Minnesota Taxes & Wages in 2026
Minnesota has a progressive state income tax with a top marginal rate of 9.85%, a statewide sales tax of 6.875%, and a 2026 minimum wage of $11.41/hour. Here is the at-a-glance picture, with sources.
Income Tax
Minnesota uses a progressive rate schedule; the highest marginal rate is 9.85% (applies only to income in the top bracket, not all income).
Sales Tax
The statewide sales tax is 6.875%. Cities and counties add local option taxes — combined rates commonly run 1.5–3 percentage points higher than the state rate.
2026 Minimum Wage
$11.41/hour. No tip credit
Tax Filing Notes
File the Minnesota state return in addition to your federal return; brackets are based on taxable income with state-specific adjustments.
How Minnesota compares
Minnesota 2026 — FAQ
What is the 2026 minimum wage in Minnesota?
Is Minnesota income tax high or low compared to other states?
Do local taxes add to these rates?
Sources: Tax Foundation — State Individual Income Tax Rates and Brackets 2026; U.S. DOL/WHD state minimum wage tables (Paylocity/Gusto 2026 editions); state revenue agencies. Retrieved Aug 11, 2026. Educational reference — verify current rates with the Minnesota revenue department before relying on them.