Kentucky County (Local) Income Tax Withholding
Reference Number: NFC-25-1737134593
Published: February 3, 2025
Effective: Pay Period 26, 2024
Summary
The income tax withholding for Boone County and Kenton County, Kentucky, includes the following changes:
- The taxable wage base is increasing from $75,223 to $77,400.
- The employee tax rate remains at 0.8%. The maximum tax is $619.20.
- The income tax withholding for Kenton County, Kentucky is changing. The maximum withholding wage base is increasing from $168,600 to $176,100 to coincide with the 2025 Federal OASDI wage base. The payroll tax rate remains at 0.6997%. The maximum tax is $1,232.17.
No action on the part of the employee or the personnel office is necessary.
Tax Formula
|
County Name |
State/County Codes |
County Tax Status |
|---|---|---|
|
Boone |
21/015 |
Duty Station/mandatory |
|
Clay |
21/051 |
Duty Station/voluntary |
|
Jefferson |
21/111 |
Duty Station/mandatory |
|
Kenton |
21/117 |
Duty Station/mandatory |
|
Madison |
21/151 |
Duty Station/mandatory |
|
McCracken |
21/145 |
Duty Station/mandatory |
|
McCreary |
21/147 |
Duty Station/mandatory |
Withholding Formula (Effective Pay Period 26, 2024)
- Multiply the gross biweekly wages by the number of pay dates in the tax year to obtain the annual wages.
- To determine the annual Kentucky County income tax withholding, multiply the gross annual wages by the appropriate county income tax percentage in the table below.
Note: In Kentucky, both residents and nonresidents who work in a city or county are subject to the occupational license tax rate shown below.
|
County Name |
State/County Codes |
Resident Percentage |
Nonresident Percentage |
County Tax Status (Duty Station = DS Residence = R) |
|---|---|---|---|---|
|
Boone |
21/015 |
0.8%1 |
0.8%1 |
DS |
|
Clay (voluntary) |
21/051 |
1.00% |
1.00% |
DS |
|
Jefferson |
21/111 |
2.20% |
1.45% |
DS |
|
Kenton |
21/117 |
0.6997%2 |
0.6997%2 |
DS |
|
Madison |
21/151 |
1.00% |
1.00% |
DS |
|
McCracken |
21/145 |
1.00% |
1.00% |
DS |
| McCreary | 21/147 | 1.50% | 1.50% | DS |
1Maximum taxable wage base of $77,400.00 (maximum annual tax of $619.20) applies to the 0.8 percent occupational tax. Maximum taxable wage base of $16,666 (maximum annual tax of $25) applies to the 0.15 percent Senior Citizen and Mental Health Tax.
2Maximum taxable wage base of $176,100 (maximum annual tax of $1,232.17) applies to the 0.6997 percent occupational tax. The payroll tax rate stays the same at 0.6997 percent on wages up to the OASDI wage maximum of $176,100.
- Divide the annual Kentucky County income tax withholding calculated in step 2 by the number of pay dates in the tax year to obtain the biweekly Kentucky County income tax withholding.
Resources
To view the updated tax formula, go to the HR and Payroll Clients page from the MyNFC drop-down menu on the National Finance Center (NFC) Home page. Select the Publications tab and select Taxes from the Publications menu to launch the tax map. Select the desired State from the map provided for the formula.
Inquiries
For questions about NFC processing, authorized Servicing Personnel Office representatives should contact the NFC Contact Center at 1-855-NFC-4GOV (1-855-632-4468) or via the customer service portal at ServiceNow Portal for Federated Users and at ServiceNow Portal for Non-Federated Users.