2026 Maryland State and County Tax Paycheck Calculator — Calculate Your Take-Home Pay
Last verified: August 2026
Official source link — opens in new tab
| Category | Per Paycheck | Annual |
|---|---|---|
| Gross Pay | — | — |
| Federal Income Tax | — | — |
| Maryland State Tax | — | — |
| Maryland County Tax | — | — |
| Social Security (6.2%) | — | — |
| Medicare (1.45%) | — | — |
| Net Take-Home | — | — |
✓ Trusted Calculator — 2026 Data
All rates verified against official sources: Maryland Comptroller Withholding Tax Facts 2026 (COM RAD 098), IRS IR-2025-103 / Rev. Proc. 2025-32, and Social Security Administration. Updated for 2026. Your data stays on your device — nothing is stored.
Maryland Paycheck Examples — See Your Take-Home Pay at a Glance
Wondering what your Maryland paycheck looks like after state and county taxes? Here are examples for common salaries across different Maryland counties, calculated with verified 2026 rates. Select your county in the calculator above for a personalized result.
| Salary | County | Filing Status | Gross Pay (per paycheck) | Taxes (per paycheck) | Take-Home (per paycheck) | Take-Home (annual) | Effective Tax Rate |
|---|---|---|---|---|---|---|---|
| $75,000 | Montgomery County | Single | $2,884.62 | $727.23 | $2,157.38 | $56,091.93 | 25.21% |
| $75,000 | Worcester County | Single | $2,884.62 | $701.71 | $2,182.90 | $56,755.50 | 24.33% |
| $90,203 (MD median) | Montgomery County | Single | $3,469.35 | $947.09 | $2,522.25 | $65,578.60 | 27.30% |
| $100,000 | Howard County | Single | $3,846.15 | $1,088.77 | $2,757.38 | $71,691.93 | 28.31% |
| $100,000 | Worcester County | Single | $3,846.15 | $1,045.81 | $2,800.34 | $72,808.88 | 27.19% |
| $150,000 | Baltimore County | Single | $5,769.23 | $1,839.76 | $3,929.47 | $102,166.18 | 31.89% |
| $150,000 | Carroll County | Single | $5,769.23 | $1,807.44 | $3,961.79 | $103,006.59 | 31.33% |
| $200,000 | Montgomery County | Single | $7,692.31 | $2,578.27 | $5,114.04 | $132,965.05 | 33.52% |
| $200,000 | Worcester County | Single | $7,692.31 | $2,527.53 | $5,164.78 | $134,284.22 | 32.86% |
| $250,000 | Kent County | Single | $9,615.38 | $3,343.26 | $6,272.12 | $163,075.20 | 34.77% |
| $50,000 | Anne Arundel County | Single | $1,923.08 | $420.53 | $1,502.55 | $39,066.18 | 21.87% |
| $75,000 | Montgomery County | Married Filing Jointly | $2,884.62 | $594.95 | $2,289.67 | $59,531.35 | 20.62% |
How Maryland's Dual-Tax System Works
Maryland is the only state where every resident pays a mandatory county income tax on top of state income tax. This is called the 'piggyback' tax because it piggybacks on your state tax calculation. Your county tax is a flat or tiered percentage of your Maryland taxable income — the same income used to calculate your state tax.
The county tax is based on where you live, not where you work. If you live in Montgomery County and work in Washington D.C., you still pay Montgomery County's tax rate. Your employer withholds this tax from your paycheck using the county code on your Form MW507.
Combined, Maryland state and county taxes range from 4.25% to 9.05% for most filers, depending on your county and income level. The state portion is progressive — higher earners pay a larger percentage. The county portion is a flat rate (or tiered rate in Anne Arundel and Frederick counties) — most residents in the same county pay the same percentage.
Why Maryland Has This System
Maryland's county tax system dates back to 1967 when the state shifted education funding to local governments. Counties were given the authority to levy an income tax to fund schools, roads, and local services. Today, county income taxes fund roughly 40% of local government budgets in Maryland.
