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PAYCHECK / 2026 / MONTANA

Montana paycheck calculator

Montana has just two income tax rates, and for 2026 the top one is lower and starts at a higher income than before. The state also rebuilt its withholding tables for 2026 to work like the federal system: your filing status and the federal standard deduction decide what is withheld, not Montana allowances.

Last verified: Methodology

Your details

  • StateMontana

01Pay

Pay type
Pay frequency

02Form W-4

Filing status (W-4 Step 1c)

Used for W-4 Step 3.

03Pre-tax deductions

04Post-tax deductions

Roth 401(k), union dues, garnishments.

Take-home per paycheck

$2,258

every 2 weeks

Take-home per year
$58,707
Total taxes per year
$16,294
Effective tax rate
21.7%
Marginal tax rate
35.3%
  • Montana's 2026 tables use your MW-4 filing status and the federal standard deduction; Montana allowances and dependents no longer change withholding.

Take-home per paycheck: $2,258 every 2 weeks

Paycheck breakdown
LineEvery 2 weeksPer year
Gross pay$2,885$75,000
Federal income tax−$295−$7,670
Social Security−$179−$4,650
Medicare−$42−$1,088
State income tax−$111−$2,886
Take-home pay$2,258$58,707
Where your pay goes
78%TAKE-HOME
  • Take-home pay$58,70778%
  • Federal income tax$7,67010%
  • Social Security & Medicare$5,7388%
  • State & local taxes$2,8864%

$2,258

every 2 weeks

MT / 2026

How Montana taxes your paycheck

Income tax on wages
Up to 5.65%
Two rates for 2026: 4.7% and 5.65% on taxable income, which starts from federal taxable income.
Employee payroll taxes
None
Montana has no state payroll tax withheld from employees.
Local income taxes
None
Montana cities and counties do not levy income taxes on wages, so state income tax is the only state deduction from a Montana paycheck.
Bonus withholding
5%
A bonus paid separately from regular wages can be withheld at a flat 5%. Employers may instead combine it with regular wages and use the tables.
Rates

Montana income tax rates for 2026

These are the return rates. Your employer withholds using Montana's withholding method (Montana Withholding Tax Formula (Employer and Information Agent Guide, V4 November 2025)), which the calculator above follows.

Montana 2026 tax rates — Single and married filing separately
Taxable incomeRate
$0 – $47,5004.7%
Over $47,5005.65%
Montana 2026 tax rates — Married filing jointly and surviving spouse
Taxable incomeRate
$0 – $95,0004.7%
Over $95,0005.65%
Montana 2026 tax rates — Head of household
Taxable incomeRate
$0 – $71,2504.7%
Over $71,2505.65%
Standard deduction and exemptions
ItemAmount
Standard deduction — Single (Federal standard deduction (single or married filing separately))$16,100
Standard deduction — Married filing jointly (Federal standard deduction)$32,200
Standard deduction — Head of household (Federal standard deduction)$24,150
Worked example

$48,740 in Montana

$48,740 is the median annual wage in Montana (May 2025, BLS OEWS). A single filer paid every two weeks with no other income or deductions takes home $39,809 a year, or $1,531 per paycheck.

$48,740 IN MONTANAPAYCHECK / 2026 / MONTANA
LineEvery 2 weeksPer year
Gross pay$1,875$48,740
Federal income tax-$141-$3,669
Social Security-$116-$3,022
Medicare-$27-$707
State income tax-$59-$1,534
Take-home pay$1,531$39,809

How Montana withholds income tax

Employers use the Department of Revenue's withholding formula: a fixed amount plus a percentage of the pay above a threshold for your pay period, rounded to a whole dollar. There are separate tables for single filers (also used by married people when both spouses work), married filing jointly, and head of household.

Montana personal and dependent exemptions and Montana deductions no longer reduce withholding. You can still ask for extra withholding, or a specific amount, on Form MW-4. The department recommends filling out a new MW-4 every year, and especially if you have not updated it since 2023.

