NYS Tax Withholding Tables: Methods, IT-2104, and Supplemental Wages

New York State’s income tax withholding tables live in Publication NYS-50-T-NYS, updated for payrolls made on or after January 1, 2026. The publication contains three withholding methods, graduated rate schedules, and wage bracket lookup tables organized by pay frequency and filing status, and it is what your employer uses together with your Form IT-2104 to figure out how much state tax to pull from each paycheck.¹ Separate publications cover the additional withholding required for New York City and Yonkers residents.

What actually comes out of a paycheck depends on three inputs from your IT-2104: filing status, number of allowances, and pay frequency. Those feed into the tables and formulas in NYS-50-T-NYS, which build in the state’s standard deduction and progressive rate structure.

2026 Rates Behind the Tables

New York’s income tax is progressive. The 2026 withholding tables reflect the following rate structure for a single filer, applied to annualized wages after subtracting the standard deduction and allowances:²

Up to $8,500: 3.90%
$8,500 to $11,700: 4.40%
$11,700 to $13,900: 5.15%
$13,900 to $80,650: 5.40%
$80,650 to $96,800: 5.90%
$96,800 to $107,650: 7.03%
$107,650 to $157,650: 7.53%
$157,650 to $215,400: 6.40%
$215,400 to $265,400: 11.44%
$265,400 to $1,077,550: 7.35%

The upper brackets look odd because the withholding computation folds in a high-income recapture of the benefit from the lower brackets. The percentages above are the effective withholding rates at each tier, not a simple staircase.

For single filers earning above $1,077,550 (or married filers above $2,155,350), the publication switches to a separate “top income tax rates” method that applies flat percentages to the entire annualized wage amount:²

$1,077,550 to $5,000,000: 10.45%
$5,000,000 to $25,000,000: 11.10%
Over $25,000,000: 11.70%

The married filing jointly schedule uses the same bottom rates with different thresholds in the upper brackets.

The Three Withholding Methods

Publication NYS-50-T-NYS gives employers three approaches:²

Method I — Wage Bracket Tables. Pre-calculated lookup tables organized by pay period (weekly, biweekly, semimonthly, monthly, or daily). You find the row matching the employee’s wage range and the column matching their number of allowances. The intersection gives a specific dollar amount to withhold. This is the simplest approach for manual payroll.

Method II — Exact Calculation. An algebraic formula that subtracts the standard deduction and allowance value from gross wages, annualizes the result, applies the graduated rate schedule, then divides back down to the pay period. Automated payroll software typically uses this method because it produces more precise results than the bracket tables.

Method III — Top Income Tax Rates. Required for very high earners whose annualized net wages reach $1,077,550 (single) or $2,155,350 (married). Instead of the graduated schedule, you multiply the full annualized amount by a single flat rate and divide by the number of pay periods.

For most employees, Methods I and II produce nearly identical results. The difference matters mainly when wages fall near a bracket boundary, where the wage bracket table rounds to the nearest dollar and the exact calculation does not.

How to Use the Wage Bracket Tables

If you want to verify your own paycheck or run a small payroll by hand, the wage bracket tables (Method I) are the most accessible option.

Open Publication NYS-50-T-NYS and find the section matching your pay frequency: weekly, biweekly, semimonthly, monthly, or daily.²
The left columns show wage ranges labeled “At least” and “But less than.” Locate the row where your gross taxable wages for the pay period fall.
Move across that row to the column matching the number of allowances on your IT-2104.
The dollar figure at the intersection is what your employer should withhold for New York State income tax that pay period.

You don’t need to subtract the standard deduction yourself when using the wage bracket tables. It’s already built in. For 2026, the amounts folded into the tables are $7,400 for single or head of household and $7,950 for married. If your wages exceed the highest amount shown in the wage bracket tables, Method I doesn’t apply, and your employer must use the exact calculation (Method II) or the top-rate method (Method III).

Form IT-2104 Drives the Tables

Before any table lookup can happen, you need to file Form IT-2104, the Employee’s Withholding Allowance Certificate, with your employer. This is a New York form, separate from the federal W-4. Your employer uses the information on it (residency, marital status, allowances) to determine how much state and, if applicable, city tax to withhold.³

An allowance reduces the portion of income subject to withholding. More allowances, less tax withheld. Fewer allowances, more tax withheld. One detail that catches people out: you cannot claim an allowance for yourself or your spouse. Allowances are based on dependents, expected credits, and itemized deductions above the standard deduction.³

If you have meaningful non-wage income (freelance work, investment returns, rental income) and you’re not making estimated tax payments on it, reduce your allowances by one for each $1,000 of that income to force extra withholding from your paycheck.³

If the worksheet produces a negative number of allowances and your employer’s system can’t handle that, you can instead request an additional flat dollar amount withheld per pay period. The IT-2104 instructions peg this at $1.85 per week for each negative allowance on the state line.³

The federal W-4 controls only federal withholding. It does nothing for New York, and your employer cannot use it as a substitute. Start a new job with only a W-4 on file, and the employer will typically default your state withholding to single with zero allowances until you turn in an IT-2104.