Each county sets its own rate annually. The Comptroller of Maryland administers collection through employer withholding. This means you don't file a separate county tax return — it's all handled through your state return.
State Tax vs County Tax — What's the Difference?
Your Maryland state tax is calculated using a progressive bracket system. Single filers use Schedule I; married filing jointly and head of household filers use Schedule II, which has different bracket thresholds. The county tax is simpler — it's a flat percentage of your Maryland taxable income (or a tiered rate for Anne Arundel and Frederick counties).
Example: If your Maryland taxable income is $75,000 and you live in Montgomery County (3.20% county rate), your county tax is $75,000 × 0.032 = $2,400. Your state tax is calculated using the bracket system, which for $75,000 (Schedule I) equals approximately $3,468. Combined state + county: $5,868.
2026 Maryland State Tax Brackets
Maryland has a progressive income tax with 10 brackets for 2026. The top rate is 6.25% for income between $500,000 and $1,000,000 (Single Schedule I), and 6.50% for income over $1,000,000. Head of household and married filing jointly filers use Schedule II, which has different bracket thresholds at higher income levels.
The standard deduction for 2026 is 15% of your federal AGI, with a minimum of $2,550 and a maximum of $5,150 for single filers ($10,300 for married filing jointly). Personal exemptions may further reduce your taxable income.
Schedule I — Single Filer and Married Filing Separately Brackets
| Income Range | Tax Rate |
|---|---|
| $0 – $1,000 | 2.00% |
| $1,001 – $2,000 | 3.00% |
| $2,001 – $3,000 | 4.00% |
| $3,001 – $100,000 | 4.75% |
| $100,001 – $125,000 | 5.00% |
| $125,001 – $150,000 | 5.25% |
| $150,001 – $250,000 | 5.50% |
| $250,001 – $500,000 | 5.75% |
| $500,001 – $1,000,000 | 6.25% |
| $1,000,001+ | 6.50% |
Schedule II — Married Filing Jointly and Head of Household Brackets
Maryland's Schedule II applies to married filing jointly, head of household, and qualifying surviving spouse filers. The bracket thresholds differ from Schedule I — the 4.75% rate applies through $150,000 instead of $100,000, and all higher thresholds shift accordingly.
| Income Range | Tax Rate |
|---|---|
| $0 – $1,000 | 2.00% |
| $1,001 – $2,000 | 3.00% |
| $2,001 – $3,000 | 4.00% |
| $3,001 – $150,000 | 4.75% |
| $150,001 – $175,000 | 5.00% |
| $175,001 – $225,000 | 5.25% |
| $225,001 – $300,000 | 5.50% |
| $300,001 – $600,000 | 5.75% |
| $600,001 – $1,200,000 | 6.25% |
| $1,200,001+ | 6.50% |
How the Standard Deduction Works in Maryland
Maryland's standard deduction is 15% of your federal adjusted gross income. For 2026, the minimum deduction is $2,550 and the maximum is $5,150 for single filers. This means if your AGI is $30,000, your standard deduction is $4,500 (15% of $30,000).
Your deduction reduces your taxable income before state and county taxes are calculated. For example, a single filer with $75,000 AGI gets the maximum $5,150 deduction, reducing taxable income to $69,850.
Maryland County Tax Rates (2026) — All 23 Counties + Baltimore City
Your county tax rate is the single most important factor in your Maryland paycheck after your salary. Rates range from 2.25% in Worcester County to 3.30% in Kent and Dorchester counties. Two counties — Anne Arundel and Frederick — use progressive tiered rates that vary by income level. The difference between the lowest and highest county rates is 1.05 percentage points — on $69,850 of taxable income (a $75,000 salary after Maryland's standard deduction), that's approximately $733 per year.
Your county tax is calculated as a flat or tiered percentage of your Maryland taxable income after the standard deduction. It's added to your state tax and withheld from your paycheck by your employer.
