Iowa 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
Results
Income Before Tax
Take Home Pay
Total Tax
Average Tax Rate
$ = US Dollar
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
Average Local Income Tax
Total Tax
Take Home Pay
Federal Deductions
State Deductions
Average Tax Rate
Table of Contents
Summary
Enter your employment income into the paycheck calculator above to estimate how taxes in Iowa, 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 Iowa, as it shows you how much income tax you have to pay based on your salary and personal details.
To learn more about Iowa, 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 Iowa?
The state income tax rate in Iowa is progressive and ranges from 0.33% to 8.53% 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 Iowa?
The state income tax system in Iowa has nine different tax brackets. For more details, check out our detail section.
How Your Iowa Paycheck Works
The Hawkeye State is a place with a rich history and a vibrant economy. If you are planning on or are already working in Iowa, you might be curious about how your income will be taxed. By understanding how your paycheck works, you can better plan your budget and financial goals.
One of the taxes that you will have to pay as an employee in Iowa is the federal income tax. This is a tax that applies to your earnings regardless of where you live or work in the US.
How much federal tax that is withheld from your paycheck depends on several factors, such as your filing status and your income level. The W-4 form is a document that you fill out when you start a new job or when your personal or financial situation changes. It helps your employer figure out how much federal tax to withhold from each paycheck.
Another tax that you will have to pay is state income tax. Iowa has a progressive income tax system with nine different tax brackets that range from 0.33% to 8.53%. The more you earn, the higher your marginal tax rate will be. Only those earning above $78,435 will see the top rate of 8.53%.
Your employer will also need you to fill out a state form called the IA W-4. This document is similar to the federal W-4 form, but is instead specific to Iowa.
Within the state, there are many school districts that impose a surtax that applies to local residents. Curiously, this surtax is a percentage of your state income tax and not your income. The rate varies by district and can range from 0% to 20%. For example, if you live in a district with an 8% surtax rate and your state income tax liability is $1,000, you will pay an extra $80 for the surtax.
In addition to income taxes, you will also see some other withholdings on your Iowa paycheck. These may be related to federal and state programs that provide benefits or services to you or others. Some of these are mandatory, while others are optional or voluntary.
One of the mandatory items is the FICA tax, which stands for Federal Insurance Contributions Act. This tax funds the Social Security and Medicare programs, which provide retirement and health benefits to millions of Americans.
You and your employer each pay a portion of this tax based on your wages. The Social Security tax rate is 6.2% for both of you, up to a certain limit that changes every year. The Medicare tax rate is 1.45% for both of you, with no limit. However, if you earn more than a set amount in a year, you will also pay an extra 0.9% Medicare surtax on the excess amount.
Another type of withholding that you may see on your Iowa paycheck are pre-tax contributions. These reduce your taxable income before taxes are calculated, which means that you pay less tax overall. Some of these may include contributions to retirement plans (such as 401(k) or IRA), health savings accounts (HSA), flexible spending accounts (FSA), and more. These items are usually optional and depend on your employer’s benefit plan and your personal choices.
You might also have post-tax contributions withheld from your paycheck. These reduce your net pay after taxes are calculated, which means that they do not affect your tax liability. Post-tax ones may include charitable donations, union dues, and more.
State Income Tax Brackets
For 2022 tax year
| Taxable Income (USD) | Tax Rate |
|---|---|
| First 1,743 | 0.33% |
| From 1,743 to 3,486 | 0.67% |
| From 3,486 to 6,972 | 2.25% |
| From 6,972 to 15,687 | 4.14% |
| From 15,687 to 26,145 | 5.63% |
| From 26,145 to 34,860 | 5.96% |
| From 34,860 to 52,290 | 6.25% |
| From 52,290 to 78,435 | 7.44% |
| From 78,435 onwards | 8.53% |
Both a state standard deduction and standard personal tax credits exist and vary depending on your filing status.
One thing that is unique with the income tax situation in Iowa is that you're allowed to deduct your federal income tax from your state taxable income. This helps to reduce your state income tax. It's one of the few states with this perk.
More From Investomatica:
For sales tax, please visit our Iowa Sales Tax Rates and Calculator page.
Calculate Your Paycheck in Other States and US Regions
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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