Massachusetts Income Tax and the 4% Surtax
Massachusetts taxes wages at 5%. Since 2023 a voter approved surtax adds 4% on taxable income above a threshold that rises with inflation each year. For 2026 the threshold is $1,107,750, so income over that line is taxed at 9% in total.
Two amounts come off before the 5% rate:
- Personal exemption: $4,400 single, $8,800 married filing jointly.
- FICA deduction: Social Security and Medicare you paid, up to $2,000 per person.
There is no standard deduction. The surtax threshold applies per return, so a married couple filing jointly shares one threshold.
PFML Contributions in 2026
The Paid Family and Medical Leave program is funded by a payroll contribution of 0.88% of wages at employers with 25 or more workers. Employers may pass up to 0.46% to employees: all of the 0.18% family leave part and 40% of the medical leave part.
- The calculator assumes your employer deducts the full employee share.
- Contributions stop at the Social Security wage base of $184,500. Above that, no PFML is taken. On $220,000, PFML is $848.70.
- Employers with fewer than 25 workers owe only the employee share, and may withhold all of it from pay.
Worked Example: $85,000 in Massachusetts
| Item | Per year | Per month |
|---|---|---|
| Gross pay | $85,000 | $7,083.33 |
| Federal income tax | $9,870 | $822.50 |
| Social Security | $5,270 | $439.17 |
| Medicare | $1,232.50 | $102.71 |
| Massachusetts income tax | $3,930 | $327.50 |
| Paid Family and Medical Leave (PFML) | $391 | $32.58 |
| Net pay | $64,306.50 | $5,358.88 |
Massachusetts taxable income is $85,000 − $4,400 − $2,000 = $78,600, taxed at 5% for $3,930. PFML at 0.46% adds $391. In all, 24.3% of gross pay goes to taxes and contributions.
Massachusetts Net Pay by Salary
| Gross salary | Massachusetts income tax | Paid Family | Net per year | Net per month |
|---|---|---|---|---|
| $45,000 | $1,930 | $207 | $36,200.50 | $3,016.71 |
| $65,000 | $2,930 | $299 | $51,178.50 | $4,264.88 |
| $85,000 | $3,930 | $391 | $64,306.50 | $5,358.88 |
| $110,000 | $5,180 | $506 | $80,529 | $6,710.75 |
| $150,000 | $7,180 | $690 | $105,921 | $8,826.75 |
| $250,000 | $12,180 | $848.70 | $170,153.30 | $14,179.44 |
Above $184,500 both Social Security and PFML stop, which is why net pay rises a little faster at the top of the table. The 5% state rate stays fixed across every row, so the state income tax line grows in step with salary.
How the Millionaire Tax Works on a Paycheck
The surtax only touches the part of taxable income above $1,107,750. On a $1,500,000 salary, Massachusetts tax is $74,680 at 5% plus a surtax of $15,434. Net pay comes to $859,148.05.
Payroll withholding may not cover the surtax in full, so high earners often make estimated payments with Form 1-ES. The Bonus Tax Calculator helps when a large bonus pushes income over the line.
Massachusetts Paycheck per Period
| Pay frequency | Gross per paycheck | Net per paycheck |
|---|---|---|
| Weekly (52) | $1,634.62 | $1,236.66 |
| Biweekly (26) | $3,269.23 | $2,473.33 |
| Semimonthly (24) | $3,541.67 | $2,679.44 |
| Monthly (12) | $7,083.33 | $5,358.88 |
A married single earner on the same salary keeps $68,556.50 a year, thanks to the $8,800 joint exemption and the larger federal deduction.
What Massachusetts Taxes
- Taxed at 5%: wages, salaries, tips and bonuses. Some capital gains are taxed at other rates, which do not affect pay.
- Not taxed by the state: traditional 401(k) deferrals. Health premiums paid through a Section 125 plan are also excluded.
- Not deducted: state unemployment insurance is paid by the employer. There is no local income tax in any Massachusetts city or town.
Massachusetts Next to Minnesota
Massachusetts and Minnesota both pair an income tax with a paid leave premium. At $85,000 for a single filer:
| State | State taxes and premiums | Net per year |
|---|---|---|
| Massachusetts | $4,321 | $64,306.50 |
| Minnesota | $4,630.61 | $63,996.90 |
The flat 5% keeps Massachusetts lower at this salary, while Minnesota's brackets climb to 6.80% and beyond. On very high incomes the surtax changes the picture, since Massachusetts then charges 9% on the top slice.
Assumptions and Sources
- One earner, no dependents, no rent deduction and no credits such as the child and family tax credit.
- PFML at the full employee share for an employer with 25 or more workers.
- Annual tax, so payroll withholding on a given paycheck can differ slightly.
Sources: Massachusetts Department of Revenue (personal exemptions, FICA deduction, 2026 surtax threshold); Department of Family and Medical Leave 2026 contribution rates; IRS and Social Security Administration for federal figures. Rates for 2026.
Frequently Asked Questions
What is the Massachusetts income tax rate in 2026?
5% on taxable income, plus 4% on the part above $1,107,750.
What is the millionaire tax threshold for 2026?
$1,107,750 of taxable income, up from $1,083,150 in 2025.
How much is PFML taken from my pay?
Up to 0.46% of wages, capped at $184,500 of pay. On $85,000 that is $391 a year.
How much is $85,000 after taxes in Massachusetts?
About $64,306.50 a year for a single filer, or $5,358.88 a month.
Does Boston have a city income tax?
No. No Massachusetts city or town taxes wages.
Does Massachusetts have a standard deduction?
No. It uses a personal exemption of $4,400 single or $8,800 joint, plus a deduction for up to $2,000 of FICA paid.
Is PFML taken from every paycheck?
Yes, until your wages for the year reach $184,500. After that point the deduction stops until January.