Kentucky Paycheck Calculator

Kentucky Paycheck Calculator

The state of Kentucky implements a flat income tax rate of 4.5%, regardless of the filing status utilized by taxpayers. Alongside state and federal taxes, many Kentucky residents are obligated to pay local taxes, referred to as occupational taxes. In most counties and cities in Kentucky, these taxes are calculated based on a percentage of individuals’ wages.

How Does the Kentucky Paycheck Tax Calculator Work?

The federal income taxes will be directed to the IRS and will contribute towards your annual income tax obligations. FICA taxes encompass Medicare and Social Security taxes. Each month, you contribute to these systems to ensure that you can avail yourself of the benefits during your retirement. The Medicare tax amounts to 1.45% of your wages, while the Social Security tax is set at 6.2%.

Your federal income tax payment is contingent upon the details provided on your Form W-4. This form serves as a guide for your employer in determining the amount of money to withhold from your earnings for tax purposes. Hence, it is essential to complete a fresh form whenever you commence a new job or if any modifications are required during the year. Instances that necessitate a new W-4 include marriage or the birth of a child.

Kentucky Paycheck Calculator

In the state of Kentucky, if your yearly gross pay is $55,629.00, your net pay (also known as take-home pay) will be $43,954 after deducting taxes at a rate of 20.99% ($11,674.90). These deductions consist of 8.84% ($4,915.98) for federal income tax, 4.50% ($2,503.31) for state income tax, 6.20% ($3,449.00) for social security tax, and 1.45% ($806.62) for Medicare.

Important Note: The Stubcreator provides a paycheck calculator designed to provide essential guidance. This should not be relied upon to calculate exact taxes, payroll, or other financial data. You should seek a professional accountant regarding any particular requirement.

Taxable Base Wage

Taxable Base Wage for Kentucky are as follows:

SUTA Rates

The taxable wage base in Kentucky for 2024 is $11,400, and the State Unemployment Insurance (SUI) tax rates vary from 0.3% to 9%. For experienced employers, the state will utilize Schedule A to calculate tax rates; however, in order to offset the Service Capacity Upgrade Fund (SCUF) assessment, the rates will be lowered by 0.075%. Employers will have the same total rates as listed in Schedule A.

FUTA Rates

December 21, 2023, is the date of the Florida 2024 SUI tax rates. Employers who participate in the short-time compensation program may be subject to a maximum rate of 6.4%, but otherwise, the minimum rate is 0.10%, and the maximum rate is 5.4%. In 2024, new employers pay 2.7%.

FICA Rates

In Kentucky, the FICA tax rates for 2024 are as follows:

For Employees and Employers:

• Social Security Tax: 6.2%
• Medicare Tax: 1.45%

Additional Medicare Taxes

• Employees: 4.0%

Other Taxes

Kentucky’s corporate income tax rate is 5.0 per cent. In addition, Kentucky does not impose municipal sales taxes and has a state sales tax rate of 6.0 per cent. The effective property tax rate for owner-occupied dwellings in Kentucky is 0.74 per cent. There is an inheritance tax in Kentucky.

Kentucky Payroll Tax Withholding:

Because Kentucky has a flat income tax rate of 4.00%, all citizens, regardless of income level, pay the same amount. Apply the same 4.00% tax rate and combine it with regular pay.

Kentucky Paystub Generator

Below mentioned are the details of Kentucky:

• The commencement of Kentucky payroll taxes involves employees completing Form K-4, which plays a vital role in determining the accurate withholding amount.
• If the employee does not submit this form, it will be incumbent upon you to deduct taxes as if no exemptions had been claimed.
• The personal income tax rate in Kentucky is 4.50%.