Missouri Withholding Tax Formula, Missouri Department of Revenue, 2026
IRS Revenue Procedure 2025-32, Internal Revenue Service, 2026
Kansas City Earnings Tax, City of Kansas City Finance Department, 2026
St. Louis Earnings Tax, City of St. Louis Treasurer's Office, 2026
Social Security Contribution and Benefit Base 2026, Social Security Administration
Last verified:August 2026
Missouri DOR — Withholding Tax • IRS — Revenue Procedure 2025-32 • IRS Form W-4 (2026) • Kansas City Earnings Tax • St. Louis Earnings Tax
Shyraz Habib, Founder of AKCalc
Fact-checked:August 2026. All tax rates verified against Missouri DOR 2026 Withholding Formula, IRS Rev. Proc. 2025-32, and official city earnings tax sources.
Enter your salary and select your work location to see your net pay after federal, state, FICA, and local earnings taxes.
Select the city where you physically work — not where you live.
This calculator provides an informational estimate based on published rules and rates for United States (Missouri) as of August 2026. It does not constitute tax, legal, or financial advice. Individual circumstances — including personal exemptions, deductions, regional rules, and special situations — may produce different results. Consult a qualified professional for decisions involving tax obligations, payroll processing, or financial planning.
See how the 1% Kansas City or St. Louis earnings tax affects your take-home pay at common salary levels. All examples assume single filing status, bi-weekly pay, and 2026 standard deductions — no pre-tax deductions.
| Annual Salary | Work Location | Local Tax (Annual) | Local Tax (Per Paycheck) | Net Pay (Per Paycheck) | Difference |
|---|---|---|---|---|---|
| $50,000 | Outside KC/STL | $0 | $0.00 | $1,575 | −$20.00 less with tax |
| Kansas City or St. Louis | $500 | $19.23 | $1,555 | ||
| $75,000 | Outside KC/STL | $0 | $0.00 | $2,269 | −$28.00 less with tax |
| Kansas City or St. Louis | $750 | $28.85 | $2,241 | ||
| $100,000 | Outside KC/STL | $0 | $0.00 | $2,901 | −$39.00 less with tax |
| Kansas City or St. Louis | $1,000 | $38.46 | $2,862 | ||
| $150,000 | Outside KC/STL | $0 | $0.00 | $4,141 | −$57.00 less with tax |
| Kansas City or St. Louis | $1,500 | $57.69 | $4,084 |
Note: These estimates use official 2026 rates — MO DOR withholding formula (top rate 4.7%), IRS Rev. Proc. 2025-32 federal brackets, and the 2026 Social Security wage base of $184,500. Your actual take-home pay may vary based on your filing status, deductions, and withholding elections. Use the calculator above for your personalized result.
The 1% local earnings tax adds up. On a $75,000 salary, you pay $750 per year — roughly $28.85 less per bi-weekly paycheck than if you worked outside Kansas City or St. Louis. Over 10 years, that's $7,500 in local taxes.
If you're comparing a job in KC or STL against one in the suburbs, factor this in before accepting an offer.
Missouri's local earnings tax applies only to people who work in Kansas City or St. Louis. If you work anywhere else in Missouri, you don't owe this tax.
Here's the rule in plain English:
Do you perform work within Kansas City or St. Louis city limits?
Are you a resident of Kansas City or St. Louis?
Do you work remotely from outside city limits?
Still unsure? Use the calculator above — select your work location and see if the local tax appears in your breakdown.
If you live outside Kansas City or St. Louis and perform your work entirely remotely from outside city limits, you are not subject to the earnings tax — even if your employer is headquartered in the city. Missouri appellate courts have upheld this exemption.
This is a common point of confusion. Many payroll systems default to withholding local tax based on the employer's address. If this happens to you, you may need to file for a refund.
The Missouri local earnings tax is a 1% tax on wages earned by people who work in Kansas City or St. Louis. It's sometimes called the "e-tax" or "city wage tax."
Only two cities in Missouri have this tax:
No other city in Missouri — not Springfield, Columbia, Independence, or any other — has a local earnings tax.
Revenue from the 1% tax supports police and fire departments, road maintenance, parks and recreation, and general city operations in both cities.
Both cities renewed their earnings taxes in April 2026 by voter referendum: Kansas City with 75.45% approval and St. Louis with 85% approval. The next renewal elections will be in 2031.
