Indiana payroll · Updated November 6, 2026
Indiana paycheck calculator for 2026
See what comes out of an Indiana paycheck: federal income tax, Social Security, Medicare, Indiana’s flat 2.95% income tax for 2026 and the county income tax for the county you lived in on January 1. Enter a salary, an hourly rate or one paycheck.
Calculate my take-home payCalculate your Indiana take-home pay
Take-home pay per paycheck
$1,825.29
$47,458 a year
| Paycheck | Year | |
|---|---|---|
| Gross pay | $2,307.69 | $60,000 |
| Federal income tax | -$193.08 | -$5,020 |
| Social Security (6.2%) | -$143.08 | -$3,720 |
| Medicare (1.45%) | -$33.46 | -$870 |
| Indiana income tax (2.95%) | -$66.94 | -$1,740 |
| County income tax | -$45.84 | -$1,192 |
| Take-home pay | $1,825.29 | $47,458 |
2026 estimate for one paycheck, using the IRS percentage method and Indiana’s withholding formula. Your employer's payroll may differ by a few cents to a few dollars. Not tax advice.
What comes out of a Indiana paycheck
| Deduction | Rate | Applies to |
|---|---|---|
| Federal income tax | 10% to 37% | Wages after the W-4 standard amount, by filing status |
| Social Security | 6.2% | Wages up to $184,500 for 2026 |
| Medicare | 1.45%, plus 0.9% over $200,000 | All wages, no cap |
| Indiana income tax (2.95%) | 2.95% flat (2.90% from 2027) | Wages minus $1,000 per WH-4 exemption and $1,500 per dependent |
| County income tax | Set by each county (0.5% to 2.02% in the ten largest) | The same taxable wages, by county of residence on January 1 |
Example: $60,000 a year, paid every two weeks
| Line | Per paycheck | Year |
|---|---|---|
| Gross pay ($60,000 ÷ 26) | $2,307.69 | $60,000 |
| Federal income tax | −$193.08 | −$5,020 |
| Social Security (6.2%) | −$143.08 | −$3,720 |
| Medicare (1.45%) | −$33.46 | −$870 |
| Indiana income tax (2.95%) | −$66.94 | −$1,740 |
| County income tax | −$45.84 | −$1,192 |
| Take-home pay | $1,825.29 | $47,458 |
How Indiana withholding works
Indiana withholds 2.95% for 2026 after subtracting, per pay period, $1,000 a year for each exemption on Form WH-4 line 5 (you, your spouse, and extra ones for being 65 or older or blind), $1,500 for each dependent on lines 6 and 7, and $3,000 for each adopted child on line 8. The state rate has been falling: 3.05% in 2024, 3.0% in 2025, 2.95% in 2026, and 2.9% from 2027.
County tax is withheld on the same taxable wages at the rate of the Indiana county you lived in on January 1. If you live outside Indiana, the county where you principally worked on January 1 applies. Counties can change rates in January and October; the list here is the October 1, 2026 table.
Minimum wage in Indiana
Indiana’s minimum wage is $7.25 an hour, the federal rate. Indiana unemployment insurance is paid by employers; nothing is taken from employees’ pay.
Your federal withholding and Form W-4
Federal withholding is separate from the state’s and depends on your Form W-4: your filing status, the Step 2 box if you have two jobs or both spouses work, and the Step 3 amount for children and other dependents. Pre-tax 401(k), 403(b) and cafeteria-plan health premiums come out before income tax is figured. If you are paid on a 1099 instead of a W-2, nothing is withheld; use the self-employment tax calculator and plan for estimated payments.
Questions
How much is taken out of a $60,000 paycheck in Indiana?
For a single person paid every two weeks with no W-4 adjustments, one WH-4 exemption, living in Marion County, about $193.08 federal income tax, $143.08 Social Security, $33.46 Medicare and $66.94 Indiana income tax, plus $45.84 County income tax come out of each $2,307.69 paycheck, leaving about $1,825.29.
What is the Indiana income tax rate for 2026?
A flat 2.95%, plus county income tax. The state rate drops to 2.90% in 2027.
What is the Marion County income tax rate?
2.02% as of October 1, 2026, withheld on the same taxable wages as the state tax for people who lived in Marion County on January 1.
Which county tax do I pay if I moved during the year?
The county you lived in on January 1 sets your county tax for the whole year. If you lived outside Indiana on January 1, it is the county where you principally worked.
Why is my paycheck different from this calculator?
Payroll systems round differently, and paychecks can include things this calculator leaves out: overtime, bonuses withheld at the flat supplemental rate, after-tax deductions, extra withholding on your W-4, or W-4 Step 4 adjustments.
Owe at tax time, or getting too much back?
We prepare federal returns for clients in every state and can tell you how to set your W-4 so next year comes out closer. We work remotely through a secure portal, by phone or video.
Tax preparation serviceWhere these rules come from
- Indiana Departmental Notice #1: county tax rates and withholding (PDF)
- Indiana Department of Revenue: tax rates
- Indiana Department of Workforce Development: Unemployment insurance
- IRS Publication 15-T (2026): Federal Income Tax Withholding Methods
- IRS Topic 751: Social Security and Medicare withholding rates
Related
- Paycheck calculators for other states
- Indiana income tax and county rates
- What is FICA tax? Rates for 2026 and 2027
- Federal tax brackets for 2026 and 2027
- Self-employment tax calculator
- Illinois paycheck calculator
USTAXX prepares tax returns and offers tax planning. We are not a CPA firm and do not represent clients before the IRS. This page is general information, not tax advice for your situation.