Pay that is subject to federal withholding is generally subject to Montana withholding, so traditional 401(k) contributions and pre-tax health and HSA deductions reduce your Montana withholding too.

The 2026 rate cut

House Bill 337, passed in 2025, lowered the top rate for 2026 and widened the lower bracket, with another cut and wider brackets scheduled for 2027. Long-term capital gains have their own lower rates.

Montana taxable income starts from federal taxable income, so you use the federal standard deduction. The same law raised the Montana earned income tax credit for 2026.

Bonuses and local taxes

A bonus paid separately from your regular check can be withheld at a flat 5%, or your employer can add it to your regular pay and use the tables.

Montana cities and counties do not tax wages.

What changed recently

  • 2026: HB 337 cut the top rate from 5.9% to 5.65% and expanded the 4.7% bracket to $47,500 (single), $71,250 (head of household) and $95,000 (joint). Source
  • 2026: New 2026 withholding tables use the federal standard deduction and drop Montana allowances. Source
  • 2026: The Montana earned income tax credit rose to 20% of the federal credit. Source
By salary

Montana take-home by salary

FAQ

Questions people ask

What is the Montana income tax rate for 2026?

Montana taxes ordinary income at 4.7% up to $47,500 for single filers ($71,250 head of household, $95,000 married filing jointly) and 5.65% above that.

Do I need a new Montana MW-4 for 2026?

The Department of Revenue encourages it. The 2026 tables no longer use Montana allowances, so an updated MW-4 lets you add extra withholding if you need it.

What is Montana's supplemental tax rate on bonuses?

Employers may withhold a flat 5% on bonuses and other supplemental wages paid separately from regular pay.

Will Montana's income tax rate drop again?

Yes. Under HB 337 the top rate falls to 5.4% in 2027, and the 4.7% bracket widens to $65,000 for single filers.

Does Montana have local income taxes?

No. Montana cities and counties do not tax wages.

Sources

  1. Montana Department of RevenueMontana Employer and Information Agent Guide with Montana Withholding Tax Tables (V4 November 2025) · retrieved 2026-10-16
  2. Montana Department of RevenueUpdated Montana Wage Withholding Tables and MW-4 Now Available (December 8, 2025) · retrieved 2026-10-16
  3. Montana Department of RevenueHB337: 2026–2027 Montana Individual Income Tax Changes · retrieved 2026-10-16
  4. IRSRev. Proc. 2025-32 (2026 inflation adjustments) · retrieved 2026-10-16
  5. IRSPublication 15-T (2026), Federal Income Tax Withholding Methods · retrieved 2026-10-16
  6. IRSPublication 15 (2026), (Circular E), Employer's Tax Guide · retrieved 2026-10-16
  7. IRSForm W-4 (2026), Employee's Withholding Certificate · retrieved 2026-10-16
  8. IRSPublication 505 (2026), Tax Withholding and Estimated Tax · retrieved 2026-10-16
  9. IRSForm 1040-ES (2026), Estimated Tax for Individuals · retrieved 2026-10-16
  10. IRSSchedule 1-A (Form 1040) 2026, Additional Deductions (early-release draft) · retrieved 2026-10-16
  11. IRSSchedule 8812 (Form 1040) 2026, Credits for Qualifying Children and Other Dependents (early-release draft) · retrieved 2026-10-16
  12. IRSWorking Families Tax Cuts: Individuals and workers (tips, overtime, seniors, car loan interest) · retrieved 2026-10-16
  13. IRSWorking Families Tax Cuts provisions (charitable deduction for non-itemizers, Section 70424) · retrieved 2026-10-16
  14. IRSChild Tax Credit · retrieved 2026-10-16
  15. IRSIR-2025-111: 401(k) limit increases to $24,500 for 2026 · retrieved 2026-10-16
  16. IRSRev. Proc. 2025-19: 2026 HSA limits · retrieved 2026-10-16
  17. BLSBLS Occupational Employment and Wage Statistics (OEWS), May 2025, median annual wage by state · retrieved 2026-10-16

Last verified: CalcBloc Editorial Team