New York Payroll Taxes: State, City, and Commuter Taxes Explained

New York workers face state tax, NYC city tax, Yonkers surcharge, and commuter taxes. This guide breaks down every deduction for 2026.

New York workers face state tax, NYC city tax, Yonkers surcharge, and commuter taxes. This guide breaks down every deduction for 2026.

By ExpertPaystubs Editorial Team. Published 2026-02-12

New York has one of the most layered payroll tax systems in the country. Between state income tax, NYC city tax, Yonkers surcharge, commuter taxes, and paid family leave, a New York City employee can face six or more tax deductions on a single pay stub.

New York State Income Tax (2026)

New York uses a progressive system with 9 brackets:

Taxable Income (Single) Rate
$0 - $8,500 4%
$8,501 - $11,700 4.5%
$11,701 - $13,900 5.25%
$13,901 - $80,650 5.5%
$80,651 - $215,400 6%
$215,401 - $1,077,550 6.85%
$1,077,551 - $5,000,000 9.65%
$5,000,001 - $25,000,000 10.3%
Over $25,000,000 10.9%

New York City Income Tax

NYC residents pay an additional city income tax on top of state tax:

Taxable Income Rate
$0 - $12,000 3.078%
$12,001 - $25,000 3.762%
$25,001 - $50,000 3.819%
Over $50,000 3.876%

A NYC resident earning $100,000 pays approximately $3,800 in city tax PLUS $5,200 in state tax PLUS federal taxes.

Yonkers Tax

Yonkers residents pay a surcharge equal to 16.75% of their New York State tax liability. Yonkers non-residents who work in Yonkers pay 0.5% of wages earned there.

New York Paid Family Leave (PFL)

  • Rate: 0.373% of gross wages (2026)
  • Wage cap: Based on state average weekly wage
  • Paid by: Employee only
  • Benefits: Up to 12 weeks of paid leave at 67% of average weekly wage

Metropolitan Commuter Transportation Mobility Tax (MCTMT)

Employers in the MTA commuter district (NYC, plus Rockland, Nassau, Suffolk, Orange, Putnam, Dutchess, Westchester counties) pay:

  • 0.34% of payroll for employers with quarterly payroll over $312,500

Complete NY Pay Stub Example

For a NYC resident earning $85,000/year (single, bi-weekly):

Deduction Per Period Annual
Federal Income Tax $423 $10,998
NY State Tax $176 $4,576
NYC City Tax $126 $3,276
Social Security $203 $5,270
Medicare $47 $1,233
NY PFL $12 $317
Total Deductions $987 $25,670
Net Pay $2,282 $59,330

Effective total tax rate: approximately 30.2%.

Generate New York Pay Stubs

ExpertPaystubs automatically calculates all NY-specific taxes including state, city (NYC/Yonkers), and PFL deductions.

Create your New York pay stub →