Missouri Paycheck Calculator

Missouri Paycheck Quick Facts Missouri income tax rate: 1.5% - 6% Median household income $49,592 (U.S. Census Bureau) Number of cities that have local income taxes: 2

How Your Missouri Paycheck Works

Federal income taxes, FICA taxes and state income taxes are automatically removed from your paycheck whenever you get paid in Missouri. If you live in St. Louis or Kansas City, you will also see local income taxes coming out of your wages.

FICA taxes are Medicare and Social Security taxes and they are withheld at rates of 1.45% and 6.2% of your wages, respectively. Your employer matches these contributions so the total rates are doubled. If you are self-employed, you are responsible for paying the full 2.9% in Medicare taxes and 12.4% in Social Security taxes yourself. Additionally, any wages you earn in excess of $200,000 is subject to a 0.9% Medicare surtax. Employers do not match the Medicare surtax.

How much you pay in federal income taxes is dependent on several factors including your marital status, how many allowances you are claiming and if you want additional tax withheld from your paycheck. Your employer withholds taxes based on what you indicated about the previous factors on your W-4 form. You have to fill out a new W-4 every time to start new employment or if you want to make any changes. Your salary also determines how much you pay out in federal taxes.

Withholding calculations have changed for the 2018 tax year because of the tax plan that President Trump signed into law in December 2017. The IRS released updated tax withholding guidelines in January and taxpayers should have seen changes to their paychecks, to reflect the new tax plan, starting in February 2018. For the time being, taxpayers do not need to fill out a new W-4. Employers will use the withholdings on your current form.

If you have more than one job, you cannot claim the same allowances for different jobs. You can either split your allowances between your jobs, or you can claim all your allowances for one job and none for the others.

The size of your paycheck is also affected by your pay frequency. If you get paid biweekly, your checks will be smaller than if you get paid monthly. A bigger check might sound preferable but keep in mind that you’re going twice as long between getting paid so you may have to budget more precisely to ensure that you don’t run out of money halfway through the month.

Missouri tax brackets remain the same for all taxpayers regardless of tax filing status (if you’re head of the household or married, filing separately, etc.). There are 10 tax brackets in the Show Me State and they are dependent on income. The lowest tax rate is 1.5% and that’s on earnings of $1,000 or less. The highest tax rate is 6% and that applies to earnings over $9,000.

Kansas City and St. Louis are the two Missouri cities that levy local income tax and the rate is 1% in both places. If you live or work in these cities, you have to pay this tax.

How You Can Affect Your Missouri Paycheck

If you are comfortable with receiving a smaller paycheck throughout the year, you may want to contribute more of your money in retirement accounts or spending accounts. You can increase contributions to a 401(k) or 403(b) account and, in addition to saving money for the future, this will actually help you save on taxes. Money you put into these types of retirement accounts is deducted from your paycheck prior to taxes, so you are actually lowering your taxable income by stashing money there. Furthermore your money grows tax-free in a 401(k). If your employer offers a Health Savings Account or Flexible Spending Account, money you put in those helps to lower your taxable income in the same way. Be wary about how much you put in a FSA or HSA though; they do not roll over from year to year so any money in there is use it or lose it.

If you find yourself always facing a big bill during tax season, you may want to take a closer look at how many allowances you are claiming on your W-4. If you claim more than you are entitled to or if you claim the same allowance with more than one employer, you’re going to face more taxes in April. Another option is to have your employer withhold a dollar amount from each of your paychecks. Simply decide on an amount, say $50, and write that amount on a new W-4. It might be difficult to choose to get smaller paychecks all year, but you’ll be happy you did when you avoid an oversize bill during tax season.

Perhaps refinancing your home is another option worth considering. If you’re looking to do so, take a look at our Missouri mortgage guide where you will find all the information you need about getting a mortgage in Missouri.