Massachusetts Paycheck Calculator
Calculate your take-home pay after federal & Massachusetts taxes
Updated for 2024 tax year on Apr 24, 2024
Paycheck calculators by state
Paycheck calculator for Massachusetts
Overview of Massachusetts
Massachusetts has a population of under 7 million (2019). It is renowned for its many colleges and universities, including Harvard University, the first institution of higher learning in the USA. The median household income is $77,385 (2017).
Brief summary:
- the income tax is a flat rate of 5%
- no local income tax
- subject to Paid Family and Medical Leave (PFML) payroll tax
- able to claim state-level exemptions
Understanding your Massachusetts paycheck
Embarking on a new job in Massachusetts is exciting, but understanding your paycheck can be daunting. This guide aims to demystify the process, shedding light on various components, including the W-4 form, pre-tax and post-tax deductions, and more. With a blend of simple and complex sentences, let’s explore the ins and outs of your Massachusetts paycheck.
Upon receiving your paycheck, you’ll first notice your gross pay—the earnings you’ve made before any deductions. However, several components will reduce this amount, resulting in your net pay. Let’s delve into these aspects and discover where your hard-earned money goes.
At the start of your new job, your employer will request that you complete a W-4 form. This crucial document assists in determining the appropriate federal income tax withheld from your paycheck. By providing details about your filing status, income, dependents, and additional income or deductions, you’ll ensure the proper amount of tax is withheld.
Massachusetts, much like other states, imposes its income tax. As a progressive tax system, the rate increases as your income grows. Remember that you’ll only pay a higher tax rate on income exceeding specific thresholds. Consequently, higher earners contribute more to the state’s tax revenue.
Besides income tax, you are also required to pay FICA taxes (Social Security and Medicare). By funding essential social programs, these deductions benefit both current and future generations. Notably, employees and employers share the responsibility of contributing to these programs.
In addition to taxes, various deductions may apply to your paycheck. Pre-tax deductions, such as contributions to retirement plans and Health Savings Accounts (HSAs), reduce your taxable income. Consequently, you may save on taxes while investing in your future.
Post-tax deductions, on the other hand, occur after calculating your taxable income. These deductions can include union dues, charitable donations, and wage garnishments. Each situation is unique, so you must stay informed about the specific deductions that apply to you.
After accounting for all deductions, you’ll ultimately receive your net pay—the amount deposited into your bank account. Regularly reviewing your pay stubs ensures the accuracy of deductions and helps you grasp the impact of financial decisions on your take-home pay.
To optimize your tax situation, consider contributing to tax-advantaged accounts like 401(k) plans and HSAs. These pre-tax contributions lower your taxable income, potentially saving on taxes and bolstering your financial future.
Calculate your Massachusetts paycheck
Calculating your Massachusetts state income tax is similar to the steps we listed on our Federal paycheck calculator:- Determine your gross income
- Annual salary
Annual salary = Gross income - Hourly wage
Hourly wage × Hours worked per day × Days worked per week × Weeks worked per year = Your weekly paycheck
- Annual salary
- Work out your total federal income tax
- Gross income adjusted
Gross income − Pre-tax deductions = Gross income adjusted - Federal taxable income
Gross income adjusted − Federal standard/itemized deductions = Federal taxable income - Federal income tax liability
Federal taxable income × Federal income tax rate = Federal income tax liability - Federal payroll tax liability
Gross income adjusted × Federal payroll tax rate = Federal payroll tax liability
- Gross income adjusted
- Calculate your total Massachusetts state income tax
- State taxable income
Gross income adjusted − (State itemized deductions + State exemptions) = State taxable income - State income tax liability
State taxable income × State income tax rate = State income tax liability - State payroll tax liability
Gross income adjusted × State payroll tax rate = State payroll tax liability
- State taxable income
- Figure out your net pay
Gross income − (Total income tax liability + Total payroll tax liability + Total pre-tax deductions + Total post-tax deductions + Total withholdings) = Your net pay - Divide your net pay by your pay frequency
- Daily
Your net pay / Days worked per week / Weeks worked per year = Your daily paycheck - Weekly
Your net pay / 52 = Your weekly paycheck - Bi-weekly
Your net pay / 26 = Your bi-weekly paycheck - Semi-monthly
Your net pay / 24 = Your semi-monthly paycheck - Monthly
Your net pay / 12 = Your monthly paycheck - Quarterly
Your net pay / 4 = Your quarterly paycheck - Semi-annual
Your net pay / 2 = Your semi-annual paycheck - Annual
Your net pay = Your annual paycheck
- Daily
State payroll tax
Tax year | Tax name | Percent of taxable wage | Up to taxable wage | Comment |
---|---|---|---|---|
2023 | Paid Family and Medical Leave (PFML) | 0.63% | $160,200 | If employer of 25 or more employees, 40% of medical insurance portion. Otherwise employee pays 100%. |
2022 | 0.68% | $147,000 | If employer of 25 or more employees, 40% of medical insurance portion. Otherwise employee pays 100%. |
|
2021 | 0.75% | $142,800 | If employer of 25 or more employees, 40% of medical insurance portion. Otherwise employee pays 100%. |
|
2020 | 0.75% | $137,700 | If employer of 25 or more employees, 40% of medical insurance portion. Otherwise employee pays 100%. |
State income tax brackets
Refer to Tax Foundation for more details.
Tax year | Filing status | Taxable income | Rate |
---|---|---|---|
2023 2022 2021 2020 |
Single Married, Filing Jointly or Widow(er) Married, Filing Separately Head of Household |
Any | 5% |
State standard deduction
There are no state-level standard deductions.
State exemptions
There are state-level exemptions for all types of filers and dependents. Refer to Tax Foundation for more details.
Tax year | Filing status | Personal exemption amount |
---|---|---|
2023 2022 2021 2020 |
Single Married, Filing Separately Head of Household |
$4,400 |
Married, Filing Jointly or Widow(er) | $8,800 | |
Dependent(s) | $1,000 |
FAQs
What taxes does Massachusettsan pay?
The state-level payroll tax is 0.63% of taxable wages up to $160,200, and the income tax is a flat rate of 5%.
How much do you make after taxes in Massachusetts?
A single filer will take home $58,441.10 on a $78,000 annual wage.
A married couple will take home $116,603.20 on a combined annual salary of $156,000.
How much taxes are deducted from a $78,000 paycheck in Massachusetts?
The total taxes deducted for a single filer are $1629.91 monthly or $752.27 bi-weekly.