Taxes in Bozeman, Montana
Complete tax guide for Bozeman, MT. State income tax up to 5.9%, 0.74% property tax, 0.52% sales tax. Calculate your total tax burden.
State Income Tax
5.9%
Montana
Property Tax
0.74%
Effective rate
Sales Tax
0.52%
Combined rate
Tax Burden
Moderate
Bozeman, MT Tax Overview
Population
53,293
Median Income
$55,000
Cost of Living
118.5 (100 = avg)
State Income Tax
5.9%
Median Home Price
$585,000
Bozeman Tax Calculator
Pre-filled with Bozeman median: $55,000
Total Tax Burden in Bozeman
$12,014
Take-Home: $42,986 · Effective Rate: 21.84%
Federal Tax
$4,562
8.29% eff.
MT State
$3,245
5.90% eff.
FICA
$4,208
7.65% eff.
Take-Home
$42,986
78.16% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $55,000.00 | $4,583.33 |
| Federal Income Tax | -$4,561.50 | -$380.13 |
| Montana State Tax | -$3,245.00 | -$270.42 |
| Social Security (6.2%) | -$3,410.00 | -$284.17 |
| Medicare (1.45%) | -$797.50 | -$66.46 |
| Take-Home Pay | $42,986.00 | $3,582.17 |
Property Tax in Bozeman
Median Home
$585,000
Annual Tax
$4,329
Monthly Tax
$361
Effective Rate
0.74%
Sales Tax in Bozeman
Combined Rate
0.52%
State Portion
~0.0%
Local Portion
~0.5%
The combined sales tax rate in Bozeman is 0.52%, which is below the national average of 7.12%. On a $100 purchase, you would pay $0.52 in sales tax.
Tax Burden Comparison
| Tax Type | Bozeman | Montana Avg | National Avg |
|---|---|---|---|
| Income Tax | 5.9% | 5.9% | 4.6% |
| Property Tax | 0.74% | ~0.74% | 1.1% |
| Sales Tax | 0.52% | ~0.52% | 7.12% |
| Overall Burden | Moderate | — | Moderate |
Tax Saving Tips for Bozeman Residents
- Montana's income tax rate of 5.9% is above average. Maximize pre-tax retirement contributions (401k up to $23,500, IRA up to $7,000) to reduce both federal and state taxable income.
- Property tax in Bozeman (0.74%) is below the national average of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Other Cities in Montana
Calculate Your Full Montana Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Bozeman, MT?
Bozeman, Montana has a state income tax rate up to 5.9%. The property tax rate is 0.74% and the combined sales tax rate is 0.52%.
How much is property tax in Bozeman?
The effective property tax rate in Bozeman is 0.74%. On the median home price of $585,000, this equals approximately $4,329 per year or $361 per month. This is below the national average of 1.1%.
What is the sales tax rate in Bozeman?
The combined sales tax rate in Bozeman is 0.52%, which includes both state and local components. This is below the national average combined rate of approximately 7.12%.
How does Bozeman's tax burden compare to other cities?
Bozeman has a moderate overall tax burden. The effective total tax rate for a median-income household is approximately 28.9%. The combination of 5.9% state income tax, 0.74% property tax, and 0.52% sales tax determines the total burden. Cost of living index is 118.5 (100 = national average).
Are there any local taxes in Bozeman?
Bozeman does not impose a separate local or city income tax. Residents pay the state income tax of 5.9%, federal income tax, and FICA (Social Security and Medicare).