TAXES 19-21, Minnesota State Income Tax Withholding

Published: March 8, 2019
Effective: Pay Period 03, 2019

Summary

The annual amount per exemption for the State of Minnesota has increased from $4,150 to $4,250.

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-4 MN

Basis for Withholding:

State Exemptions

Acceptable Exemption Data:

S/M, Number of Exemptions

TSP Deferred:

Yes

Special Coding:

None

Additional Information:

None

 

Withholding Formula (Effective Pay Period 03, 2019)

  1. Subtract the nontaxable biweekly Thrift Savings Plan (TSP) contribution from the gross biweekly wages.
  2. 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.
  3. 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.
  4. Multiply the adjusted gross biweekly wages by the number of pay dates in the tax year to obtain the gross annual wages.
  5. 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 = $4,250 x Number of Exemptions.

  6. 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 $2,400

    $0.00

    Over $2,400 but not over $28,920

    $0.00 plus 5.35% of excess over $2,400

    Over $28,920 but not over $89,510

    $1,418.82 plus 7.05% of excess over $28,920

    Over $89,510 but not over $166,290

    $5,690.42 plus 7.85% of excess over $89,510

    Over $166,290

    $11,717.65 plus 9.85% of excess over $166,290

     

    Married Tax Withholding Table

    If the Amount of Taxable Income Is:

    The Amount of Tax Withholding Should Be:

    Over $0 but not over $9,050

    $0.00

    Over $9,050 but not over $47,820

    $0.00 plus 5.35% of excess over $9,050

    Over $47,820 but not over $163,070

    $2,074.20 plus 7.05% of excess over $47,820

    Over $163,070 but not over $282,200

    $10,199.33 plus 7.85% of excess over $163,070

    Over $282,200

    $19,551.04 plus 9.85% of excess over $282,200

     

  7. 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 HR and Payroll Clients page from the MyNFC drop-down menu on the National Finance Center (NFC) homepage. Select the Publications tab and select U.S. Income Tax Formulas from the Publications menu to launch the tax map. Select the desired State from the map provided for the formula.

Previous Tax Bulletin

Inquiries

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