Complete Maryland County Tax Rate Table (2026)
All 24 jurisdictions are listed below. The 'Combined Top Rate' shows the maximum combined state + local rate, assuming income falls in the top state bracket (5.75%). Anne Arundel and Frederick show their maximum local rate in the combined column.
| County | Local Rate | Combined Top Rate |
|---|---|---|
| Allegany | 3.20% | 8.95% |
| Anne Arundel | 2.70% – 3.20% (tiered) | 8.95% |
| Baltimore City | 3.20% | 8.95% |
| Baltimore County | 3.20% | 8.95% |
| Calvert | 3.20% | 8.95% |
| Caroline | 3.20% | 8.95% |
| Carroll | 3.03% | 8.78% |
| Cecil | 2.74% | 8.49% |
| Charles | 3.03% | 8.78% |
| Dorchester | 3.30% | 9.05% |
| Frederick | 2.25% – 3.20% (tiered) | 8.95% |
| Garrett | 2.65% | 8.40% |
| Harford | 3.06% | 8.81% |
| Howard | 3.20% | 8.95% |
| Kent | 3.30% | 9.05% |
| Montgomery | 3.20% | 8.95% |
| Prince George's | 3.20% | 8.95% |
| Queen Anne's | 3.20% | 8.95% |
| St. Mary's | 3.20% | 8.95% |
| Somerset | 3.20% | 8.95% |
| Talbot | 2.40% | 8.15% |
| Washington | 2.95% | 8.70% |
| Wicomico | 3.20% | 8.95% |
| Worcester | 2.25% | 8.00% |
Tiered County Rates: Anne Arundel and Frederick
Two counties use progressive local income tax rates that increase with income rather than a flat percentage:
Anne Arundel County (2026 — Single/MFS): 2.70% on taxable income up to $50,000; 2.94% on $50,001–$400,000; 3.20% above $400,000. Married filing jointly and head of household thresholds are doubled.
Frederick County (2026 — Single/MFS): 2.25% on taxable income up to $25,000; 2.75% on $25,001–$50,000; 2.96% on $50,001–$150,000; 3.20% above $150,000. Married filing jointly and head of household thresholds are doubled.
2026 Rate Changes You Should Know
Two counties changed their rates for 2026:
- Allegany: 3.03% → 3.20% (+0.17%)
- Kent: 3.20% → 3.30% (+0.10%)
What Happens If You Don't File Form MW507?
If you don't file Form MW507 with your employer, Maryland law requires your employer to withhold tax at the highest county rate — 3.30% in 2026 (Kent and Dorchester counties). If you live in a lower-rate county like Worcester (2.25%) or Talbot (2.40%), you're paying more than necessary on every paycheck.
To avoid this, file Form MW507 with your employer when you start a new job or move to a new county.
Maryland Paycheck Tax Example — $90,203 Salary in Montgomery County
The median household income in Maryland is approximately $90,203. Here's what a $90,203 salary looks like for a single filer living in Montgomery County — one of Maryland's highest-tax counties. This example uses verified 2026 federal and state rates.
Annual gross salary: $90,203
Filing status: Single
County: Montgomery County (3.20%)
Complete Paycheck Breakdown
| Category | Annual Amount | Per Bi-Weekly Paycheck |
|---|---|---|
| Gross Pay | $90,203.00 | $3,469.35 |
| Federal Income Tax | $11,014.66 | $423.64 |
| Social Security (6.2%) | $5,592.59 | $215.10 |
| Medicare (1.45%) | $1,307.94 | $50.31 |
| Maryland State Tax | $3,987.52 | $153.37 |
| Maryland County Tax (Montgomery 3.20%) | $2,721.70 | $104.68 |
| Total Taxes | $24,624.40 | $947.09 |
| Net Take-Home Pay | $65,578.60 | $2,522.25 |
What This Means for Your Paycheck
On a $90,203 salary in Montgomery County:
- You pay 27.30% of your gross income in total taxes (federal + state + county + FICA)
- Your effective tax rate is 27.30%, though your marginal bracket is higher (22% federal, 4.75% state)
- You take home $2,522 every two weeks — $65,579 annually
Moving to Worcester County (2.25%) would increase your take-home pay by approximately $487 per year on the same salary, since the county rate difference applies to your Maryland taxable income of $85,053.
