TAXES 18-09, Minnesota State Income Tax Withholding
Published: January 23, 2018
Effective: Pay Period 01, 2018
Summary
The income tax withholding formula for the State of Minnesota will include the following changes:
- The exemption allowance, per exemption, will increase from $4,050 to $4,150.
- The Single and Married withholding tables have changed.
No action on the part of the employee or the personnel office is necessary.
Tax Formula
State Abbreviation: |
MN |
State Tax Withholding State Code: |
27 |
Acceptable Exemption Form: |
W-4, W-4MN |
Basis for Withholding: |
State Exemptions |
Acceptable Exemption Data: |
S/M, Number of Exemptions |
TSP Deferred: |
Yes |
Special Coding: |
None |
Withholding Formula (Effective Pay Period 01, 2018)
- Subtract the nontaxable biweekly Thrift Savings Plan contribution from the gross biweekly wages.
- Subtract the nontaxable biweekly Federal Health Benefits Plan payment(s) (includes dental and vision insurance program and Flexible Spending Account - health care and dependent care deductions) from the amount computed in step 1.
- Add the taxable biweekly fringe benefits (e.g., taxable life insurance) to the amount computed in step 2 to obtain the adjusted gross biweekly wages.
- Multiply the adjusted gross biweekly wages by the number of pay dates in the tax year to obtain the gross annual wages.
- Determine the exemption allowance by applying the following guideline and subtract this amount from the gross annual wages to compute the taxable income:
Exemption Allowance = $4,150 x Number of Exemptions.
- Apply the taxable income computed in step 5 to the following table(s) to determine the annual Minnesota tax withholding:
Single Tax Withholding Table
If the Amount of Taxable Income Is:
The Amount of Tax Withholding Should Be:
Over $0 but not over $2,350
$0.00
Over $2,350 but not over $28,240
$0.00 plus 5.35% of excess over $2,350
Over $28,240 but not over $87,410
$1,385.12 plus 7.05% of excess over $28,240
Over $87,410 but not over $162,370
$5,556.61 plus 7.85% of excess over $87,410
Over $162,370
$11,440.97 plus 9.85% of excess over $162,370
Married Tax Withholding Table
If the Amount of Taxable Income Is:
The Amount of Tax Withholding Should Be:
Over $0 but not over $8,850
$0.00
Over $8,850 but not over $46,700
$0.00 plus 5.35% of excess over $8,850
Over $46,700 but not over $159,230
$2,024.98 plus 7.05% of excess over $46,700
Over $159,230 but not over $275,550
$9,958.35 plus 7.85% of excess over $159,230
Over $275,550
$19,089.47 plus 9.85% of excess over $275,550
- Divide the annual Minnesota tax withholding calculated in step 6 by the number of pay dates in the tax year to obtain the biweekly Minnesota tax withholding.
Resources
To view the updated tax formula, go to the
page from the drop-down menu on the National Finance Center (NFC) homepage. Select the tab and select from the menu to launch the tax map. Select the desired State from the map provided for the formula.Inquiries
For questions about NFC processing, authorized Servicing Personnel Office representatives should contact the NFC Contact Center at
or via the customer service portal.