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How to Calculate 2023 Minnesota State Income Tax by Using State Income Tax Table

1. Find your income exemptions

2. Find your pretax deductions, including 401K, flexible account contributions ...

3. Find your gross income

4. Check the 2023 Minnesota state tax rate and the rules to calculate state income tax

5. Calculate your state income tax step by step

6. If you want to simplify payroll tax calculations, you can download ezPaycheck payroll software, which can calculate federal tax, state tax, Medicare tax, Social Security Tax and other taxes for you automatically. You can try it free for 30 days, with no obligation and no credt card needed.

Learn more about the in house payroll tax solution for Minnesota small businesses here.
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ezPaycheck: Small Business Payroll Solution


Tax rate used in calculating Minnesota state tax for year 2023

State Abbreviation:


State Tax Withholding State Code:


Acceptable Exemption Form:


Basis For Withholding:

State Exemptions

Acceptable Exemption Data:

S, M / Number of Exemptions

TSP Deferred:


Special Coding:


Additional Information:


Withholding Formula >(Minnesota Effective 2023)<
  1. Subtract the nontaxable biweekly Thrift Savings Plan 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 (taxable life insurance, etc.) to the amount computed in step 2 to obtain the adjusted gross biweekly wages.

  4. Multiply the adjusted gross biweekly wages times >26< 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 = >$4,800< x Number of Exemptions

  6. Apply the taxable income computed in step 5 to the following table to determine the annual Minnesota tax withholding.

  7. Tax Withholding Table

    If the Amount of
    Taxable Income Is:

    The Amount of Minnesota
    Tax Withholding Should Be:


    But Not

    Of Excess

    $          0 $    4,225 $ 0 plus 0.0% $        0
          4,225     >34,295 0 plus 5.35%      4,225
        34,295     102,985 1,608.75 plus 6.80%    34,295
        102,985   187,565 6,279.67 plus 7.85%   102,985
        187,565   and over 12,919.20 plus 9.85%   187,565


    If the Amount of
    Taxable Income Is:

    The Amount of Minnesota
    Tax Withholding Should Be:


    But Not

    Of Excess

    $           0 $     >13,250 $          0 plus 0.0% $        0
          13,250      57,200             0 plus 5.35%    >13,250
         57,200    187,860   2,351.33 plus 6.80%    57,200
       187,860   318,220   11,236.21 plus 7.85%  187,860
       318,220   and over   21,469.47 plus 9.85%  318,220

  8. Divide the annual Minnesota tax withholding by >26< to obtain the biweekly Minnesota tax withholding.

More Payroll Information for Minnesota Small Business

  • What is the cost of using ezPaycheck payroll software

  • Quick Start Guide for New Payroll Software Customers

  • How to start payroll in mid-year

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  • How to handle the local taxes

  • How to print paycheck on blank stock

  • How to add a customized deduction and withhold it automatically

  • How to set up payroll tax options for church and non-profits

  • How to handle paychecks for both employees and contractors

  • How to file tax forms

  • How to enter the paychecks for after the fact payroll