Kansas tips tax calculator after SB 277 died
Kansas tips stay taxable: the state starts from federal adjusted gross income, and SB 277 — which would have created a $25,000 Kansas subtraction from 2026 — died in the Legislature.
What SB 277 proposed
The Division of the Budget’s fiscal note describes a subtraction starting in tax year 2026 for qualified tips shown on the employer’s IRS form, limited to $25,000 for an individual and $25,000 for each spouse on a joint return, with the Secretary of Revenue publishing a Kansas list of tipped occupations. It never passed, so Kansas follows federal AGI, which includes tips.
Kansas figures
| Cash wage / minimum | $2.13 / $7.25 |
|---|---|
| In force | July 1, 2026 |
| Next change | none scheduled |
| Tipped threshold | Not specified |
| Tips on the 2025 return | tips stay taxable in this state. Kansas starts from federal AGI, which still includes tips; SB 277, which would have created a subtraction, died. Source: Kansas Legislature |
| Tips on the 2026 return | tips stay taxable in this state. SB 277 would have started a $25,000 subtraction in 2026; it died in the 2026 session. Source: Kansas Legislature |
Federal rules govern tipped pay
The Kansas minimum wage act excludes any employment covered by the FLSA, so almost every Kansas restaurant follows the federal $2.13 cash wage and $5.12 tip credit, and the federal make-up rule applies each workweek.
A Wichita server
The federal deduction ($15,500) saves $1,730; Kansas taxes the tips anyway. A 34-hour week pays $72 in cash wages; with $140 of tips the employer must add $34 to reach $247.
Check a Kansas workweek under the FLSA
Where these figures come from
- Kansas Department of Revenue · Kansas Department of Labor
- SB 277 — Exempting certain qualified tips from state income tax (status: Died) (2026)
- Minimum Wages for Tipped Employees (table by state) (2026-07-01)
Federal rules: how the deduction works. Nearby: Nebraska, Missouri, Oklahoma, Colorado.
Figures verified against primary sources on