Iowa Paycheck Calculator

How to estimate your Iowa take-home pay in 2026

Iowa moved to a flat 3.8% state income tax rate on federally taxable wages, simplifying paycheck math compared with the old progressive bracket system. This calculator estimates your 2026 net pay after federal withholding, FICA payroll taxes, and Iowa state tax so you can plan monthly expenses and compare job offers with confidence.

Enter your annual salary or build it from hourly wages using our gross pay calculator. If you receive 26 paychecks per year, the biweekly pay calculator shows how gross and net amounts spread across the calendar. For federal tax details and dependent credits, see the income tax calculator and salary calculator.

What gets deducted from an Iowa paycheck

A typical Iowa W-2 paycheck includes three layers of mandatory withholding plus any voluntary deductions you elect through your employer:

• Federal income tax: Calculated from 2026 IRS brackets, your W-4 filing status, and qualifying child tax credits.
• FICA taxes: Social Security at 6.2% (capped at the 2026 wage base of $184,500) and Medicare at 1.45%, with an additional 0.9% on wages above $200,000 for single filers. Use our FICA tax calculator to isolate these amounts.
• Iowa state income tax: A flat 3.8% applied to federally taxable wages after pre-tax deductions.

Iowa does not levy a separate state disability insurance tax. Pre-tax 401(k) contributions and HSA deposits reduce both federal and Iowa taxable income, lowering overall withholding.

How Iowa flat tax is calculated

Iowa taxes the same federally taxable wage base that remains after the federal standard deduction and pre-tax retirement contributions. The flat rate applies directly:

Because the rate is flat, your Iowa marginal rate stays at 3.8% regardless of income level. That predictability makes Iowa competitive with other flat-tax Midwestern states like Indiana (2.95%) and Illinois (4.95%), while remaining lower than progressive neighbors like Minnesota.

Federal taxable wages in this calculator

Federally taxable wages start with gross annual salary, subtract pre-tax 401(k) deferrals and HSA contributions, then apply the 2026 federal standard deduction ($16,100 for single filers, $32,200 for married filing jointly, $24,150 for head of household). The resulting figure drives both federal bracket calculations and the Iowa flat tax.

Worked example: $65,000 salary, single, biweekly, 5% 401(k)

Consider a single Iowa employee earning $65,000 per year, paid biweekly, contributing 5% to a traditional 401(k), with no dependents or health premium deductions:

1. Pre-tax 401(k): $65,000 x 5% = $3,250 per year
2. Federal taxable wages: $65,000 - $3,250 - $16,100 (standard deduction) = $45,650
3. Iowa state tax: $45,650 x 3.8% = $1,734.70 per year
4. FICA: Social Security and Medicare on the full $65,000 gross (401(k) does not reduce FICA wages)
5. Estimated net per paycheck: About $1,915.88 biweekly after all withholdings

If you expect a performance bonus on top of base salary, estimate the gross amount with our bonus calculator and add it to your annual salary before running this tool.

Iowa vs. neighboring state tax burdens

Iowa sits in a region with varied tax policies. Compare your salary against Illinois (4.95% flat rate), Minnesota (progressive rates up to 9.85%), and Indiana (2.95% flat rate). Running the same inputs through each state calculator reveals how relocation affects your monthly budget.

Frequently asked questions