How Montana Taxes Your Paycheck
Montana uses a progressive income tax with 2 brackets. Rates start at 4.7% on the lowest earnings and rise to 5.65% on income above $47,500 for single filers.
Montana has no general sales tax — almost unique outside the no-income-tax states. The 2026 top rate also dropped from 5.9% to 5.65%.
Montana Job Market Context
Agriculture and ranching, mining, and tourism (Glacier and Yellowstone gateway towns); rapid growth from out-of-state movers.
Top Cities in Montana
The largest population centers in Montana:
- Billings — 117,000 residents
- Missoula — 76,000 residents
- Great Falls — 60,000 residents
How Montana Compares to Neighboring States
Single-filer take-home on a $75,000 annual salary in 2026, federal + state income tax + FICA only:
| State | Take-Home | vs. Montana |
|---|---|---|
| Montana (here) | $58,654 | — |
| Idaho | $58,413 | -$241 |
| Wyoming | $61,593 | +$2,939 |
| South Dakota | $61,593 | +$2,939 |
| North Dakota | $61,368 | +$2,714 |
Take-home reflects single filer, no pre-tax deductions; SDI/PFML and local taxes excluded for an apples-to-apples comparison.
Frequently Asked Questions
What's the Montana state income tax rate?
Montana has progressive income tax brackets ranging from 4.7% to 5.65%. Most middle-income earners hit the middle brackets; the top rate applies only above $47,500.
How much is taken out of my paycheck in Montana?
For a single filer earning $75,000 in Montana (2026), expect roughly $7,670 in federal income tax, $5,738 in FICA, and $2,939 in Montana state tax — leaving about $58,654 take-home (21.8% effective tax rate). SDI/PFML and local taxes (if any) come out of that as well.
Is the Montana median household income enough to live comfortably?
The 2023 ACS reported a Montana median household income of about $75,300. Whether that's "comfortable" depends heavily on city — Billings cost of living can differ substantially from rural areas. Use the calculator above to model your specific salary and deductions.
How does this Montana paycheck calculator work?
We calculate your annualized gross pay based on the pay frequency you select, then apply the 2025 or 2026 IRS percentage method for federal income tax, the Montana state tax schedule (if any), Social Security, and Medicare. Pre-tax deductions like 401(k) and Section 125 health premiums reduce your taxable base before withholding is computed. You can switch between salary and hourly modes; hourly mode applies time-and-a-half to hours over 40/week prorated by pay period.