How Pre-Tax Deductions Affect Your Maryland Paycheck
Pre-tax payroll deductions — such as 401(k), 403(b), and Section 125 cafeteria plan items (health insurance, HSA, FSA) — reduce your taxable income before federal, state, and county taxes are calculated. This means you pay less in taxes and keep more overall. These deductions also reduce FICA wages, further reducing Social Security and Medicare withholding.
Note: Traditional IRA contributions are not payroll deductions. They reduce your federal taxable income on your tax return but do not affect paycheck withholding or FICA. Do not enter IRA amounts in the deduction fields above.
How Pre-Tax Deductions Reduce Your Tax Bill
Every dollar you contribute to a qualified pre-tax payroll account reduces your Maryland taxable income by the same amount. If you're in the 22% federal bracket and 4.75% Maryland bracket (plus 3.20% county), a $1,000 pre-tax 401(k) contribution saves you approximately $329 in combined taxes plus reduces your FICA by about $76.
Tax Savings Example — $75,000 Salary in Montgomery County
| Scenario | Gross Income | Pre-Tax Deductions | Total Taxes | Tax Savings |
|---|---|---|---|---|
| No Deductions | $75,000 | $0 | $18,908 | $0 |
| 10% 401(k) ($7,500) | $75,000 | $7,500 | $16,088 | $2,820 |
| 401(k) + HSA ($10,700 total) | $75,000 | $10,700 | $15,105 | $3,803 |
What Deductions Are Allowed in Maryland?
Maryland conforms to federal rules for pre-tax payroll deductions:
- 401(k), 403(b), and 457(b) retirement plans
- HSA contributions (through employer's Section 125 plan)
- Health insurance premiums (Section 125)
- Dependent Care FSA
- Commuter benefits
Traditional IRA contributions are not payroll deductions and do not reduce withholding. Maryland does not allow deductions for state taxes paid to other states on your Maryland return.
What-If Scenarios — How Changes Affect Your Maryland Paycheck
Your Maryland paycheck changes when you move, get a raise, or adjust your withholdings. Here are the most common scenarios and their impact using 2026 rates.
Scenario 1: Moving Counties
In 2026, most Maryland counties have converged to the 3.20% local rate. The biggest savings come from moving to Worcester County (2.25%) or Talbot County (2.40%). Moving from Montgomery County to Worcester County increases your take-home pay by approximately $664 per year on a $75,000 salary.
Scenario 2: Getting a Raise from $75,000 to $100,000
| Salary | Annual Take-Home (Montgomery County, Single) | Increase |
|---|---|---|
| $75,000 | $56,092 | — |
| $100,000 | $71,692 | +$15,600 |
Your take-home increases by $15,600 on a $25,000 raise. Your effective tax rate increases from 25.21% to 28.31% because higher income pushes more dollars into higher tax brackets.
Scenario 3: Adjusting Your Withholding (Form MW507)
If you're getting a large tax refund each year, you're having too much tax withheld. Adjusting your MW507 can increase your take-home pay throughout the year instead of waiting for a refund.
Example: If you typically get a $2,400 refund paid bi-weekly (26 pay periods), you can reduce withholding by approximately $92 per paycheck ($2,400 ÷ 26 pay periods). Complete Form MW507 and give it to your employer.
Scenario 4: Adding a 401(k) Contribution
Contributing 10% of your $75,000 salary ($7,500) to a 401(k) reduces your annual take-home pay by $4,680, while saving $7,500 for retirement. The tax savings of $2,820 mean your actual net cost is only $4,680 — not the full $7,500 contributed.
Scenario 5: Working in DC but Living in Maryland
If you work in Washington D.C. but live in Maryland, you pay Maryland state and county taxes — not D.C. taxes. Maryland and D.C. have a reciprocity agreement, meaning D.C. does not withhold tax for Maryland residents working in D.C.
