TAXES 19-06, Maine State Income Tax Withholding
Published: February 13, 2019
Effective: Pay Period 03, 2019
Summary
The income tax withholding formula for the State of Maine includes the following changes:
- The standard deduction adjustment for Single and Married will increase.
- The annual amount per exemption will increase from $4,150 to $4,200.
- The Single and Married income tax withholdings will change.
No action on the part of the employee or the personnel office is necessary.
Tax Formula
State Abbreviation: |
ME |
State Tax Withholding State Code: |
23 |
Acceptable Exemption Form: |
W-4 or W-4ME |
Basis for Withholding: |
State Exemptions |
Acceptable Exemption Data: |
S/M, Number of Exemptions |
TSP Deferred: |
Yes |
Special Coding: |
Determine the Total Number of Allowances Claimed field as follows: - = Single; = Married - Enter the number of allowances claimed. If less than 10, precede with a 0 (zero). |
Additional Information: |
None |
Withholding Formula (Effective Pay Period 03, 2019)
- 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.
- Subtract the standard deduction adjustment from the following tables, based on marital status, from the annualized gross pay to get adjusted annualized gross pay:
Single Taxpayer
Annualized Gross Pay
Standard Deduction Adjustment
Over $0 but not over $81,450
$9,350
Over $81,450 but not over $156,450
[(156,450 - Taxable wages) / $75,000] x $9,350
Over $156,450
$0
Married Taxpayer
Annualized Gross Pay
Standard Deduction Adjustment
Over $0 but not over $162,950
$21,550
Over $162,950 but not over $312,950
[($312,950 - Taxable wages) / $150,000] x $21,550
Over $312,950
$0
- Determine the exemption allowance by applying the following guideline and subtracting this amount from the results in step 5 to compute the taxable income:
Exemption Allowance = $4,200 x Number of Exemptions
- Apply the taxable income in step 6 to the following table(s) to determine the annual Maine tax withholding:
Single Tax Withholding Table
Taxable Wages
Amount of Tax
Over $0 but not over $21,850
5.8%
Over $21,850 but not over $51,700
$1,267.00 plus 6.75% of excess over $21,850
Over $51,700
$3,282.00 plus 7.15% of excess over $51,700
Married Tax Withholding Table
Taxable Wages
Amount of Tax
Over $0 but not over $43,700
5.8%
Over $43,700 but not over $103,400
$2,535.00 plus 6.75% of excess over $43,700
Over $103,400
$6,565.00 plus 7.15% of excess over $103,400
- Divide the annual Maine income tax withholding calculated in step 7 by the number of pay dates in the tax year, and round to the nearest dollar to obtain the biweekly Maine income tax withholding.
- Add additional amount or percentage elected by the employee to the pay period tax calculated in the above step, and round to the nearest dollar to determine the amount of tax to be withheld for this pay period.
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.