TaxWrenTaxes for Minnesota freelancers in 2026
Single filers get a standard deduction of $15,300 ($30,600 married filing jointly).
On $85,000 of 1099 profit, a single filer owes about $3,848 in Minnesota income tax on top of $17,800 in federal taxes. That ranks 47th lowest of 51 (50 states and DC), $1,119 more than the median state.
Every neighboring state with a different tax charges less on the same income; South Dakota would save $3,848 a year.
Minnesota income tax brackets for 2026
| Rate | Single: taxable income over | Married jointly: over |
|---|---|---|
| 5.35% | $0 | $0 |
| 6.8% | $33,310 | $48,700 |
| 7.85% | $109,430 | $193,480 |
| 9.85% | $203,150 | $337,930 |
Minnesota vs. neighboring states
Tax on $85,000 of 1099 profit for a single filer in 2026. The median across all 50 states and DC is $2,729 of state income tax.
| State | State tax | Total tax | Take-home |
|---|---|---|---|
| Minnesota | $3,848 | $21,648 | $63,352 |
| Iowa | $2,350 | $20,150 | $64,850 |
| North Dakota | $281 | $18,081 | $66,919 |
| South Dakota | $0 | $17,800 | $67,200 |
| Wisconsin | $2,806 | $20,606 | $64,394 |
How Minnesota taxes changed
For 2026, Minnesota raised the single standard deduction from $14,950 to $15,300. State tax on $85,000 of 1099 profit falls from $3,883 to $3,848 (−$35).
| 2025 | 2026 | |
|---|---|---|
| Top income tax rate | 9.85% | 9.85% |
| Standard deduction (single) | $14,950 | $15,300 |
| State tax on $85,000 of 1099 profit | $3,883 | $3,848 |
| Take-home on a $75,000 salary | $57,702 | $58,016 |
Each year uses that year's federal and Minnesota rules, so the take-home row also reflects federal changes. Federal changes · All data updates
What this estimate simplifies
- For taxpayers whose AGI exceeds $122,200 (married filing separately) or $244,400 (all other filers), Minnesota’s standard deduction is reduced by 3 percent of the excess of the taxpayer’s federal AGI over the applicable amount but not over $168,900 (married filing separately) or $337,800 (all other filers), plus 10 percent of the taxpayer's federal adjusted gross income over the second threshold, or 80 percent of the standard deduction otherwise allowable, whichever is less.
Sources: Minnesota revenue department, Tax Foundation, State Individual Income Tax Rates and Brackets, IRS Rev. Proc. 2025-32. See our methodology.
Minnesota 1099 tax FAQ
Does Minnesota have a state income tax?
Minnesota has a graduated income tax with 4 rates from 5.35% to 9.85%; the top rate starts at $203,150 of taxable income for single filers.
How much should a freelancer in Minnesota set aside for taxes?
A single filer with $85,000 of 1099 profit and no other income should set aside about 25% of every payment in 2026: $12,010 self-employment tax, $5,790 federal income tax and $3,848 Minnesota income tax. Use the calculator for your own income, expenses and filing status.
What is the top Minnesota income tax rate in 2026?
9.85%. Minnesota has a graduated income tax with 4 rates from 5.35% to 9.85%; the top rate starts at $203,150 of taxable income for single filers.
Do I need to make estimated tax payments to Minnesota?
Generally yes, if you expect to owe state tax that is not covered by withholding. Minnesota sets its own thresholds and due dates; check the Minnesota revenue department's estimated payment rules.