Bonuses, Commissions, and Other Supplemental Wages

When your employer pays supplemental wages (bonuses, commissions, severance, accumulated overtime), New York allows and often requires flat-rate withholding instead of running the payment through the bracket tables. For 2026, the supplemental wage withholding rate is 11.70%.²

That’s the state’s top marginal rate. If you aren’t a top-bracket earner, the withholding on a bonus will exceed your real tax on that income, and the difference comes back when you file. Adjusting IT-2104 allowances won’t change how a bonus is withheld.

New York City and Yonkers Add On

Living in New York City or Yonkers means additional local withholding on top of the state amount. Each jurisdiction has its own publication with separate tables.⁴

New York City

NYC residents face a graduated city income tax with rates ranging from 3.078% to 3.876%, depending on income and filing status. The withholding tables sit in Publication NYS-50-T-NYC. For 2026, there were no changes to the NYC wage bracket tables or exact calculation methods, so employers continue using the January 2026 edition.⁴

Yonkers

Yonkers imposes a resident income tax surcharge calculated as a percentage of your NYS tax liability. The supplemental withholding rate for Yonkers residents is 1.95975%, and Yonkers nonresidents who work in the city face a separate 0.50% withholding rate. The tables are in Publication NYS-50-T-Y, updated for 2026.⁵

Your IT-2104 captures residency for both NYC and Yonkers, so filing it accurately matters if you live in either. Claiming you live outside the city when you don’t will underwithhold and leave a balance due at filing time.

Claiming Exemption from Withholding

Some employees can claim a complete exemption from NYS withholding by filing Form IT-2104-E instead of the regular IT-2104. You qualify if you meet one of two sets of conditions:⁶

Group A: you are under 18, over 65, or a full-time student under 25; you had no New York income tax liability for 2025; and you don’t expect to owe any for 2026.
Group B: you are the spouse of an active-duty military servicemember stationed in New York, you’re in the state solely to be with your spouse, and you’re domiciled in another state under the Servicemembers Civil Relief Act.

Meet every condition in at least one group, or you can’t claim the exemption. Getting a refund last year because withholding exceeded your liability is not the same as having “no tax liability.” The form looks at the tax itself, not whether you wrote a check.

When to File a New IT-2104

The Department of Taxation and Finance recommends completing a new IT-2104 every year and whenever your situation changes.⁷ Common triggers:

Getting married or divorced
Having or adopting a child
Starting a second job or significant freelance income
A large change in deductions, such as buying a home
Moving into or out of New York City or Yonkers

That last one is easy to overlook. Move from Manhattan to Westchester and NYC withholding should stop. Move the other direction and it needs to start. Either way, a new IT-2104 with your updated address is what makes the change happen.

The 2026 tables took effect January 1, 2026.¹ Your employer is responsible for applying the current-year tables, but glancing at your first paycheck of the year to confirm the withholding looks reasonable is worth the few minutes.

The Cost of Underwithholding

If withholding and estimated payments don’t cover enough of your annual tax, you’ll owe the balance on your IT-201 resident return, and the state may add interest. For the first quarter of 2026, New York’s underpayment interest rate on income tax is 9.5%.⁸ That rate adjusts quarterly and runs from the date the tax was due until it’s paid.

If you have substantial non-wage income and you’re relying entirely on paycheck withholding to cover it, you’re probably falling short. Either reduce your IT-2104 allowances or make quarterly estimated payments using Form IT-2105.

Where to Download the Publications

All three withholding publications are on the Department of Taxation and Finance website:¹

NYS-50-T-NYS: New York State withholding tables and methods (everyone)
NYS-50-T-NYC: New York City withholding tables (NYC residents)
NYS-50-T-Y: Yonkers withholding tables (Yonkers residents and nonresidents who work there)

Check the effective date on the cover. It should read January 1, 2026 for current payrolls. Using a prior year’s publication after new tables take effect produces incorrect withholding, and the error compounds with each paycheck until someone catches it.

1
New York State Department of Taxation and Finance. Withholding Tax Publications by Number and Tax Bulletins
2
New York State Department of Taxation and Finance. NYS-50-T-NYS – New York State Withholding Tax Tables and Methods
3
New York State Department of Taxation and Finance. Instructions for Form IT-2104 Employees Withholding Allowance Certificate
4
New York State Department of Taxation and Finance. Withholding Tax Rate Changes
5
New York State Department of Taxation and Finance. NYS-50-T-Y – Yonkers Withholding Tax Tables and Methods
6
New York State Department of Taxation and Finance. Form IT-2104-E Certificate of Exemption from Withholding Year 2026
7
New York State Department of Taxation and Finance. Tips and Reminders – Form IT-2104 Employees Withholding Allowance Certificate
8
New York State Department of Taxation and Finance. Interest Rates 1/01/2026 – 3/31/2026