PayoutTaxProp firm payout tax set-aside table by state
Updated November 6, 2026 · For the 2026 tax year
The tax to set aside from a prop firm payout changes from state to state. This table puts all 50 states and DC side by side for one common situation, using my calculator's 2026 tax tables.
The scenario
- Single filer, 2026 tax year
- A $70,000 W-2 day job, so payouts stack on top of a salary
- $1,000 of payouts, with no trading costs
- State income tax only: no city, county or school-district tax
Federal income tax plus self-employment tax is the same in every state: $345.75 per $1,000. State tax goes on top.
Set aside per $1,000 of payouts, by state
| State | Federal + SE tax | State tax | Set aside per $1,000 |
|---|---|---|---|
| Alabama | $345.75 | $39.78 | $385.53 |
| Alaska | $345.75 | $0.00 | $345.75 |
| Arizona | $345.75 | $25.00 * | $370.75 |
| Arkansas | $345.75 | not verified | not verified |
| California | $345.75 | $74.35 | $420.10 |
| Colorado | $345.75 | $44.00 | $389.75 |
| Connecticut | $345.75 | $51.12 | $396.87 |
| Delaware | $345.75 | $61.34 | $407.09 |
| District of Columbia | $345.75 | not verified | not verified |
| Florida | $345.75 | $0.00 | $345.75 |
| Georgia | $345.75 | $49.90 | $395.65 |
| Hawaii | $345.75 | $70.63 | $416.38 |
| Idaho | $345.75 | $53.00 * | $398.75 |
| Illinois | $345.75 | $46.01 | $391.76 |
| Indiana | $345.75 | $29.50 | $375.25 |
| Iowa | $345.75 | $38.00 | $383.75 |
| Kansas | $345.75 | $51.86 | $397.61 |
| Kentucky | $345.75 | $35.00 | $380.75 |
| Louisiana | $345.75 | $30.00 | $375.75 |
| Maine | $345.75 | not verified | not verified |
| Maryland | $345.75 | $44.15 | $389.90 |
| Massachusetts | $345.75 | $50.00 | $395.75 |
| Michigan | $345.75 | $42.50 | $388.25 |
| Minnesota | $345.75 | $63.20 | $408.95 |
| Mississippi | $345.75 | $40.00 | $385.75 |
| Missouri | $345.75 | not verified | not verified |
| Montana | $345.75 | not verified | not verified |
| Nebraska | $345.75 | $42.29 | $388.04 |
| Nevada | $345.75 | $0.00 | $345.75 |
| New Hampshire | $345.75 | $0.00 | $345.75 |
| New Jersey | $345.75 | $55.25 | $401.00 |
| New Mexico | $345.75 | $43.68 | $389.43 |
| New York | $345.75 | $50.19 | $395.94 |
| North Carolina | $345.75 | $39.90 | $385.65 |
| North Dakota | $345.75 | not verified | not verified |
| Ohio | $345.75 | not verified | not verified |
| Oklahoma | $345.75 | $41.82 | $387.57 |
| Oregon | $345.75 | $63.43 | $409.18 |
| Pennsylvania | $345.75 | $30.70 | $376.45 |
| Rhode Island | $345.75 | $34.85 | $380.60 |
| South Carolina | $345.75 | $61.45 | $407.20 |
| South Dakota | $345.75 | $0.00 | $345.75 |
| Tennessee | $345.75 | $0.00 | $345.75 |
| Texas | $345.75 | $0.00 | $345.75 |
| Utah | $345.75 | not verified | not verified |
| Vermont | $345.75 | not verified | not verified |
| Virginia | $345.75 | $53.44 | $399.19 |
| Washington | $345.75 | $0.00 | $345.75 |
| West Virginia | $345.75 | $42.57 | $388.32 |
| Wisconsin | $345.75 | $55.17 | $400.92 |
| Wyoming | $345.75 | $0.00 | $345.75 |
Computed by the PayoutTax engine from the 2026 tables when this page was built. "Not verified" means the calculator doesn't estimate that state yet from 2026 figures I've checked, so I don't show a number. * I couldn't verify this state's 2026 deduction, so the estimate uses none (it may run slightly high). City and county taxes aren't included.
States marked "not verified"
My calculator doesn't estimate Arkansas, District of Columbia, Maine, Missouri, Montana, North Dakota, Ohio, Utah and Vermont yet, because I haven't built in 2026 figures I've checked against each one's own rules, so the table shows no number for them. Most of these tax income in brackets. Plan on the federal figure above plus your state's rate on the payout, or enter your state rate in the calculator.
How to use the table
- Scale it. In this scenario a $5,000 payout needs about five times the per-$1,000 figure, as long as your total income stays in the same brackets.
- Trading costs lower it. Evaluation fees and resets reduce your profit, and the table assumes none.
- Your situation changes it. No day job, a bigger salary, or married filing jointly gives a different number. See how much to set aside for other incomes, and state taxes on payouts for how each state's rules work.
- The QBI deduction isn't included. You may qualify, which would lower the federal part, so these figures lean high.
Get your own number
The free calculator runs the same engine on your payouts, costs, salary, filing status and state. Everything here is an estimate for planning, not tax advice: confirm with a CPA.
Sources
- IRS, Rev. Proc. 2025-32: 2026 tax brackets and standard deduction
- IRS, 2026 Form 1040-ES: the self-employment tax worksheet
- SSA, Contribution and benefit base: the 2026 wage base
- State rates, brackets and deductions come from each state's revenue department, listed with every figure in the 2026 tax tables and in the state guide
General information, not tax advice. This guide explains common rules for US funded traders; your situation may differ. It isn't a substitute for a licensed CPA or IRS enrolled agent, so review your own numbers with one before you file or pay.