | Take-home | Keep % |
|---|---|---|---|---|---|
| $60,000 | -$5,020 | -$4,590 | -$2,557 | $47,833 | 79.7% |
| $100,000 | -$13,170 | -$7,650 | -$5,277 | $73,903 | 73.9% |
| $150,000 | -$24,734 | -$11,475 | -$8,942 | $104,849 | 69.9% |
Federal tax uses 2026 standard deduction ($16,100 single). FICA = 6.2% SS (up to $184,500) + 1.45% Medicare. MN state tax per bracket table above. Figures rounded to nearest dollar.
At $60,000, Minnesota's state tax is modest at $2,557 (4.3% of gross) because the generous standard deduction shelters $15,300 and the first bracket rate of 5.35% is relatively gentle. At $150,000, state tax rises to $8,942 as income pushes into the 7.85% bracket. The jump from $100K to $150K adds nearly $3,700 in state tax, illustrating the progressive curve.
How to maximize your take-home in Minnesota
Minnesota's generous state standard deduction ($15,300 single) already shelters a significant chunk of income. On top of that, pre-tax 401(k) contributions reduce both federal and Minnesota taxable income. At a $100,000 salary, deferring $23,500 can save about $1,600 in state tax alone.
If you are comparing Minnesota to neighboring states, note that South Dakota and Wyoming have no income tax, while Wisconsin's top rate (7.65%) is lower. For remote workers with location flexibility, these comparisons can mean thousands of dollars per year in take-home difference.
Minnesota does not have a local income tax, which simplifies planning. However, property taxes are above average. If you are a homeowner, explore Minnesota's Property Tax Refund (PTR) program, which provides refunds to qualifying homeowners and renters based on income and property taxes paid.
How Minnesota compares to other high-tax states
Minnesota's take-home pay at $100,000 ($73,903) is competitive with Connecticut ($74,430), Rhode Island ($75,782) and New Jersey ($75,000) within this high-tax group. The state's advantage is its generous standard deduction, which shields $15,300 from state tax compared to just $1,000 in New Jersey or $0 in Connecticut. For earners under $80,000, Minnesota's effective state rate is among the lowest in this group despite the high top rate. The 9.85% top bracket primarily affects earners above $200,000.
Filing status matters in Minnesota
The calculator above supports Single, Married Filing Jointly and Head of Household. Married filers in Minnesota generally benefit from wider bracket thresholds, so a couple with $150,000 in combined income pays less state tax than two single filers each earning $75,000. Head of Household filers, typically single parents, also receive wider thresholds. Always check the correct filing status for your situation because it affects both your federal and Minnesota state tax simultaneously.
Also see: Minnesota salary calculator for an interactive comparison with other states.
Questions
Minnesota salary after taxes FAQ
What is the Minnesota income tax rate for 2026?
Minnesota has four progressive brackets: 5.35%, 6.80%, 7.85% and 9.85%. The top rate of 9.85% applies to taxable income above $203,150 (single) or $337,930 (married filing jointly). A state standard deduction of $15,300 (single) is applied first.
How much salary do you keep after taxes in Minnesota?
On a $100,000 single-filer salary, you keep approximately $73,500 after federal income tax, FICA and Minnesota state income tax in 2026. The exact amount varies with filing status and deductions.
Does Minnesota have local income taxes?
No. Minnesota does not impose any local or city income taxes. Your paycheck is only subject to federal and state taxes (plus FICA).
How does Minnesota compare to neighboring states?
Wisconsin has a top rate of 7.65%, South Dakota and North Dakota have no income tax or very low rates. Minnesota's 9.85% top rate is the highest in the upper Midwest, but its generous standard deduction and wide brackets partly offset this.
Does Minnesota tax Social Security benefits?
Yes, Minnesota is one of a few states that taxes Social Security income. However, there is a partial subtraction for lower-income retirees. This does not affect active salary earners.
Can I reduce my Minnesota tax with a 401(k)?
Yes. Minnesota follows federal treatment of pre-tax 401(k) contributions. Deferring $23,500 in 2026 reduces both your federal and state taxable income, saving potentially $1,500+ in state tax alone.
What is the effective tax rate on $100,000 in Minnesota?
A single filer earning $100,000 pays roughly $26,500 in total taxes (federal + FICA + MN state), for an effective total rate of about 26.5%. The MN state portion alone is approximately $3,900, an effective state rate of about 3.9%.
Is Minnesota a high-tax state?
Minnesota has the fifth-highest top marginal rate in the U.S. at 9.85%. However, its wide brackets and generous standard deduction mean that most workers in the $50,000 to $150,000 range pay effective state rates of 3% to 5%, which is moderate.
- Sources: Minnesota Department of Revenue (2026 brackets) · IRS Rev. Proc. 2025-32 · SSA 2026 wage base · Tax Foundation 2026 state rates.
- 🔄 Last updated 2026-07-28 · Tax year 2026
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