Indiana Paycheck Calculator

Yes, the calculator utilizes the most current enacted state income tax rate for the 2026 tax year. Indiana has a schedule of rate reductions, and the tool reflects the specific rate valid for 2026.

County tax rates in Indiana are set locally and vary significantly. If you live in a county with a rate near 2.5% or 3%, it will take a noticeable chunk of your pay. The calculator accurately reflects these local laws.

To calculate overtime, calculate your total gross pay manually first (Regular Hours * Rate) + (Overtime Hours * 1.5 * Rate). Enter this total sum into the “Gross Pay” field of the calculator for the specific pay period.

Generally, no. Contributions to a traditional 401(k) are pre-tax for both Federal and Indiana state purposes. The Indiana Paycheck Calculator deducts this amount from your gross pay before applying the state tax rate.

Indiana has reciprocity with Kentucky, Michigan, Ohio, Pennsylvania, and Wisconsin. If you live in one of these states and work in Indiana, you generally pay tax to your home state, not Indiana. This calculator is primarily for Indiana residents.

This filing status is for unmarried individuals who pay more than half the cost of keeping up a home for a qualifying person (like a child). Selecting this in the Indiana Paycheck Calculator usually results in lower federal tax than “Single” status.

In Indiana, school district taxes are generally bundled into the County Local Income Tax (LIT). The county rate used in the calculator includes the portions allocated for schools, safety, and property tax relief.

Bonuses are often taxed at a flat federal “supplemental rate” (often 22%) rather than the standard bracket method. The Indiana Paycheck Calculator typically uses the standard bracket method, which may differ slightly from how your employer processes a bonus.

You can use it to estimate taxes, but remember that 1099 contractors must pay the “employer” portion of FICA as well (Self-Employment Tax). The standard Indiana Paycheck Calculator calculates the employee portion only.

County rates can change annually, usually effective January 1st or October 1st. The Indiana Paycheck Calculator database is updated to reflect the rates active for the 2026 tax year.

The calculator focuses on payroll withholding. Tax credits like the Child Tax Credit are typically claimed on your annual tax return (Form 1040) and may result in a refund later, but they don’t always change paycheck withholding unless adjusted on a W-4.

Yes. If your annualized salary entered in the Indiana Paycheck Calculator exceeds the federal threshold ($200,000 for Single), the tool automatically applies the 0.9% surtax.

HSA contributions made through payroll deduction (Section 125) are generally exempt from Federal, Social Security, Medicare, and Indiana State tax. Entering this in the pre-tax deduction field of the Indiana Paycheck Calculator will yield the correct result.

Changes in federal brackets, the Indiana state rate reduction, or changes in your county’s local tax rate can all affect net pay. The Indiana Paycheck Calculator for 2026 captures these year-over-year changes.