Important: Your employer must know you're a Maryland resident. File Form MW507 with your D.C. employer to ensure only Maryland taxes are withheld.
Compare Maryland to Other States — How Does Your Paycheck Compare?
Maryland's taxes are higher than many neighboring states. At $75,000 single filer in Montgomery County (3.20%), you pay approximately $18,908 in total taxes (federal + state + county + FICA), for an effective tax rate of 25.21%.
Here's how Maryland compares to neighboring states and no-tax states at $75,000 (single filer, no pre-tax deductions, 2026 rates).
| State | State + Local Tax | Total Taxes (Federal + State + FICA) | Take-Home Pay | Effective Tax Rate |
|---|---|---|---|---|
| Maryland (Montgomery 3.20%) | $5,501 | $18,908 | $56,092 | 25.21% |
| Maryland (Worcester 2.25%) | $4,837 | $18,245 | $56,755 | 24.33% |
| Virginia | $3,595 | $17,003 | $57,997 | 22.67% |
| Washington D.C. | $3,674 | $17,082 | $57,918 | 22.78% |
| Pennsylvania (flat 3.07%) | $2,303 | $15,710 | $59,290 | 20.95% |
| West Virginia (approx. 4.82% flat) | $3,615 | $17,023 | $57,978 | 22.70% |
| Florida (no state tax) | $0 | $13,408 | $61,593 | 17.88% |
| Texas (no state tax) | $0 | $13,408 | $61,593 | 17.88% |
Key Takeaways from the Comparison
- Maryland taxes are roughly 2.5 percentage points higher than Virginia's on a $75,000 salary, costing about $1,900 per year
- Florida and Texas have no state income tax, saving you approximately $5,500 per year compared to Montgomery County
- Pennsylvania's flat 3.07% rate makes it more tax-friendly than Maryland at most income levels
- Washington D.C. is slightly more tax-friendly than Montgomery County at $75,000
Reciprocity States — What It Means for Cross-Border Workers
Maryland has reciprocity agreements with Washington D.C., Pennsylvania, Virginia, and West Virginia. This means if you live in one of these states and work in Maryland (or vice versa), you only pay taxes to your state of residence.
Reciprocity rules:
- Maryland residents working in D.C.: Only pay Maryland tax
- Maryland residents working in PA, VA, or WV: Only pay Maryland tax
- D.C., PA, VA, or WV residents working in Maryland: Only pay home state tax — no Maryland tax withheld
To claim reciprocity, file Form MW507 with your employer and indicate your state of residence. Without this form, your employer may withhold Maryland tax incorrectly.
How to Adjust Your Maryland Tax Withholding (Form MW507)
Form MW507 is the Maryland equivalent of the federal W-4. It tells your employer how much Maryland tax to withhold from your paycheck. If you don't file this form, your employer defaults to the highest county rate (3.30% in 2026) — which may cause you to overpay taxes if you live in a lower-rate county.
When to Fill Out Form MW507
Fill out Form MW507 when you:
- Start a new job in Maryland
- Move to a different Maryland county
- Get married or change filing status
- Want to adjust your withholding
- Experience a major life change (birth of a child, job loss, etc.)
Step-by-Step: How to Fill Out Form MW507
Step 1: Download Form MW507 from the Maryland Comptroller's website (marylandtaxes.gov).
Step 2: Enter your personal information — name, address, Social Security number, and filing status.
Step 3: Enter your Maryland county of residence. This is critical — your county code determines your withholding rate.
Step 4: Complete the exemption section. If you're a nonresident from a reciprocity state, you'll claim exemption from Maryland withholding.
Step 5: Complete the additional withholding section if you want extra tax withheld from each paycheck.
Step 6: Sign and date the form. Give the completed form to your employer's HR or payroll department.
What Happens If You Don't File Form MW507?
If you don't file Form MW507, your employer is required by Maryland law to withhold at the highest county rate — currently 3.30% in 2026. If you live in Worcester County (2.25%), you'd overpay by 1.05% on every paycheck.
