RSU tax rate in Minnesota: state, federal, and FICA on vest income

Minnesota applies progressive state income tax to RSU vest wages — federal marginal tax and FICA still apply on top.

Rates and rules change. Content is reviewed for tax year 2026. Check the last-reviewed date and methodology on each page, then confirm against IRS or state guidance before you file.

State sourcing rules may depend on facts and timing

Which state taxes RSU income depends on residency, work location, grant terms, and vest date, not just where you live on December 31. Day-count splits and flat-rate estimates on this site are planning tools only, not legal sourcing determinations.

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You want one number for how much of your Minnesota RSU vest goes to tax — but search results show flat percentages that do not match your pay stub or account for a Florida relocation you are planning.

In plain terms

There is no flat Minnesota -only tax rate. Effective tax combines progressive Minnesota state income tax on wages per MN DOR rules for your filing year, plus federal income tax and FICA. Employers may MN tax on vests using supplemental methods that can under- when a large stacks on high salary. Verify current MN brackets on Minnesota Department of Revenue publications.

Gather before you start

  • MN residency for year.
  • confirmation and MN on pay stub.
  • MN wage boxes.
  • Minnesota DOR rate guidance for filing year.
  • tax calculator with Minnesota selected.

How the tax works

Minnesota does not publish a separate tax rate because equity compensation at is ordinary wage income. Your effective Minnesota rate on a depends on total taxable income for the year — salary, bonus, other vests, and spouse income if filing jointly — not the in isolation.

Federal progressive tax and FICA stack on top of Minnesota state tax. FICA applies nationwide with Social Security stopping at the wage base. Employer supplemental on equity often uses flat methods that under- relative to your true when a Twin Cities salary and a large quarterly combine in one year.

Employees comparing Minnesota to no-tax destinations like Florida or Texas often search for a rate difference on income. Minnesota taxes wages at progressive state rates; post-move vests as a Florida resident avoid Florida state income tax on wages. Pre-move vests while you were a Minnesota resident remain Minnesota-connected regardless of where you live when you file.

Border context matters for rate planning even when rates are similar. North Dakota and Michigan have their own bracket structures, and Minnesota–Wisconsin reciprocal rules may affect for some commuters — but the rate question still resolves to combined Minnesota marginal state rate plus federal plus FICA for a Minnesota resident's .

Plan with stacked income, not a single percentage. Use the Minnesota tax guide for mechanism and residency detail, and the tax calculator with Minnesota selected plus the gap calculator for a combined federal–state–FICA estimate on your actual salary and schedule.

What to check on your end

  • MN state on pay stub.
  • MN wage and tax boxes.
  • Federal Box 1 and .
  • MN with total income for filing year.
  • Federal gap vs .
  • Move date if part-year MN.
  • Calculator output vs pay stub.
1 more checklist item
  • Minnesota DOR pub for current year.

Using a single Minnesota percentage from an old blog for RSU planning

Minnesota uses progressive brackets. planning should use current DOR guidance and your full-year income, not a stale flat estimate.

What to pull from your files

  • MN pay stub.
  • MN boxes.
  • confirmation.
  • MN estimated tax if made.
  • Move docs if part-year.

St. Paul employee with $28,000 quarterly vest

Illustration only, not your tax situation.

Morgan, MN resident, vests $28,000 on $180,000 salary. MN and federal supplemental apply on the . Morgan's combined MN and federal marginal rates on stacked income exceed flat supplemental . Morgan uses tax calculator with Minnesota and gap calculator.

Questions people ask

What is the RSU tax rate in Minnesota?
No flat rate — MN progressive state tax plus federal plus FICA on , based on total income.
Minnesota vs Texas RSU tax rate?
Minnesota taxes wages. Texas has no state wage income tax for typical residents.
How much will Minnesota take from a $30,000 RSU vest?
Depends on total-year income and brackets — use the tax calculator with Minnesota and your salary, not a single percentage.
MN RSU supplemental withholding — is that my final rate?
No. Supplemental methods are only and may not match your on stacked income.
Moved from Minnesota to Arizona — what rate on post-move vests?
MN may tax pre-move connected income. Post-move vests follow Arizona rules for an AZ resident.

When a CPA is worth it

  • Part-year MN resident with large equity income.
  • MN-WI border commuter with conflicting state boxes.
  • Employer withheld wrong state on MN resident .
  • Multi-state remote work allocation.

Sources and notes

Primary tax claims on this page are supported by the official and secondary sources below. Broker and software links describe reporting mechanics — confirm rules against IRS or state guidance.

Minnesota progressive income tax on vest wages; confirm current MN DOR rates.

Related calculators

Related pages

For learning, not filing

VestingTax.com is not a CPA firm or tax preparer. Grants, employers, and states all differ. Use the cited IRS and state sources above, your own documents, and a qualified tax professional before you make decisions from this guide.

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