Payroll Articles
State Supplemental Wages Withholding
The following list shows State supplemental wage rates for 2004 for those states that allow flat rate withholding from supplemental wages.
STATE SUPPLEMENTAL WAGE TAX RATES | |
| State | Tax Rate |
| Alabama | 5.0% |
| Arkansas | 7.0% |
| California | 6.0% |
| 9.3% for stock options and bonuses | |
| Colorado | 4.63% |
| Georgia | Annual Wages: under $8,000 2.0% |
| $8,000 -$10,000 3.0% | |
| $10,000 -$12,000 4.0% | |
| $12,000 -$15,000 5.0% | |
| over $15,000 6.0% | |
| Idaho | 7.8% |
| Illinois | 3.0% |
| Indiana | 3.4% |
| Iowa | 6.0% |
| Kansas | 5.0% |
| Maine | 5.0% |
| Maryland | 4.75% plus county rate |
| Michigan | 4.0%; 3.9% eff. 7-1-04 |
| Minnesota | 6.25% |
| Missouri | 6.0% |
| Montana | 6.0% |
| Nebraska | 6.25% |
| New Mexico | 7.7% |
| New York | 8.2% |
| North Carolina | 6.0% |
| North Dakota | 3.92% |
| Ohio | 3.5% |
| Oklahoma | 6.65% |
| Oregon | 9.0% |
| Pennsylvania | 3.07% |
| Rhode Island | 7.0% |
| South Carolina | 7.0% |
| Vermont | 7.2% |
| West Virginia | Annual wages: under $10,000 3.0% |
| $10,000 - $25,000 4.0% | |
| $25,000 - $40,000 4.5% | |
| $40,000 - $60,000 6.0% | |
| over $60,000 6.5% | |
| Wisconsin | Annual wages: under $7,970 4.6% |
| $ 7,970 - $15,590 6.15% | |
| $15,590 - $115,140 6.50% | |
| over $115,140 6.75% | |
Connecticut, Delaware, District of Columbia, Hawaii, Kentucky, Mississippi, New Jersey, and Virginia specify that Supplemental Wages be aggregated.
Tax regulations in Arizona, Louisiana, Massachusetts, and Utah do not contain provisions for a special supplemental tax rate.
Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming have no state income tax.