Employers in Kansas City and St. Louis are required to withhold the 1% earnings tax from employee paychecks, calculated on gross wages before pre-tax deductions. The local earnings tax is separate from Missouri state income tax — calculated differently and withheld separately on your pay stub.
| Tax Type | Rate | Applied To |
|---|---|---|
| Missouri State Income Tax | 0% – 4.7% (progressive) | Taxable income after deductions |
| Local Earnings Tax (KC or STL) | 1.0% | Gross wages |
| Combined State + Local (top rate) | ~5.7% | — |
| Federal Income Tax | 10% – 37% (progressive) | Taxable income after deductions |
| Social Security | 6.2% | Wages up to $184,500 (2026) |
| Medicare | 1.45% (+ 0.9% above $200k single) | All wages |
For a worker earning $75,000 in Kansas City, the combined state + local rate is about 5.7%, plus federal income tax and FICA. Use the calculator above to see your exact breakdown.
Missouri fully exempts Social Security benefits from state income tax. If you receive Social Security benefits, those benefits are not subject to Missouri state tax — regardless of your income level. This exemption has been permanent since 2024.
Missouri fully exempts individual capital gains from state income tax starting in 2025. If you realize capital gains from the sale of stocks, real estate, or other investments, those gains are not subject to Missouri state tax. This is a unique Missouri benefit — most states tax capital gains as ordinary income.
Missouri does not withhold state disability insurance (SDI) or paid family and medical leave (PFML) from paychecks. The only mandatory withholdings are federal income tax, Social Security, Medicare, Missouri state income tax, and the local earnings tax (if you work in KC or St. Louis).
Kansas City's earnings tax was first enacted in 1963. St. Louis followed in 1970. Both cities rely heavily on the revenue — it represents a significant portion of their general operating funds. Without it, both cities would face severe budget shortfalls, which is why voters have consistently renewed it every five years for decades.
At first glance, 1% doesn't sound like much. But over a year — and over a career — it adds up.
| Annual Salary | Local Tax (Per Year) | Per Week | Per Bi-Weekly Paycheck | Per Month |
|---|---|---|---|---|
| $30,000 | $300 | $5.77 | $11.54 | $25.00 |
| $40,000 | $400 | $7.69 | $15.38 | $33.33 |
| $50,000 | $500 | $9.62 | $19.23 | $41.67 |
| $60,000 | $600 | $11.54 | $23.08 | $50.00 |
| $75,000 | $750 | $14.42 | $28.85 | $62.50 |
| $100,000 | $1,000 | $19.23 | $38.46 | $83.33 |
| $150,000 | $1,500 | $28.85 | $57.69 | $125.00 |
| $200,000 | $2,000 | $38.46 | $76.92 | $166.67 |
The local tax is 1% of gross wages — applied before pre-tax deductions. These amounts are the raw tax cost; your actual take-home reduction may vary based on your specific tax situation.
Annual gross wages × 1% = Annual local tax
Annual local tax ÷ pay periods per year = Per-paycheck local tax
When you add the 1% local tax to Missouri's top state income tax rate of 4.7%, city workers face a combined state + local rate of about 5.7% — before federal income tax and FICA.
Here's how it breaks down for a $75,000 single filer working in Kansas City (2026 rates):
Over a 10-year career, a $75,000 salary in Kansas City or St. Louis costs you $7,500 in local earnings taxes. Over a 30-year career, that's $22,500 — just from the 1% local tax alone.
If you're comparing a job offer in the city versus the suburbs, this is real money that affects your long-term financial picture.
Both Kansas City and St. Louis charge a 1% earnings tax on wages earned within city limits. There are some differences in how the tax is administered.
| Feature | Kansas City | St. Louis |
|---|---|---|
| Tax Rate | 1% | 1% |
| Applies To | Wages earned in KC city limits | Wages earned in STL city limits |
| Residents Pay On | All earned income | All earned income |
| Non-Residents Pay On | Wages earned in KC only | Wages earned in STL only |
| April 2026 Renewal | 75.45% approved | 85% approved |
| Next Renewal | 2031 | 2031 |
| Refund Form | RD-109 / RD-109NR | Contact Collector of Revenue |
| Remote Workers Exempt? | Yes (working outside city) | Yes (working outside city) |
You pay the tax of the city where you physically work. If you work in Kansas City, you pay KC's 1% tax. If you work in St. Louis, you pay STL's 1% tax. You do not pay both.
Example: You live in St. Louis but commute to a job in Kansas City. You pay Kansas City's 1% earnings tax, not St. Louis's.
Both cities renewed their earnings taxes in April 2026 with strong voter support — Kansas City at 75.45% and St. Louis at 85%. The tax will be on the ballot again in 2031. Until then, plan for the 1% deduction as a permanent part of your paycheck.
