🇺🇸 United States

Vermont Paycheck Calculator 2026

3rd highest top rate in the US (8.75%). But 3.35% on first $45K keeps moderate earners' burden low. See your real take-home.

$
Vermont has the 3rd highest state income tax in the US at 8.75%. But the low 3.35% starting rate and generous deductions mean earners at $80K pay about 4.1% effective VT state tax.

Calculate for other states

New HampshireMaineMassachusettsConnecticutNew YorkCaliforniaOregon

How to Use This Calculator

Tab "Take-Home Pay"

Enter your gross annual salary, pay frequency, and filing status. The calculator applies 2026 federal income tax brackets, Vermont state income tax brackets (3.35%–8.75%), and FICA taxes (Social Security 6.2% up to $184,500, Medicare 1.45%, and the 0.9% Additional Medicare Tax above $200K). Vermont has no SDI or local income tax. Expand "More options" to add pre-tax 401(k) contributions and health insurance premiums. The result shows your net take-home per paycheck plus a full annual summary.

Tab "Tax Breakdown"

This tab shows a visual pie chart of where every dollar of your salary goes: federal tax, VT state tax, Social Security, Medicare, and take-home pay. It calculates how many cents of each dollar you actually keep and your combined effective tax rate. Use this to understand the true cost of living and working in Vermont.

Tab "Compare Filing Status"

See your take-home pay calculated side-by-side as Single, Married Filing Jointly, and Head of Household. The comparison table shows federal tax, VT state tax, FICA, and net take-home for each status. The best option is highlighted in green so you can instantly see which filing status saves you the most money.

The Formulas

Federal Income Tax (2026 brackets):
Taxable income = Gross salary − Pre-tax deductions − Standard deduction
Single: $15,750 · MFJ: $31,500 · HoH: $23,500
Tax = Sum of (taxable income in each bracket × bracket rate)
Brackets: 10%, 12%, 22%, 24%, 32%, 35%, 37%

Vermont State Income Tax (2026 rates):
VT taxable income = Gross − Pre-tax deductions − Federal standard deduction − Personal exemption
Personal exemption: $4,850/person ($9,700 MFJ)
Tax = Sum of (VT taxable in each bracket × rate)
Single: 3.35% up to $45,400 · 6.60% up to $110,050 · 7.60% up to $229,550 · 8.75% above
MFJ: 3.35% up to $90,800 · 6.60% up to $220,100 · 7.60% up to $459,100 · 8.75% above

FICA Taxes:
Social Security = 6.2% × min(Gross salary, $184,500)
Medicare = 1.45% × Gross salary
Additional Medicare = 0.9% × max(0, Gross − $200,000)

Take-Home Pay:
Net = Gross − Federal tax − VT tax − SS − Medicare − Pre-tax deductions
Per paycheck = Net ÷ Number of pay periods

Vermont adopts the federal standard deduction rather than maintaining a separate state standard deduction. Vermont has no local income taxes and no state disability insurance payroll tax, which simplifies paycheck math compared to states like California or New York.

Example: $80,000 Single in Vermont

$80,000 Salary — Single, Biweekly, No 401(k)

Gross annual salary$80,000
Federal standard deduction−$15,750
VT personal exemption−$4,850
VT taxable income$59,400
VT tax: $45,400 × 3.35%$1,521
VT tax: $14,000 × 6.60%$924
Total VT state income tax$2,445
Federal income tax$9,049
Social Security (6.2%)$4,960
Medicare (1.45%)$1,160
Total deductions$17,614
Annual take-home$62,386
Biweekly paycheck$2,400

The jump from 3.35% to 6.60% at $45,400 is the real pinch point for middle earners. In this example, $14,000 of income crosses into the second bracket, adding $924 in extra VT tax compared to if the 3.35% rate applied to the full taxable income. Keeping taxable income below $45,400 through 401(k) contributions is the single most impactful tax lever for Vermont earners in the $60K–$80K range.

Vermont vs. New England Neighbors

Vermont sits at the high end of New England's income tax spectrum. Understanding how it compares helps workers weighing job offers or relocation decisions.

The saving grace for Vermont's moderate earners: the low 3.35% bottom rate and the federal standard deduction adoption mean someone earning $60K sees an effective state tax rate of roughly 3.5%–4%, well below the headline 8.75% top rate.

Frequently Asked Questions

Vermont has 4 income tax brackets ranging from 3.35% to 8.75%. For most workers, the effective state tax rate is much lower than the top marginal rate. On an $80,000 salary (single), you would pay approximately $2,445 in VT state income tax, which works out to an effective rate of about 4.1%. The 8.75% top rate only applies to taxable income above $229,550 (single). The jump from 3.35% to 6.60% at $45,400 is the critical threshold for middle-income Vermont earners.
No. Vermont adopts the federal standard deduction rather than setting a separate state deduction. For 2026, this means $15,750 (single), $31,500 (married filing jointly), or $23,500 (head of household). In addition, Vermont provides a personal exemption of $4,850 per person. This is notably more generous than states like Minnesota or Oregon that set lower independent standard deductions. Combined, a single Vermont filer deducts $20,600 before VT state tax applies.
No. Vermont does not allow cities or counties to impose local income taxes. The state income tax (3.35% to 8.75%) is your only income tax at the state or local level. This is simpler than neighboring states like New York, where New York City residents pay an additional local income tax of up to 3.876% on top of the state tax.
Vermont's high top rate reflects its progressive tax philosophy and relatively high public spending per capita on education, healthcare, and social programs. Vermont is a small state (population under 650,000) with a limited tax base, so it relies more heavily on income taxes from higher earners. The 8.75% top rate ranks 3rd nationally behind California (13.3%) and Hawaii (11%), but Vermont's low starting rate (3.35%) and generous deductions mean the practical burden on typical earners is far less extreme than the headline rate suggests.
The most effective strategies are: (1) Maximize pre-tax 401(k) contributions. The 2026 employee limit is $24,500 ($32,500 if age 50+). Vermont conforms to the federal 401(k) deduction, so contributions reduce both federal and VT taxable income. (2) Use an HSA if enrolled in a qualifying high-deductible health plan ($4,400 self / $8,750 family). (3) Pre-tax health insurance premiums through your employer reduce taxable wages. (4) For earners near the $45,400 bracket boundary, contributing enough to 401(k) to keep VT taxable income below that threshold saves the 3.25% rate difference on each dollar near the boundary.

Related Calculators

Embed This Calculator

Add the sum.money Vermont Paycheck Calculator to your website. Free, responsive, always up to date.

<iframe src="https://sum.money/embed/us/vermont-paycheck-calculator" width="100%" height="600"></iframe>