Mississippi income tax goes up to 4% at the top bracket. Calculate your combined federal + state effective tax rate for 2026. Formula shown, sources cited — no account required.
Mississippi simplified its income tax in recent years, moving toward a flat 4% rate on most income above $10,000. Income up to $10,000 is taxed at lower rates, providing some progressivity for lower earners. For the median household at $59,127, most taxable income falls under the 4% rate, producing a state tax bill around $1,965 before the standard deduction and personal exemptions. Mississippi's standard deduction and personal exemption reduce the effective taxable income meaningfully for single filers and families. The state does not tax retirement income of any kind — no Social Security, no pension, no IRA withdrawal taxation — making it uniquely favorable for retirees. On the federal side, median earners in Mississippi typically land in the 12% to 22% federal bracket, so the combined state-plus-federal marginal rate remains relatively low. Mississippi also has no estate tax at the state level. Use the tax bracket calculator to model your specific Mississippi tax liability and compare it to your current state.
Mississippi Tax Brackets Explained (2026)
Mississippi has a state income tax with a top marginal rate of 4%. On top of federal rates (10%–37%), residents can face a combined marginal rate exceeding 35% at higher income levels. However, your effective rate is always lower than the marginal rate because only income above each threshold is taxed at that bracket's rate.
The median household in Mississippi earns $59,127/year. At that income (single filer), the federal effective rate is approximately 12–14%, bringing total income tax (federal + state) to roughly 14–17%.
How Marginal vs. Effective Rate Works
The marginal rate is the rate on your last dollar of income — it does not apply to all income. The effective rate is your total tax divided by total income. For example, someone earning $100,000 in Mississippi has a 22% federal marginal rate but an effective federal rate of roughly 15%, because the first $44,725 (2024) is taxed at 10% and 12%, not 22%.