Mexico Tax Calculator (2026)
Income tax rates and take-home pay for Mexico
Sponsored
Getting paid in a foreign currency?
Get paid in 22 currencies at the real exchange rate, with no hidden fees or mark-ups, so the take-home above isn't quietly shaved by FX fees.
Get a Wise accountWe may earn a commission if you sign up through this link.
Mexico Income Tax Brackets (2026)
| Bracket | Income Range | Rate |
|---|---|---|
| 1.92% bracket | MX$0 - MX$10,135 | 1.9% |
| 6.40% bracket | MX$10,135 - MX$86,022 | 6.4% |
| 10.88% bracket | MX$86,022 - MX$151,176 | 10.9% |
| 16.00% bracket | MX$151,176 - MX$175,736 | 16.0% |
| 17.92% bracket | MX$175,736 - MX$210,404 | 17.9% |
| 21.36% bracket | MX$210,404 - MX$424,354 | 21.4% |
| 23.52% bracket | MX$424,354 - MX$668,840 | 23.5% |
| 30.00% bracket | MX$668,840 - MX$1,276,926 | 30.0% |
| 32.00% bracket | MX$1,276,926 - MX$1,702,568 | 32.0% |
| 34.00% bracket | MX$1,702,568 - MX$5,107,704 | 34.0% |
| 35.00% bracket | MX$5,107,704+ | 35.0% |
Mexican Social Security Institute (IMSS) employee contribution
| Bracket | Income Range | Rate |
|---|---|---|
| IMSS employee rate | MX$0 - MX$1,070,155 | 3.3% |
Capped at MX$29,103 per year
Key Facts
Tax Year
2026
Currency
MXN
Top Rate
35.0%
Brackets
11 brackets
Allowance
None
Social Contributions
1 item
Assumptions
- · Model assumes resident individual for Mexican tax purposes with worldwide income.
- · Payroll taxes (e.g., 4% in Mexico City) are employer-side only and excluded from employee net pay calculation.
- · Personal deductions capped at lesser of 15% of income or MXN 213,973 (five times annual UMA of MXN 42,794.60). Medical expenses without cash payment restriction and retirement/education accounts have separate limits.
- · Charitable contributions limited to 7% of prior year's taxable income; conservative estimate uses current year 7% for forward projection.
- · Social security maximum annual employee contribution is MXN 29,103, applicable to earnings above MXN 1,070,155 annually.
- · Non-resident regime with exemption on first MXN 125,900 not modeled; assumes resident status.
- · No subnational income tax layers modeled; focus is national-level tax only.
Frequently asked questions
How many income tax brackets does Mexico have?
Mexico has 11 progressive income tax brackets, ranging from 1.92% on the lowest income up to 35% on income above MXN 5,107,703.93 annually. The brackets are designed to create a progressive tax system where higher earners pay a larger percentage of their income in taxes.
What is the maximum I can deduct for personal deductions in Mexico?
Your personal deductions are capped at the lesser of 15% of your income or MXN 213,973 per year. This limit applies to most personal deductions, though medical expenses without cash payment restrictions and retirement or education account contributions have separate higher limits.
Do I need to pay social security contributions as an employee in Mexico?
Yes, employees in Mexico contribute to the Mexican Social Security Institute (IMSS) at a rate of 3.25% on gross income, up to a maximum annual contribution of MXN 29,103. This contribution is tax deductible, meaning it reduces your taxable income before calculating income tax.
Are there regional or state income taxes in Mexico I should know about?
This calculator focuses on Mexico's national-level income tax only. Some states like Mexico City have employer-side payroll taxes (such as 4% in Mexico City), but these do not reduce your take-home pay as an employee. Be sure to research any additional taxes specific to the state or region where you'll be working.
What if I'm a non-resident moving to Mexico for work?
This calculator assumes you are a resident individual for Mexican tax purposes and will be taxed on your worldwide income. Non-residents may qualify for different tax treatment, including a potential exemption on the first MXN 125,900 of income, so you should consult a Mexican tax professional to confirm your residency status and applicable tax regime.
Compare Mexico with other countries
Other tax calculators
Compare Mexico with another country
See side-by-side tax breakdowns for any two countries