TAXES 18-57, New Mexico State Income Tax Withholding
Published: July 3, 2018
Effective: Pay Period 14, 2018
Summary
The income tax withholding formula for the State of New Mexico will change as follows:
- Annual amount per exemption will increase from $4,050 to $4,150.
- Maximum exemptions will now be limited to three (3).
- Single (including Head of Household) and Married withholding amounts in the tables will increase.
No action on the part of the employee or the personnel office is necessary.
Tax Formula
State Abbreviation: |
NM |
State Tax Withholding State Code: |
35 |
Acceptable Exemption Form: |
None |
Basis for Withholding: |
Federal Exemptions |
Acceptable Exemption Data: |
None |
TSP Deferred: |
Yes |
Special Coding: |
None |
Additional Information: |
A State tax certificate is not required since Federal exemptions are used in the computation of the State formula |
Withholding Formula (Effective Pay Period 14, 2018)
- Subtract the nontaxable biweekly Thrift Savings Plan (TSP) contribution from the gross biweekly wages.
- Subtract the nontaxable biweekly Federal Health Benefits Plan payment(s) (includes dental and vision insurance program and Flexible Spending Account - health care and dependent care deductions) from the amount computed in step 1.
- Add the taxable biweekly fringe benefits (e.g., taxable life insurance) to the amount computed in step 2 to obtain the adjusted gross biweekly wages.
- Multiply the adjusted gross biweekly wages by the number of pay dates in the tax year to obtain the gross annual wages.
- Determine the exemption allowance by applying the following guideline and subtract this amount from the gross annual wages to compute the taxable income:
Exemption Allowance = $4,150 x Number of Exemptions (up to a maximum of 3)
- Apply the taxable income computed in step 5 to the following table(s) to determine the annual New Mexico tax withholding:
Single or Head of Household Tax Withholding Table
If the Amount of Taxable Income Is:
The Amount of Tax Withholding Should Be:
Over $0 but not over $3,700
$0.00
Over $3,700 but not over $9,200
$0.00 plus 1.7% of excess over $3,700
Over $9,200 but not over $14,700
$93.50 plus 3.2% of excess over $9,200
Over $14,700 but not over $19,700
$269.50 plus 4.7% of excess over $14,700
Over $19,700 but not over $29,700
$504.50 plus 4.9% of excess over $19,700
Over $29,700 but not over $45,700
$994.50 plus 4.9% of excess over $29,700
Over $45,700 but not over $68,700
$1,778.50 plus 4.9% of excess over $45,700
Over $68,700
$2,905.50 plus 4.9% of excess over $68,700
Married Tax Withholding Table
If the Amount of Taxable Income Is:
The Amount of Tax Withholding Should Be:
Over $0 but not over $11,550
$0.00
Over $11,550 but not over $19,550
$0.00 plus 1.7% of excess over $11,550
Over $19,550 but not over $27,550
$136.00 plus 3.2% of excess over $19,550
Over $27,550 but not over $35,550
$392.00 plus 4.7% of excess over $27,550
Over $35,550 but not over $51,550
$768.00 plus 4.9% of excess over $35,550
Over $51,550 but not over $75,550
$1,552.00 plus 4.9% of excess over $51,550
Over $75,550 but not over $111,550
$2,728.00 plus 4.9% of excess over $75,550
Over $111,550
$4,492.00 plus 4.9% of excess over $111,550
- Divide the annual New Mexico tax withholding calculated in step 6 by the number of pay dates in the tax year to obtain the biweekly New Mexico tax withholding.
Resources
To view the updated tax formula, go to the
page from the drop-down menu on the National Finance Center (NFC) homepage. Select the tab and select from the menu to launch the tax map. Select the desired State from the map provided for the formula.Inquiries
For questions about NFC processing, authorized Servicing Personnel Office representatives should contact the NFC Contact Center at
or via the customer service portal.