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Kentucky Income Tax Calculator

Calculate your total tax burden in Kentucky. See KY state income tax (4% top rate), federal tax, and FICA combined. Free, instant, private.

Flat 4%Property Tax: 0.8%Sales Tax: 6%Has Inheritance Tax

Kentucky Income Tax Calculator

Pre-filled with Kentucky median: $55,573

Your Total Tax Burden

$10,978

Take-Home: $44,595 · Effective Rate: 19.8%

Federal Tax

$4,630

8.3% eff.

KY State Tax

$2,097

3.8% eff.

FICA

$4,251

7.6% eff.

Take-Home

$44,595

80.2% kept

Tax Breakdown

Take-Home 80.2%
Federal
FICA
Take-Home Federal Tax KY State Tax FICA

Kentucky Tax Bracket Breakdown

4%$52,413 taxable
$2,096.52
Total KY State Tax$2,096.52
ItemAnnualMonthly
Gross Income$55,573.00$4,631.08
Federal Income Tax-$4,630.26-$385.86
Kentucky State Tax-$2,096.52-$174.71
Social Security (6.2%)-$3,445.53-$287.13
Medicare (1.45%)-$805.81-$67.15
Take-Home Pay$44,594.89$3,716.24

Marginal Tax Rate

4%

KY state only

Effective Tax Rate

19.8%

All taxes combined

Kentucky Tax System Overview

Kentucky has a flat 4% income tax, reduced from 5% in 2023. The state has an inheritance tax of 4% to 16% on non-immediate family. Property taxes are moderate at 0.80%. Sales tax is a uniform 6%.

Top Income Tax

4%

Property Tax

0.8%

Sales Tax (Avg)

6%

Median Income

$55,573

Other Taxes in Kentucky

Capital Gains Tax

Taxed as regular income at 4%

Property Tax

Average effective rate of 0.8%. On a $300,000 home, this equals approximately $2,400 per year, or $200 per month.

Sales Tax

State rate of 6%, with a combined average of 6% including local taxes.

Estate & Inheritance Tax

Kentucky has an inheritance tax. The rate depends on the beneficiary's relationship to the deceased.

Filing Tips for Kentucky

Flat 4% simplifies planning. Be aware of inheritance tax for non-immediate family. Kentucky offers pension exclusions up to $31,110. Standard deduction is low ($3,160).

  • Maximize pre-tax contributions to 401(k) ($23,500 limit in 2026, $31,000 if 50+) to reduce both federal and KY state taxable income.
  • Use an HSA if you have a high-deductible health plan. Contributions ($4,300 individual, $8,550 family) are pre-tax and reduce your tax burden.
  • Review your W-4. If you regularly get large refunds, adjust your withholding to keep more money in each paycheck throughout the year.

Compare Kentucky to Nearby States

If you lived in a neighboring state instead, here is how your state tax would change on $55,573 income:

StateTop RateState TaxDifference
Kentucky4%$2,097
Illinois4.95%$2,751+$654
Indiana3.05%$1,695Save $402
Ohio3.5%$812Save $1,285
West Virginia5.12%$1,975Save $122

Explore All 50 State Tax Calculators

Compare income tax rates, property taxes, and sales taxes across all US states and DC.

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Frequently Asked Questions

What is the income tax rate in Kentucky?

Kentucky has a flat income tax rate of 4%. This means all taxable income is taxed at the same rate regardless of how much you earn. Flat 4% (reduced from 5%). Inheritance tax (4-16%). Pension exclusion up to $31,110.

How much state tax will I pay in Kentucky on $55,573?

On income of $55,573 filing single in Kentucky, you would pay approximately $2,097 in state income tax (effective rate of 3.8%). This is after the state standard deduction of $3,160.

Does Kentucky tax capital gains?

Taxed as regular income at 4%. Capital gains treatment varies by state — some tax them as regular income while others offer exclusions or preferential rates.

How does Kentucky compare to neighboring states for taxes?

Kentucky's neighboring states include Illinois (4.95% top rate), Indiana (3.05% top rate), Ohio (3.5% top rate). Property tax rates, sales taxes, and cost of living should also be considered when comparing overall tax burden. Use the calculator above to compare your specific tax liability across states.