Use the calculator above to see exactly how much the local earnings tax affects your specific paycheck.
If you've used a Missouri paycheck calculator and wondered why your actual paycheck didn't match the estimate, here's why: most calculators don't include the local earnings tax.
Generic Missouri paycheck calculators — including those from national payroll providers and aggregator sites — commonly note that KC and STL local taxes "may apply" but do not actually calculate them. They return a take-home number that's higher than what workers in Kansas City or St. Louis actually see on their paychecks.
That's why we built this calculator differently.
| Feature | Most Calculators | This Calculator |
|---|---|---|
| Includes KC 1% tax | No (or mentions only) | Yes — calculated |
| Includes STL 1% tax | No (or mentions only) | Yes — calculated |
| City selector (KC/STL/Neither) | No | Yes |
| Shows with/without local tax comparison | No | Yes |
| Remote worker guidance | No | Yes |
| 2026 MO DOR withholding brackets | Often stale | Yes — verified |
| 2026 IRS federal brackets (Rev. Proc. 2025-32) | Often stale | Yes |
| 2026 SS wage base ($184,500) | Often stale | Yes |
All tax rates are sourced from official 2026 publications: Missouri Department of Revenue 2026 Withholding Formula, IRS Revenue Procedure 2025-32, the SSA 2026 wage base announcement, and city tax offices. If you find an error, please reach out. We're committed to accuracy.
Step 1: Annual gross wages × 1% = Annual local tax
Step 2: Annual local tax ÷ pay periods per year = Per-paycheck local tax
| Pay Frequency | Pay Periods Per Year | How to Find Per-Paycheck Local Tax |
|---|---|---|
| Weekly | 52 | Annual local tax ÷ 52 |
| Bi-Weekly | 26 | Annual local tax ÷ 26 |
| Semi-Monthly | 24 | Annual local tax ÷ 24 |
| Monthly | 12 | Annual local tax ÷ 12 |
| Annual Salary | Annual Local Tax | Per Bi-Weekly Paycheck |
|---|---|---|
| $40,000 | $400 | $15.38 |
| $50,000 | $500 | $19.23 |
| $60,000 | $600 | $23.08 |
| $75,000 | $750 | $28.85 |
| $100,000 | $1,000 | $38.46 |
The 1% earnings tax applies to gross wages — before any pre-tax deductions like 401(k), HSA, or health insurance. You can't reduce your local tax liability by contributing more to retirement.
If you work in Kansas City or St. Louis, look for a "Local Tax" or "Earnings Tax" line on your pay stub. It should equal 1% of your gross wages for that pay period. If you don't see it, contact payroll — your employer may not be withholding correctly.
If you live outside Kansas City or St. Louis and perform your work entirely remotely from outside city limits, you are not subject to the earnings tax — even if your employer is headquartered in the city. Missouri appellate court rulings support this exemption.
If you split time between remote and in-office work in the city, the tax applies only to wages earned on days you physically work inside city limits. Three days in the office in Kansas City + two days remote from the suburbs = tax on three days' wages only.
Yes, you owe the tax. Common examples:
If you move into or out of Kansas City or St. Louis during the year, the tax applies only to wages earned while you were a resident or while you worked in the city. Check your pay stubs to ensure withholding started or stopped at the correct time.
Self-employed individuals with business activities within Kansas City or St. Louis pay the 1% earnings tax on net profits (revenue minus expenses) and typically file and pay directly with the city.
Yes, part-time workers pay the tax on wages earned within city limits — same 1% rate, same rules.
| Situation | Do You Owe the Tax? | Notes |
|---|---|---|
| Live in KC/STL, work in KC/STL | Yes | 1% on all earned income |
| Live outside KC/STL, work in KC/STL | Yes | 1% on wages earned inside city |
| Live in KC/STL, work outside the city | Yes | Residents pay on all earned income |
| Live outside KC/STL, work remotely from outside | No | Exempt — remote work outside city |
| Part-time worker in KC/STL | Yes | Same 1% rate on wages earned |
| Self-employed in KC/STL | Yes | 1% on net profits |
| Part-year resident | Yes | Pro-rated based on residency period |
For complex situations, consult a tax professional.
Employers with workers in Kansas City or St. Louis have a legal obligation to withhold the 1% earnings tax from employee paychecks.
Employers calculate the 1% tax on each employee's gross wages for each pay period and remit the withheld amount to the Missouri Department of Revenue as part of their quarterly withholding return (Form MO-941).
