How a Vermont paycheck is built
Every Vermont worker pays federal income tax, calculated on the W-4 you submitted to your employer using the IRS Publication 15-T tables. Federal income tax is followed by FICA: 6.2 percent Social Security up to the annual wage base, plus 1.45 percent Medicare on every dollar. The 0.9 percent Additional Medicare Tax applies once year-to-date wages cross $200,000 single or $250,000 married filing jointly.
Vermont adds progressive state income tax. The bracket you fall into depends on filing status and taxable income. Verify current brackets with the Vermont Department of Taxes.
What changed recently in Vermont
- No major rate change for 2025-2026.
- Vermont Family and Medical Leave program voluntary opt-in for employers.
- Standard deduction adjusted.
Vermont payroll quirks workers should know
- Vermont W-4VT form for state withholding.
- No local income tax.
Example breakdown
A hypothetical Vermont worker on a $65,000 annual salary, paid bi-weekly, single filer, no extra adjustments. Educational only, your real paycheck differs.
| Gross (bi-weekly) | $2,500.00 |
| Federal income tax | -$216.15 |
| Social Security (6.2%) | -$155.00 |
| Medicare (1.45%) | -$36.25 |
| Vermont state tax | -$137.50 |
| Estimated take-home | $1,955.10 |
Run your own numbers in the Vermont paycheck calculator.