Taxes in Owensboro, Kentucky
Complete tax guide for Owensboro, KY. State income tax up to 4%, 0.75% property tax, 6% sales tax. Calculate your total tax burden.
State Income Tax
4%
Kentucky
Property Tax
0.75%
Effective rate
Sales Tax
6%
Combined rate
Tax Burden
Very Low
Owensboro, KY Tax Overview
Population
59,809
Median Income
$45,812
Cost of Living
82.3 (100 = avg)
State Income Tax
4%
Median Home Price
$160,000
Owensboro Tax Calculator
Pre-filled with Owensboro median: $45,812
Total Tax Burden in Owensboro
$8,796
Take-Home: $37,016 · Effective Rate: 19.20%
Federal Tax
$3,459
7.55% eff.
KY State
$1,832
4.00% eff.
FICA
$3,505
7.65% eff.
Take-Home
$37,016
80.80% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $45,812.00 | $3,817.67 |
| Federal Income Tax | -$3,458.94 | -$288.25 |
| Kentucky State Tax | -$1,832.48 | -$152.71 |
| Social Security (6.2%) | -$2,840.34 | -$236.70 |
| Medicare (1.45%) | -$664.27 | -$55.36 |
| Take-Home Pay | $37,015.96 | $3,084.66 |
Property Tax in Owensboro
Median Home
$160,000
Annual Tax
$1,200
Monthly Tax
$100
Effective Rate
0.75%
Sales Tax in Owensboro
Combined Rate
6%
State Portion
~3.5%
Local Portion
~2.5%
The combined sales tax rate in Owensboro is 6%, which is below the national average of 7.12%. On a $100 purchase, you would pay $6.00 in sales tax.
Tax Burden Comparison
| Tax Type | Owensboro | Kentucky Avg | National Avg |
|---|---|---|---|
| Income Tax | 4% | 4% | 4.6% |
| Property Tax | 0.75% | ~0.75% | 1.1% |
| Sales Tax | 6% | ~6% | 7.12% |
| Overall Burden | Very Low | — | Moderate |
Tax Saving Tips for Owensboro Residents
- Kentucky's income tax rate of 4% is competitive. You may still benefit from maximizing 401(k) contributions ($23,500 limit) to reduce your taxable income at both state and federal levels.
- Property tax in Owensboro (0.75%) 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 Kentucky
Calculate Your Full Kentucky Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Owensboro, KY?
Owensboro, Kentucky has a state income tax rate up to 4%. The property tax rate is 0.75% and the combined sales tax rate is 6%.
How much is property tax in Owensboro?
The effective property tax rate in Owensboro is 0.75%. On the median home price of $160,000, this equals approximately $1,200 per year or $100 per month. This is below the national average of 1.1%.
What is the sales tax rate in Owensboro?
The combined sales tax rate in Owensboro is 6%, which includes both state and local components. This is below the national average combined rate of approximately 7.12%.
How does Owensboro's tax burden compare to other cities?
Owensboro has a very low overall tax burden. The effective total tax rate for a median-income household is approximately 24%. The combination of 4% state income tax, 0.75% property tax, and 6% sales tax determines the total burden. Cost of living index is 82.3 (100 = national average).
Are there any local taxes in Owensboro?
Owensboro does not impose a separate local or city income tax. Residents pay the state income tax of 4%, federal income tax, and FICA (Social Security and Medicare).