Arkansas Paycheck Calculator

Easily estimate take home pay after income tax so you can have an idea of what to possibly expect when planning your budget

Last reviewed on January 29, 2023
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ResultsFlag of Arkansas, USA

Income Before Tax

Take Home Pay

Total Tax

Average Tax Rate

$ = US Dollar

Net Pay
Total Tax
Estimated Breakdown

Income Before Tax

Federal Income Tax

State Income Tax

State Tax Credits

Social Security

Medicare

State Disability Insurance

State Paid Family and Medical Leave (PFML)

State Unemployment Insurance

State Worker Comp

State Transit Tax

Mental Health Services Tax

Local Income Tax

Total Tax

Take Home Pay

Federal Deductions

State Deductions

Average Tax Rate

Summary

Map of Arkansas, USA

Enter your employment income into the paycheck calculator above to estimate how taxes in Arkansas, USA may affect your finances. You'll then get your estimated take home pay, an estimated breakdown of your potential tax liability, and a quick summary down here so you can have a better idea of what to possibly expect when planning your budget.

This paycheck calculator also works as an income tax calculator for Arkansas, as it shows you how much income tax you have to pay based on your salary and personal details.

To learn more about Arkansas, its income tax, and tax brackets, so that you can get a deeper understanding of how your budget and finances may be affected, scroll down to the detail section below!

Frequently Asked Questions

What is the income tax rate in Arkansas?

The state income tax rate in Arkansas is progressive and ranges from 0% to 4.9% while federal income tax rates range from 10% to 37% depending on your income. This paycheck calculator can help estimate your take home pay and your average income tax rate.

How many income tax brackets are there in Arkansas?

The state income tax system in Arkansas has 3 to 5 different tax brackets depending on the level of your income and what category it falls into. For more details, check out our detail section.

How Your Arkansas Paycheck Works

Imagine waking up to the sound of birds chirping, the smell of fresh air, and the sight of rolling hills and sparkling rivers. You’re in Arkansas, the Natural State, where you can enjoy a variety of outdoor activities, cultural attractions, and historical landmarks. That said, everyone still has to work and it’s important to understand how your paycheck is affected by taxes and other things.

First of all, you need to be aware of your gross pay, which is the amount you earn before any taxes or withholdings are taken out. If you have a yearly salary, your gross pay is just your salary. If you go by hourly rates, your gross pay is your rate times your hours worked.

The largest item that is withheld from your paycheck is the federal income tax, which is a progressive tax. The amount is based on the information you provide on Form W-4, which tells your employer how much tax to withhold. You can adjust your withholding by changing your filing status, claiming dependents, or requesting additional withholding. Be sure to review your Form W-4 periodically and update it whenever you have a change in your personal situation. Having your marital status change would be one example.

In addition to the federal income tax, you also need to pay the FICA taxes, which are the Social Security and Medicare taxes. These taxes fund the social insurance programs that help retirees, disabled people, etc. They are not affected by your Form W-4.

The Social Security tax is 6.2% of your gross pay up to a certain limit ($147,000 in 2022), and the Medicare tax is 1.45% of your gross pay with no limit. High income earners will also see an additional 0.9% Medicare surtax. Your employer matches these amounts (aside from the extra Medicare surtax) and also pays.

After the federal taxes, there's also state income tax. Arkansas has a progressive income tax system with rates that range from 0% to 4.9%, depending on your income level. The way these brackets vary is a little unique and we'll cover this more in detail further down the page.

Just like with federal income tax, Arkansas also has a state withholding form you'll need to fill out whenever you start a job. It's called Form AR4EC, which is the Arkansas Employee’s Withholding Exemption Certificate.

If you live and work in Texarkana (a city that straddles the border between Arkansas and Texas), you may be exempt from paying Arkansas state income tax on your wages earned within the city limits. To claim this exemption, simply specify your status on Form AR4EC.

A good benefit to working in Arkansas is that it does not have any local income taxes, so you don’t need to worry about paying any city or county taxes on your paycheck.

Outside of taxes, there might also be voluntary contributions taken from your paycheck. These are items that you choose to have taken out of your pay for various purposes, such as health insurance premiums, dental coverage, life insurance, retirement plan contributions, donations, etc. Some of these may be pre-tax or post-tax depending on their nature and eligibility.

Pre-tax items reduce your taxable income for both federal and state income taxes. For example, if you contribute to a 401(k) plan or an HSA plan, you lower your taxable income by the amount of your contribution. This means that you pay less tax overall.

Post-tax items are taken out of your pay after taxes have been withheld. For instance, if you donate to a charity, these amounts are subtracted from your net pay after taxes have been calculated. So these do not affect your tax liability.

State Income Tax Brackets

Arkansas is unique in that their tax brackets do not vary based on filing status. Instead, tax brackets vary based on whether your income is categorized as being below or above a certain amount. An annual income of $84,500 or less see tax rates that range from 0% to 4.9%.

For 2022 tax year

Taxable Income (USD)Tax Rate
First 5,0000%
From 5,000 to 10,0002%
From 10,000 to 14,3003%
From 14,300 to 23,6003.4%
From 23,600 to 84,5004.9%

On the other hand, an annual income higher than $84,500 see tax rates that range from 2% to 4.9%.

For 2022 tax year

Taxable Income (USD)Tax Rate
First 4,3002%
From 4,300 to 8,5004%
From 8,500 onwards4.9%

In August 2022, Arkansas legislators passed H.B. 1002. One of the changes involved adjusting the top marginal individual income tax rate from 5.5 to 4.9 percent for 2022 and following tax years.

A state standard deduction exists and varies depending on your filing status. Additionally, Arkansas offers some standard tax credits as well. These come in the form of personal tax credits.

In 2022, due to recent tax bracket changes, there is also another widely available tax credit in the form of a bracket adjustment credit for those earning between $84,500 and $90,600.

More From Investomatica:

For sales tax, please visit our Arkansas Sales Tax Rates and Calculator page.

Show Details about Federal Income Tax

Calculate Your Paycheck in Other Parts of North America

Disclaimer

  • The content shown on this page is strictly for educational purposes only. It does not represent advice nor is it a substitute for a professional advisor.
  • Estimated results are just estimates. They are not a guarantee of future results.
  • Tax situations vary widely and calculations can get very complex. This paycheck calculator only provides a rough estimate according to the most common scenarios for standard employment income that comes from an employer. If you are self-employed, your taxes might differ.
  • There may be additional deductions, credits, exemptions, allowances, reliefs, etc depending on many factors. Some factors are about your family such as the number of dependents, children, relatives, parents, etc. Other factors may include mortgage payments, property depreciation, charitible donations, additional voluntary retirement contributions, etc. Whether or not you are handicapped and/or disabled may also sometimes be an additional factor.
  • Depending on region and jurisdiction, salary bonuses may be treated and taxed differently from standard salary.
  • Calculators from other sites may show slightly different numbers due to different deductions/credits being included or they are based on data from a different year.
  • Generally, we review changes once a year since tax codes usually change once a year. If you notice a major miscalculation or error with our paycheck calculator (most likely caused by a typo somewhere), feel free to direct message us on twitter and let us know. However, if you have specific questions about your own personal situation, please consult a licensed tax professional.

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