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Taxes in Olney, Maryland

Complete tax guide for Olney, MD. State income tax up to 5.75%, 1.1% property tax, 7.27% sales tax. Calculate your total tax burden.

State Income Tax

5.75%

Maryland

Property Tax

1.1%

Effective rate

Sales Tax

7.27%

Combined rate

Tax Burden

Moderate

Olney, MD Tax Overview

Population

35,350

Median Income

$84,600

Cost of Living

116.6 (100 = avg)

State Income Tax

5.75%

Local Income Tax

0.9%

Median Home Price

$323,000

Olney Tax Calculator

Pre-filled with Olney median: $84,600

Total Tax Burden in Olney

$22,324

Take-Home: $62,276 · Effective Rate: 26.39%

Federal Tax

$10,226

12.09% eff.

MD State + Local

$5,626

6.65% eff.

FICA

$6,472

7.65% eff.

Take-Home

$62,276

73.61% kept

Tax Breakdown

Take-Home 73.61%
Federal
MD
FICA
Take-Home Federal Tax MD State + Local Tax FICA
ItemAnnualMonthly
Gross Income$84,600.00$7,050.00
Federal Income Tax-$10,226.00-$852.17
Maryland State Tax-$4,864.50-$405.38
Olney Local Tax (0.9%)-$761.40-$63.45
Social Security (6.2%)-$5,245.20-$437.10
Medicare (1.45%)-$1,226.70-$102.23
Take-Home Pay$62,276.20$5,189.68

Property Tax in Olney

Median Home

$323,000

Annual Tax

$3,553

Monthly Tax

$296

Effective Rate

1.1%

vs. National Average (1.1%)$0/yr
Median Property Tax Paid$3,553/yr

Sales Tax in Olney

Combined Rate

7.27%

State Portion

~4.8%

Local Portion

~2.5%

The combined sales tax rate in Olney is 7.27%, which is above the national average of 7.12%. On a $100 purchase, you would pay $7.27 in sales tax.

Tax Burden Comparison

Tax TypeOlneyMaryland AvgNational Avg
Income Tax5.75% + 0.9%5.75%4.6%
Property Tax1.1%~1.1%1.1%
Sales Tax7.27%~7.27%7.12%
Overall BurdenModerateModerate

Tax Saving Tips for Olney Residents

  • Maryland's income tax rate of 5.75% 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.
  • Olney has a local income tax of 0.9%. If you work remotely, verify whether you owe city tax based on where you work or where you live. Some cities only tax people who work within city limits.
  • Property tax in Olney (1.1%) is above the national average. Check if you qualify for homestead exemptions or assessment appeals to reduce your property tax bill.
  • 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.

Calculate Your Full Maryland Tax Burden

See detailed state tax brackets, FICA breakdown, and compare to neighboring states.

Frequently Asked Questions

What are the tax rates in Olney, MD?

Olney, Maryland has a state income tax rate up to 5.75%, plus a local income tax of 0.9%. The property tax rate is 1.1% and the combined sales tax rate is 7.27%.

How much is property tax in Olney?

The effective property tax rate in Olney is 1.1%. On the median home price of $323,000, this equals approximately $3,553 per year or $296 per month. This is above the national average of 1.1%.

What is the sales tax rate in Olney?

The combined sales tax rate in Olney is 7.27%, which includes both state and local components. This is above the national average combined rate of approximately 7.12%.

How does Olney's tax burden compare to other cities?

Olney has a moderate overall tax burden. The effective total tax rate for a median-income household is approximately 28.2%. The combination of 5.75% state income tax, 1.1% property tax, and 7.27% sales tax determines the total burden. Cost of living index is 116.6 (100 = national average).

Are there any local taxes in Olney?

Yes. Olney imposes a local income tax of 0.9% in addition to the state income tax of 5.75%.