Per-paycheck local tax = Gross wages for pay period × 1%
Missouri Department of Revenue: dor.mo.gov/business/withholding/
Kansas City Earnings Tax: kcmo.gov/earnings-tax
St. Louis Earnings Tax: stlouis-mo.gov/earnings-tax
Employers with specific questions should consult the Missouri Department of Revenue or a qualified payroll professional.
Quick answers to the most common questions about the 1% Kansas City and St. Louis earnings tax.
Only Kansas City and St. Louis levy a 1% local earnings tax on wages earned within city limits. No other Missouri city has this tax. If you work outside these two cities, you owe no local earnings tax.
Yes. Non-residents working within Kansas City or St. Louis city limits owe the 1% earnings tax on wages earned inside the city — regardless of where they live. If you live in Overland Park, Kansas, but commute to Kansas City, you owe KC's 1% tax on wages earned there.
Generally no. If you live outside city limits and perform all work remotely from outside the city, you are not subject to the earnings tax. Missouri appellate court rulings support this exemption. If you have a hybrid arrangement, the tax applies only to wages earned on days you physically work inside the city.
Missouri's top state income tax rate is 4.7% in 2026, per the Missouri Department of Revenue 2026 Withholding Formula. Adding the 1% local earnings tax brings the combined top rate to approximately 5.7% — before federal taxes and FICA. At lower income levels the combined rate is lower, since Missouri's state tax starts at 0% and rises progressively.
Kansas City levies a 1% earnings tax on gross wages earned within city limits. On a $75,000 salary, this equals $750 per year, or about $28.85 per bi-weekly paycheck. The tax applies to both residents and non-residents who work in the city.
St. Louis levies a 1% earnings tax on gross wages earned within city limits. On a $75,000 salary, this equals $750 per year, or about $28.85 per bi-weekly paycheck. The tax applies to both residents and non-residents who work in the city.
Missouri has a progressive income tax with rates from 0% to 4.7% in 2026, per the Missouri Department of Revenue 2026 Withholding Formula. Brackets by annual taxable income:
Note: Missouri removed the federal income tax deduction step from the 2026 withholding formula, which may cause 2026 MO withholding to differ from prior years.
The 2026 Missouri standard deduction amounts (per the MO DOR Withholding Formula) are:
Missouri ties its standard deduction to the federal standard deduction, which increased for 2026 per IRS Revenue Procedure 2025-32.
Yes. The 1% earnings tax applies to all gross wages earned within Kansas City or St. Louis city limits — including bonuses, commissions, and other supplemental wages.
Yes. State and local taxes (SALT), including the Missouri earnings tax, can be deducted on Schedule A of your federal return. The deduction is subject to the $10,000 SALT cap ($5,000 if married filing separately).
Employers in Kansas City and St. Louis are legally required to withhold the 1% earnings tax. If yours doesn't:
For Kansas City: File Form RD-109 (residents) or RD-109NR (non-residents). Forms at kcmo.gov.
For St. Louis: Contact the Collector of Revenue.
You typically have up to 3 years from the tax filing deadline to claim a refund. Keep your pay stubs and W-2s as documentation.
Yes. Self-employed individuals with business activities within Kansas City or St. Louis city limits pay the 1% earnings tax on net profits (revenue minus expenses). You typically file and pay the tax directly with the city.
Earnings Tax (Local): A flat 1% on gross wages earned in Kansas City or St. Louis. No deductions. No brackets.
Missouri State Income Tax: A progressive tax (0%–4.7% in 2026) on taxable income after standard or itemized deductions. It applies to all Missouri workers, not just those in KC or STL.
They are separate taxes, calculated differently, and withheld as separate line items on your pay stub.
Yes. Part-time workers pay the 1% earnings tax on wages earned within Kansas City or St. Louis city limits. Your employer should withhold the tax just as they would for full-time workers.
The earnings tax is renewed by citywide voter referendum every five years. Both Kansas City (75.45%) and St. Louis (85%) renewed their taxes in April 2026. The next renewal elections will be in 2031.
All data verified August 2026.
Missouri's withholding formula distinguishes "Married — Spouse Works" ($16,100 deduction) from "Married — Spouse Does Not Work" ($32,200 deduction). This calculator provides both options in the filing status dropdown. Select the one that matches your household to get the most accurate MO state tax estimate.
This calculator provides estimates only. Actual tax liability may differ based on additional income sources, itemized deductions, tax credits (EITC, child tax credit, etc.), and changes in tax law after publication. Consult a qualified tax professional for advice specific to your situation.
Last updated: August 15, 2026