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Kentucky State Agencies and Forms


KENTUCKY MINIMUM WAGE (Effective 7/1/09)

Minimum Wage $7.25

For a complete review of minimum wage by state for 2017 »

Minimum Cash Wage (Tipped Employee) $2.13

Maximum Tip Credit $5.12

Employees covered by Kentucky's minimum wage law must be paid $7.25 an hour. If the federal minimum wage increases, the state minimum wage will increase by the same amount.

Kentucky Department of Revenue - Click here

Unemployment Insurance in Kentucky:
Taxable Wage Base in 2017 (Unchanged from 2016)
New Employer Rate (% Taxable Wages)
UI Rate - Min - Max  in 2017 (% Taxable Wages)
  0.6 - 9.75
Voluntary Contribution Permitted   Yes
Employee Deduction   None
Period Effective   Calendar Year 2017


Kentucky Income Tax Withholding

Register as employer by filing Form UI-1 (Application for Unemployment Insurance Employer Reserve Account)

Form UI Application - Click here

Employee Withholding Allowance Certificate: Form K-4

Withholding Method: Tables

Supplemental Wage / Bonus Rate: No provision


Employee Deduction: None


Employers are required to withhold federal income taxes are also required to withhold Kentucky income taxes, including agricultural employers.

Under reciprocal tax agreements, residents of certain states who work in Kentucky are not subject to withholding of Kentucky income tax if these states grant an exemption from the withholding of their income tax to Kentucky residents who earn income in these states. Kentucky has entered into such agreements with Illinois, Indiana, Michigan, Ohio, West Virginia and Wisconsin. In addition, employees who reside in Virginia and commute daily to employment in Kentucky, or who reside in Kentucky and work daily in Virginia, are not subject to Kentucky withholding. Reciprocal agreements may vary from year to year as state laws change.

The information on this web page is furnished with the understanding that the publisher is not engaged in rendering legal or accounting advice. If legal or expert services are required, contact your attorney or accounting professional.

Use our Salary Paycheck Calculator for your Kentucky payroll.



Telephone Numbers: Kentucky Revenue Cabinet (phone and fax numbers, email); Department for Employment Services, Unemployment Insurance (click on map and then "Office Locations")

Withholding Tax Information on the Kentucky Revenue Cabinet website. Forms and information.

Download withholding tax forms on the Kentucky Revenue Cabinet website.



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