Indiana Paycheck Calculator 2026 – Estimate Your Take-Home Pay
Use our free Indiana Paycheck Calculator to estimate your net pay for the 2026 tax year. This tool acts as an IN net pay calculator by computing Federal withholding, FICA taxes, Indiana state income tax (flat 3.15%), and mandatory county income taxes. Indiana's unique county-based tax system significantly impacts your Indiana take home pay, making it essential to select your county for accuracy.
- State Tax Rate: 3.15% (Flat Rate)
- County Tax Rate: 0.5% – 3.38% (Varies by residence)
- Federal Tax: 10% – 37% (Based on brackets)
- Social Security: 6.2%
- Medicare: 1.45%
How the Indiana Paycheck Calculator Works
Our Indiana gross to net calculator uses the latest 2026 tax rules. Unlike states with just state-level tax, Indiana adds a local layer. We start with your gross earnings and subtract:
- Federal Withholding: Based on your filing status and IRS brackets.
- FICA Taxes: Mandatory contributions for Social Security (6.2%) and Medicare (1.45%).
- Indiana State Tax: Calculated at a flat 3.15% rate on your adjusted gross income.
- County Income Tax: A mandatory local tax based on where you live (not where you work), ranging from roughly 0.5% to over 3%.
Indiana Income Tax Rate (2026)
Indiana has a simple flat state tax but complex local taxes. This makes the Indiana income tax calculator logic dependent on your specific county.
State & Local Breakdown
| Tax Type | Rate |
|---|---|
| Indiana State Tax | 3.15% (Flat) |
| County Tax (e.g., Marion) | ~2.02% |
| County Tax (e.g., Hamilton) | ~1.10% |
| County Tax (e.g., Allen) | ~1.48% |
Note: County tax rates are updated annually by the Indiana Department of Revenue.
Federal Taxes That Apply to Your Paycheck
Federal Income Tax
The IRS imposes a progressive tax ranging from 10% to 37%. Your specific rate depends on your filing status and total taxable income.
Social Security & Medicare (FICA)
Every Indiana paystub calculator includes FICA. This deducts 6.2% of your gross pay for Social Security (up to the wage limit) and 1.45% for Medicare (on all earnings).
Indiana Paycheck After Taxes for $50,000 Salary
If you are a single filer living in Indianapolis (Marion County) earning $50,000 per year, your breakdown looks like this:
| Tax Description | Amount |
|---|---|
| Federal Tax (Est.) | $4,241 |
| FICA (7.65%) | $3,825 |
| State Tax (3.15%) | $1,575 |
| County Tax (Marion ~2.02%) | $1,010 |
| Estimated Take-Home Pay | $39,349 |
Minimum Wage & Cost of Living
Indiana adheres to the federal minimum wage of $7.25 per hour. The cost of living in Indiana is generally low compared to the national average, making housing and daily expenses more affordable, despite the local income taxes.
How to Increase Your Take-Home Pay
To maximize your Indiana salary calculator results, ensure your W-4 form is accurate. Contributing to pre-tax retirement accounts (401k/403b) reduces your taxable income, which lowers your federal, state, and county tax liabilities simultaneously.
FAQs – Indiana Paycheck Calculator
What is the Indiana state income tax rate?
Indiana uses a flat state income tax rate of 3.15% for all income levels and filing statuses for the 2026 tax year.
Does Indiana have local county taxes?
Yes. Indiana residents must pay a local income tax based on their county of residence. Rates typically range between 0.5% and 3.38%.
Does Indiana tax overtime pay?
Yes, overtime pay is taxed at the same rates (state flat 3.15% + county rate) as regular wages.