Income Tax for Minnesota (2026)

How This Calculator Works in Minnesota

This calculator applies Minnesota's 2026 tax brackets and rates to estimate your state income tax liability. Enter your income and filing status to see your marginal rate, effective rate, and estimated tax owed.

Minnesota Overview

Minnesota levies a progressive income tax with a top rate of 9.85%, the fourth highest in the nation, across 4 brackets. The state is one of the few that taxes Social Security benefits, though expanding subtractions now exempt most moderate-income retirees. Minnesota has a reciprocity agreement with Wisconsin for cross-border commuters and offers a robust suite of tax credits that partially offset the high rates.

How Minnesota Compares

Minnesota's top income tax rate of 9.85% compares to Wisconsin at 7.65% and Iowa at 5.7%. The rate differences can meaningfully impact take-home pay for workers near state borders.

Minnesota's income tax rate of 9.85% compares to a national average of approximately 5.04%. This is above the national average.

Tips for Minnesota Residents

• 1Minnesota's top income tax rate of 9.85% is the fourth highest in the nation, applying to income over approximately $193,240 (single filers).
• 2Minnesota taxes Social Security benefits, though it has been expanding its subtraction — most moderate-income retirees now qualify for partial or full exemption.
• 3The state offers a robust set of credits including the Working Family Credit (Minnesota's EITC equivalent), the K-12 Education Credit, and the Child and Dependent Care Credit.
• 4Minnesota uses federal taxable income as the starting point for state returns, so federal deductions flow through automatically, simplifying preparation.
• 5If you live in Minnesota and work in Wisconsin (or vice versa), a reciprocity agreement means you only owe income tax to your state of residence.

Frequently Asked Questions