Mississippi Take-Home Pay Calculator (2026)

Mississippi has a flat income tax rate of 4.0% for 2026, down from 5% in prior years. The state passed a landmark tax reform package in 2022 that eliminated the lower brackets and set the state on a path to a flat 4% rate by 2026, with further reductions planned. The goal under current law is to eliminate the income tax entirely by 2030, though that depends on revenue conditions being met each year.

Mississippi is one of the few states that fully exempts retirement income from state income tax. Pension income, Social Security, 401k distributions, and IRA withdrawals are all excluded from Mississippi taxable income. For current workers, this does not reduce paycheck withholding, but it is a meaningful feature for long-term financial planning. Workers who intend to retire in Mississippi will pay no state income tax on their retirement savings distributions.

The standard deduction in Mississippi is $2,300 for single filers. This is lower than the federal standard deduction, which means Mississippi taxable income is higher than federal taxable income for most workers who take the standard deduction. A worker earning $55,000 has roughly $52,700 of Mississippi taxable income after the standard deduction and personal exemption of $6,000, resulting in a state tax bill of approximately $2,108.

Mississippi cities do not impose local income taxes. Jackson and other cities do not add a city wage tax on top of the state rate. At 4%, Mississippi now sits in competitive territory relative to neighboring states. Alabama's effective rate is similar. Tennessee has no income tax on wages. Louisiana's top rate is 5.5%. The ongoing reductions make Mississippi increasingly competitive for workers comparing states in the Deep South.