Vermont Paycheck Calculator
Where is your money going?
Official Sources & References
This calculator uses data from the following authoritative sources. All tax rates, brackets, and thresholds are verified against official government publications:
- Vermont Dept. of Revenue
- IRS Tax Brackets 2025
- IRS W-4 Tax Withholding Estimator
- SSA 2025 Wage Base Limit
- US Dept. of Labor - Minimum Wage
- IRS Publication 15 (Employer's Tax Guide)
This calculator is for informational purposes only and does not constitute tax advice. Consult a qualified tax professional or the IRS for guidance specific to your situation.
Vermont State Income Tax Rates (2025)
Vermont has one of the highest top income tax rates in New England at 8.75%. Vermont is also notable for offering "Remote Worker Grants" of up to $7,500 to attract remote workers to relocate to Vermont.
| Taxable Income | Tax Rate |
|---|---|
| $0–$45,400 | 3.35% |
| $45,401–$110,050 | 6.6% |
| $110,051–$229,550 | 7.6% |
| Over $229,550 | 8.75% |
The minimum wage in Vermont is $13.67/hr as of 2025. Vermont's minimum wage exceeds the federal minimum of $7.25/hr.
How to Calculate Your Vermont Paycheck
Your Vermont take-home pay is your gross pay minus the following deductions:
This calculator also serves as a Vermont payroll calculator, Vermont salary calculator, Vermont income calculator, and Vermont take home pay calculator. Whether you search for "VT paycheck calculator" or "vermont wage calculator," this tool gives you accurate 2025 results.
- Federal Income Tax — based on 2025 IRS brackets and your filing status (10%–37%)
- Social Security — 6.2% of wages up to $176,100 (2025 wage base)
- Medicare — 1.45% of all wages (plus 0.9% surtax on earnings over $200,000)
- Vermont State Income Tax — calculated using Vermont's 2025 tax brackets (top rate 8.75%)
- Pre-tax deductions — 401(k), HSA, health insurance premiums reduce your taxable income
Vermont Paycheck Quick Facts (2025)
| State Income Tax | Progressive — 8.75% (5 brackets) |
| Minimum Wage | $14.01 |
| Median Household Income | $74,014 |
| Cost of Living Index | 112.3 (US avg = 100) |
| Local Taxes | No local income taxes |
| Pay Frequency Law | Weekly required |
What Makes Vermont Paychecks Unique
Vermont uses a progressive system with a top rate of 8.75% across 5 brackets. With a median household income of $74,014 and a cost of living index of 112.3 (where 100 is the national average), your paycheck's purchasing power is below the national average due to higher costs.
- Vermont has five brackets from 3.35% to 8.75%, with the top rate starting at $229,500.
- Vermont offers a generous Earned Income Tax Credit equal to 38% of the federal EITC — one of the highest state EITCs in the nation.
- Vermont fully exempts Social Security benefits from state income tax starting in 2025.
Example Vermont Paycheck: $60,000 Salary
Here is what a typical bi-weekly paycheck looks like for a single filer earning $60,000/year in Vermont:
| Line Item | Amount |
|---|---|
| Bi-Weekly Gross Pay | $2,307.69 |
| Federal Income Tax | -$204.00 |
| Social Security (6.2%) | -$143.08 |
| Medicare (1.45%) | -$33.46 |
| Vermont State Tax | -$138.46 |
| Net Take-Home Pay | $1,788.69 |
This means you keep about $1,788.69 of every bi-weekly paycheck, or roughly $46,505.94 per year after all taxes. Use the calculator above to get a precise estimate based on your exact salary, filing status, and deductions.
Tips to Maximize Your Vermont Paycheck
Here are proven strategies specific to Vermont residents to keep more of every paycheck:
- Review your W-4 annually: Life changes like marriage, children, or a home purchase can change your optimal withholding. Use the IRS Tax Withholding Estimator to fine-tune your Vermont paycheck.
- Contribute to pre-tax retirement: Every dollar contributed to a traditional 401(k) reduces both your federal and Vermont state tax liability. A $500/month contribution can increase your net paycheck by $100–$175/month depending on your bracket.
- Use an HSA if eligible: Health Savings Accounts offer triple tax benefits: tax-deductible contributions, tax-free growth, and tax-free withdrawals for medical expenses. The 2025 limit is $4,300 for individuals.
- Check for Vermont-specific credits: Many states offer credits and deductions beyond the federal ones. Check with the Vermont Department of Revenue for credits you may be eligible for.