TAXES 21-20, Missouri State Income Tax Withholding

Published: April 13, 2021
Effective: Pay Period 06, 2021

Summary

The income tax withholding formula for the State of Missouri includes the following changes:

No action on the part of the employee or the personnel office is necessary.

Tax Formula

State Abbreviation:

MO

State Tax Withholding State Code:

29

Acceptable Exemption Form:

MO W-4

Basis for Withholding:

State exemptions

Acceptable Exemption Data:

S/M/H/N

TSP Deferred:

Yes

Special Coding:

First Position - S = Single; M = Married and Spouse Does Not Work; N = Married Filing Separate or Married and Spouse Works; and H = Head of Household.

Additional Information:

In the event that the employee does not file a State Withholding Allowance Certificate, then Single and zero exemptions (S00) will be used as the basis for withholding.

Withholding Formula (Effective Pay Period 06, 2021)

  1. Subtract the nontaxable biweekly Thrift Savings Plan contribution from the gross biweekly wages.
  2. Subtract the nontaxable biweekly Federal Employees 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.
  3. 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.
  4. Multiply the adjusted gross biweekly wages by the number of pay dates in the tax year to obtain the annual wages.
  5. Determine the standard deduction by applying the following guideline and subtract this amount from the annual wages in step 4:

    If the Employee Is:

    The Standard Deduction Is:

    Single

    $12,550

    Married Filing Separate

    $12,550

    Married (Spouse Works)

    $12,550

    Married (Spouse Does Not Work)

    $25,100

    Head of Household

    $18,800

     

  6. Apply the taxable income computed in step 5 to the following table to obtain the annual Missouri tax withholdings:

    Tax Withholding Table

    If the Amount of Taxable Income Is:

    The Amount of Tax Withholding Should Be:

    Over $0 but not over $1,088

    1.5%

    Over $1,088 but not over $2,176

    $16.32 plus 2.0% of excess over $1,088

    Over $2,176 but not over $3,264

    $38.08 plus 2.5% of excess over $2,176

    Over $3,264 but not over $4,352

    $65.28 plus 3.0% of excess over $3,264

    Over $4,352 but not over $5,440

    $97.92 plus 3.5% of excess over $4,352

    Over $5,440 but not over $6,528

    $136.00 plus 4.0% of excess over $5,440

    Over $6,528 but not over $7,616

    $179.52 plus 4.5% of excess over $6,528

    Over $7,616 but not over $8,704

    $228.48 plus 5.0% of excess over $7,616

    Over $8,704

    $282.88 plus 5.4% of excess over $8,704

     

  7. Divide the annual Missouri tax withholding calculated in step 6 by the number of pay dates in the tax year and round to the nearest dollar to obtain the biweekly Missouri tax withholding.
  8. Add the additional amount or percentage elected by the employee to the pay period tax calculated in step 7 and round to the nearest dollar to determine the amount of tax to be withheld for the pay period.

Resources

To view the updated tax formula, go to the HR and Payroll Clients page from the MyNFC drop-down menu on the National Finance Center (NFC) Home page. Select the Publications tab and select U.S. Income Tax Formulas from the Publications menu to launch the tax map. Select the desired State from the map provided for the formula.

Previous Tax Bulletin

Inquiries

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