TAXES 21-05, Kentucky County (Local) Income Tax Withholding
Published: January 13, 2021
Effective: Pay Period 26, 2020
Summary
The income tax withholding for Boone and Kenton County, Kentucky, includes the following changes:
- The maximum taxable wage base for Boone County will increase from $63,136 to $63,758.
- The maximum annual tax for Boone County will increase from $505.09 to $510.07.
- The maximum taxable wage base for Kenton County will increase from $137,700 to $142,800.
- The maximum annual tax for Kenton County will increase from $301.06 to $306.65.
The following tax rates for Boone and Kenton County, Kentucky, remain the same:
- The employee tax rate for Boone County remains at 0.8 percent.
- The employee tax rate for Kenton County remains at 0.7097 percent.
No action on the part of the employee or the personnel office is necessary.
Tax Formula
County Name |
State/County Codes |
County Tax Status |
|---|---|---|
Boone |
21/015 |
Duty Station/mandatory |
Clay |
21/051 |
Duty Station/voluntary |
Jefferson |
21/111 |
Duty Station/mandatory |
Kenton |
21/117 |
Duty Station/mandatory |
Madison |
21/151 |
Duty Station/mandatory |
McCracken |
21/145 |
Duty Station/mandatory |
Withholding Formula (Effective Pay Period 26, 2020)
- Multiply the gross biweekly wages by the number of pay dates in the tax year to obtain the annual wages.
- To determine the annual Kentucky County income tax withholding, multiply the gross annual wages by the appropriate county income tax percentage in the table below.
County Name
State/County Codes
Resident Percentage
Nonresident Percentage
County Tax Status (Duty Station = DS Residence = R)
Boone
21/015
0.8%1
0.8%1
DS
Clay (voluntary)
21/051
1.00%
1.00%
DS
Jefferson
21/111
2.20%
1.45%
DS
Kenton
21/117
0.7097%2
0.7097%2
DS
Madison
21/151
1.00%
1.00%
DS
McCracken
21/145
1.00%
1.00%
DS
1 Maximum taxable wage base of $63,758 (maximum annual tax of $510.07) applies to the 0.8 percent occupational tax. Maximum taxable wage base of $16,666 (maximum annual tax of $25) applies to the 0.15 percent Senior Citizen and Mental Health Tax.
2 Maximum taxable wage base of $142,800 (maximum annual tax of $306.65) applies to the 0.7097 percent occupational tax. The lower taxable wage base limit remains at $25,000. The payroll tax rates remain 0.7097 percent on wages up to $25,000 and 0.1097 percent on wages greater than $25,000 and up to the Old-Age, Survivors, and Disability Insurance (OASDI) wage maximum of $142,800.
- Divide the annual Kentucky County income tax withholding calculated in step 2 by the number of pay dates in the tax year to obtain the biweekly Kentucky County income tax withholding.
Resources
To view the updated tax formula, go to the page from the drop-down menu on the National Finance Center (NFC) Home page. 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.