Example: $75,000 salary in Worcester County. Without MW507 (default 3.30%): approximately $2,305 county tax withheld annually. With MW507 filed (actual 2.25%): approximately $1,572 county tax withheld. That's a $733 overpayment you could keep throughout the year.
Common Mistakes on Form MW507
- Entering the wrong county — your tax rate is based on your residence, not your work location
- Forgetting to sign the form — your employer cannot process unsigned forms
- Not updating the form after moving — if you move counties, your withholding rate must be updated
- Claiming exemption incorrectly — only nonresidents from reciprocity states can claim exemption from Maryland withholding
Why Most Maryland Paycheck Calculators Get It Wrong
Most Maryland paycheck calculators either skip the county tax entirely or apply a single averaged rate. This calculator uses the official 2026 Maryland Comptroller county rates for all 24 jurisdictions — including tiered progressive rates for Anne Arundel and Frederick counties. It also applies the correct 2026 federal brackets and standard deductions published in IRS IR-2025-103 and Rev. Proc. 2025-32.
What This Calculator Includes
- All 10 Maryland state tax brackets for both Schedule I (Single/MFS) and Schedule II (MFJ/HoH)
- Exact 2026 county rates for all 24 jurisdictions, including tiered rates for Anne Arundel and Frederick
- 2026 federal income tax brackets and standard deductions per IRS IR-2025-103
- Correct federal brackets applied separately for Single, MFJ, HoH, and MFS filing statuses
- Social Security (6.2% up to $184,500 wage base) and Medicare (1.45%)
- Pre-tax payroll deductions (401k, Section 125 items)
- Extra withholding options
How We Ensure Accuracy
All tax rates come directly from official sources:
- Maryland state brackets and county rates: Maryland Comptroller, Withholding Tax Facts 2026 (COM RAD 098, revised 12/25)
- Federal tax brackets and standard deductions: IRS IR-2025-103 and Rev. Proc. 2025-32
- Social Security wage base: Social Security Administration, 2026
Frequently Asked Questions About Maryland Paycheck Taxes
Here are the most common questions about Maryland state and county taxes on paychecks. If you don't see your question here, use the calculator above to get your personalized answer.
Maryland has a progressive state income tax with 10 brackets ranging from 2.00% to 6.50%. Single filers use Schedule I: the lowest rate (2.00%) applies to income up to $1,000 and the highest rate (6.50%) applies to income over $1,000,000. Married filing jointly and head of household filers use Schedule II, which has different bracket thresholds — for example, the 4.75% rate extends to $150,000 under Schedule II vs. $100,000 under Schedule I. Most Maryland residents fall in the 4.75% to 5.75% range.
Yes. Maryland is the only state where every resident pays a mandatory county income tax on top of state income tax. The county tax is a flat or tiered percentage of your Maryland taxable income. Rates range from 2.25% in Worcester County to 3.30% in Kent and Dorchester counties. Anne Arundel and Frederick counties use tiered progressive rates.
Maryland county income taxes range from 2.25% (Worcester) to 3.30% (Kent and Dorchester) of your Maryland taxable income. The exact rate depends on your county of residence. Combined with state tax, your total Maryland tax liability ranges from 4.25% to 9.05% for most filers.
The "piggyback" tax is Maryland's county income tax system. It's called that because the county tax "piggybacks" on your state tax calculation. Your county tax is a flat or tiered percentage of the same Maryland taxable income used to calculate your state tax. The county tax is collected by the state and distributed to your county of residence.
Your Maryland take-home pay is your gross pay minus federal income tax (using 2026 brackets and the 2026 standard deduction of $16,100 for single filers), Maryland state tax, Maryland county tax, Social Security (6.2%), Medicare (1.45%), and any pre-tax payroll deductions. Use the calculator on this page for an accurate estimate based on verified 2026 rates.
Kent County and Dorchester County share the highest Maryland county tax rate at 3.30% for 2026, producing a combined top rate of 9.05%. The lowest rate is 2.25% in Worcester County.
