Property Tax Calculator
Property tax is charged on an assessed value that may be a fraction of market value, minus any exemptions, multiplied by the local rate. The effective rate on the price is often lower than the headline rate.
Annual property tax
$4,125.00
- Assessed value
- $400,000.00
- Taxable value after exemptions
- $375,000.00
- Monthly property tax
- $343.75
- Effective rate on market value
- 103.13%
Values update as you type. This calculator covers the single scenario its formula assumes — see Common Mistakes for what it leaves out.
The formula this calculator uses
Annual tax = (market value x assessment ratio - exemptions) x tax rate
- value
- Market value of the home
- ratio
- Share of market value that is assessed
- exemptions
- Amounts subtracted before taxing
- rate
- Local tax rate on assessed value
How to check the result by hand
- 1
Start from market value
Use a realistic current market value, not the original purchase price, because assessments track the market over time.
- 2
Apply the assessment ratio
Multiply the market value by the assessment ratio. Where the ratio is 100 percent, assessed and market value are the same.
- 3
Subtract exemptions
Take off any homestead, senior, veteran or disability exemptions. These reduce the taxable value, not the tax directly.
- 4
Apply the local rate
Multiply the taxable value by the rate. One mill equals one tenth of one percent, so a 1.1 percent rate is 11 mills.
- 5
Divide for the monthly cost
Divide the annual bill by twelve to see the monthly amount, which is what an escrow account collects alongside the mortgage.
For worked examples, common mistakes and the limits of this formula, read the full How To Calculate Property Tax page.