New York's income tax brackets and rates

New York State uses a progressive tax system, which means the tax rate increases as your income goes up. You do not pay one flat rate on all your income — instead, different portions of your earnings are taxed at different rates. For the 2024 tax year, New York has nine tax brackets ranging from 4% on the lowest incomes to 10.9% on the highest.

The exact bracket you fall into depends on your filing status (single, married filing jointly, head of household, or married filing separately) and your total taxable income. A single filer earning $30,000 pays a different rate than one earning $100,000, and the rates explore only to the income within each bracket, not to your entire income.

New York also taxes capital gains and investment income, though the rates and brackets for long-term capital gains differ from ordinary income. If you have investment earnings, you will need to account for those separately when calculating your state tax liability.

Key Takeaways

  • New York State income tax rates range from 4% to 10.9% depending on your income level and filing status.
  • The tax system is progressive, meaning higher portions of your income are taxed at higher rates, but only the income within each bracket is taxed at that rate.
  • Your filing status (single, married, head of household, or married filing separately) determines which bracket your income falls into.
  • Capital gains and investment income are taxed separately and may have different rates than ordinary wages and salary.
  • New York City residents pay an additional city income tax on top of the state rate, which ranges from 3.876% to 3.876% depending on income.

The nine tax brackets for 2024

For single filers in 2024, the brackets start at 4% on income up to $11,200, then jump to 4.5% on income between $11,200 and $13,900. The rates continue to climb: 5.85% from $13,900 to $21,400; 6.25% from $21,400 to $80,650; 6.85% from $80,650 to $215,400; 9.65% from $215,400 to $1,077,550; and finally 10.9% on income above $1,077,550.

Married couples filing jointly have wider brackets at each level. For example, the 4% bracket extends to $22,400 for married filers, and the highest bracket (10.9%) applies to income above $2,155,350. Head of household filers have their own set of brackets that fall between single and married rates.

These brackets adjust slightly each year for inflation, so the income thresholds change annually. When you file your return, use the brackets for the tax year you are reporting, not the current calendar year.

How the progressive system actually works

Many people misunderstand progressive taxation and worry that moving into a higher bracket will reduce their take-home pay. This is not how it works. Only the income within each bracket is taxed at that rate. If you are a single filer earning $25,000, you pay 4% on the first $11,200, then 4.5% on the remaining $13,800 — you do not pay 5.85% on your entire income just because part of it falls into that bracket.

Your effective tax rate — the percentage of your total income that goes to taxes — is always lower than your marginal rate (the rate on your highest dollar of income). Understanding this difference helps you make decisions about additional income or deductions without fear that earning more will push you into a worse financial position.

Additional taxes if you live in New York City

If you live and work in New York City, you owe city income tax on top of state income tax. The city has its own progressive brackets, with rates ranging from 3.876% to 3.876% depending on your income. This is separate from the state tax and is calculated on your New York State taxable income.

Residents of other cities in New York State (such as Yonkers, Buffalo, or Rochester) may also owe local income tax, though the rates and brackets vary by municipality. Check with your city or county to determine whether you owe local tax and at what rate.

What counts as taxable income in New York

New York State taxes wages, salaries, self-employment income, interest, dividends, and capital gains. However, certain types of income are excluded or taxed differently. For example, Social Security benefits are generally not taxed by New York State, and some pension income may be partially or fully excluded depending on your age and income level.

If you are over 59½ and receive distributions from a may have access to retirement plan (such as a 401(k) or traditional IRA), you may be able to exclude up to $20,000 of that income from New York State taxation. Military pensions and certain other government pensions also receive preferential treatment. Review the New York Department of Taxation and Finance website or consult a tax professional to determine whether any of your income qualifies for an exclusion.

Deductions and credits that reduce your tax

New York allows both the standard deduction and itemized deductions. For 2024, the standard deduction for single filers is $8,000, and for married filing jointly it is $16,000. If your itemized deductions (mortgage interest, property taxes, charitable donations, and other may have access to expenses) exceed the standard deduction, you can choose to itemize instead.

New York also offers tax credits that directly reduce the amount of tax you owe. The Earned Income Tax Credit (EITC) benefits lower-income workers, and the Child and Dependent Care Credit helps families with childcare expenses. Some credits are refundable, meaning you can receive money back even if you owe no tax; others only reduce your tax liability to zero.

How to find your exact tax rate

The easiest way to determine your New York State tax rate is to use the tax tables or tax calculator provided by the New York Department of Taxation and Finance on their website. You enter your filing status and taxable income, and the tool shows you the exact amount of tax owed and your effective rate.

If you file your own return using tax software (such as TurboTax, H&R Block, or the IRS Free File program), the software automatically calculates your New York State tax based on your income and filing status. If you work with a tax professional or accountant, they will handle the calculation for you.

Frequently Asked Questions

Does New York State tax Social Security?

No, Social Security benefits are not taxed by New York State. However, if you have other income (wages, pensions, or investment income), that income is still subject to New York State tax. Some states do tax Social Security, but New York does not.

What is the difference between state tax and federal tax?

Federal income tax is collected by the IRS and goes to the U.S. government. New York State income tax is collected by the New York Department of Taxation and Finance and funds state programs. You file separate returns and owe tax to both unless you live in one of the few states with no income tax. Your federal tax rate is different from your state rate.

Do I owe New York State tax if I moved out of state?

You owe New York State tax only on income you earned while you were a resident. If you moved out of state partway through the year, you file a part-year resident return and pay tax only on the income earned during the months you lived in New York. You will need to report your move date and provide documentation of your new state residency.

Are retirement distributions taxed differently in New York?

Some retirement income receives preferential treatment. If you are over 59½, you can exclude up to $20,000 of may have access to retirement plan distributions from New York State taxation. Military pensions and certain government pensions are also excluded. However, the rules are complex, so review the Department of Taxation and Finance guidance or speak with a tax professional about your specific situation.

How do I know if I need to file a New York State return?

You must file a New York State return if your income exceeds the filing threshold for your age and filing status. For most people, this threshold is similar to the federal threshold, but it can vary. The New York Department of Taxation and Finance publishes filing requirements each year on their website. If you are unsure, filing a return is always safe — the worst outcome is that you receive a refund.