Worcester County has the lowest Maryland county tax rate at 2.25% for 2026. Combined with the 5.75% state top rate, residents in Worcester pay a maximum combined rate of 8.00%. Talbot County (2.40%) has the second-lowest rate.
No. Maryland does not tax Social Security benefits. This is an important exemption for retirees and seniors. However, other retirement income like pensions and IRA distributions may be partially taxable depending on your age and income level.
The Maryland standard deduction for 2026 is 15% of your federal adjusted gross income. The minimum deduction is $2,550 and the maximum is $5,150 for single filers. For married filing jointly, the maximum is $10,300. Your standard deduction reduces your taxable income before state and county taxes are calculated.
You change your Maryland tax withholding by filing Form MW507 with your employer. This form tells your employer your filing status, county of residence, and any additional withholding you want. Without this form, your employer withholds at the highest county rate (3.30% in 2026). Update your MW507 when you start a new job, move to a new county, or change filing status.
Form MW507 is the Maryland Employee Withholding Allowance Certificate. It's the Maryland equivalent of the federal W-4. You fill it out to tell your employer how much Maryland tax to withhold from your paycheck. It includes your filing status, county of residence, and any additional withholding amounts. Your employer uses this form to calculate your correct withholding.
You pay county tax based on where you live, not where you work. If you live in Montgomery County and work in D.C., you pay Montgomery County's 3.20% rate. If you live in Worcester County and work in Baltimore City, you pay Worcester's 2.25% rate. Your employer uses the county code from your Form MW507 to withhold correctly.
Yes. Maryland has reciprocity agreements with Washington D.C., Pennsylvania, Virginia, and West Virginia. If you live in one of these states and work in Maryland, you only pay taxes to your state of residence. Similarly, Maryland residents working in these states only pay Maryland tax. File Form MW507 to claim reciprocity.
Bonuses and other lump-sum payments are withheld at Maryland's highest state income tax rate — 6.50% for 2026. This is the same rate that applies to income over $1,000,000 for single filers. If your bonus is large, the withholding may be higher than your actual tax liability, resulting in a refund when you file.
How This Calculator Works — Methodology & Data Sources
This calculator uses the official 2026 tax rates and formulas published by the Maryland Comptroller, the IRS, and the Social Security Administration. All values were verified directly against official 2026 guidance.
Calculation Steps
- Calculate your Maryland taxable income by subtracting the Maryland standard deduction from your gross income (adjusted for pre-tax payroll deductions)
- Apply the appropriate Maryland state tax brackets — Schedule I for Single and MFS filers, Schedule II for MFJ and HoH filers
- Apply your county's rate to your Maryland taxable income (flat rate for most counties; tiered rate for Anne Arundel and Frederick)
- Calculate federal income tax using 2026 federal brackets and standard deductions per IRS IR-2025-103 — separate bracket tables are applied for Single, MFJ, HoH, and MFS
- Calculate Social Security (6.2% up to $184,500 wage base) and Medicare (1.45%)
- Display your net take-home pay with Social Security and Medicare shown as separate line items
Data Sources
- Maryland State Tax Brackets (Schedule I and Schedule II): Maryland Comptroller, Withholding Tax Facts 2026 (COM RAD 098, revised 12/25)
- Maryland County Tax Rates (all 24 jurisdictions including tiered rates): Maryland Comptroller, Withholding Tax Facts 2026 (COM RAD 098)
- Federal Tax Brackets and Standard Deductions: IRS IR-2025-103 and Rev. Proc. 2025-32
- Social Security Wage Base ($184,500): Social Security Administration, 2026
- Medicare Rates: Centers for Medicare & Medicaid Services, 2026
Limitations
This calculator provides estimates for educational and planning purposes. It does not account for:
- Tax credits (EITC, child tax credit, education credits, etc.)
- Itemized deductions
- Maryland personal exemptions
- Capital gains or investment income
- Self-employment tax
- Additional Medicare Tax (0.9% on wages above $200,000 single / $250,000 MFJ)
- Traditional IRA deductions (taken on the tax return, not through payroll)
For personalized tax advice, consult a licensed tax professional.