Iowa paycheck calculator
Iowa taxes income at one flat 3.8% rate, so the main things that change your Iowa withholding are your filing status and the allowance dollars on your IA W-4. Employers got an updated formula for 2026 to reflect tax law changes to the standard deduction.
Take-home per paycheck
$2,280
- Take-home per year
- $59,276
- Total taxes per year
- $15,724
- Effective tax rate
- 21%
- Marginal tax rate
- 33.4%
- Assumes $40 of IA W-4 allowances.
Take-home per paycheck: $2,280 every 2 weeks
| Line | Every 2 weeks | Per year |
|---|---|---|
| Gross pay | $2,885 | $75,000 |
| Federal income tax | −$295 | −$7,670 |
| Social Security | −$179 | −$4,650 |
| Medicare | −$42 | −$1,088 |
| State income tax | −$89 | −$2,316 |
| Take-home pay | $2,280 | $59,276 |
- Take-home pay$59,27679%
- Federal income tax$7,67010%
- Social Security & Medicare$5,7388%
- State & local taxes$2,3163%
How Iowa taxes your paycheck
- 3.8% flat
- One flat 3.8% rate on Iowa taxable income, after a standard deduction that matches the federal amount.
- None
- Iowa has no state payroll tax withheld from employees.
- None
- Iowa withholding covers state income tax only; our calculator includes no local wage taxes for Iowa.
- 3.8%
- When federal tax on a bonus is withheld at the flat federal rate, Iowa withholds 3.8% of the bonus. A bonus combined with regular pay goes through the normal formula.
Iowa income tax rates for 2026
These are the return rates. Your employer withholds using Iowa's withholding method (Four-step withholding formula (Iowa, effective January 1, 2026)), which the calculator above follows.
| Taxable income | Rate |
|---|---|
| Over $0 | 3.8% |
| Item | Amount |
|---|---|
| Standard deduction — Single | $16,100 |
| Standard deduction — Married filing separately | $16,100 |
| Standard deduction — Head of household | $24,150 |
| Standard deduction — Married filing jointly | $32,200 |
| Personal exemption credit (you and your spouse, each) (credit) | $40 |
| Dependent credit (each dependent) (credit) | $40 |
| Additional credit, age 65 or older or blind (each) (credit) | $20 |
$48,540 in Iowa
$48,540 is the median annual wage in Iowa (May 2025, BLS OEWS). A single filer paid every two weeks with no other income or deductions takes home $39,872 a year, or $1,534 per paycheck.
| Line | Every 2 weeks | Per year |
|---|---|---|
| Gross pay | $1,867 | $48,540 |
| Federal income tax | -$140 | -$3,645 |
| Social Security | -$116 | -$3,009 |
| Medicare | -$27 | -$704 |
| State income tax | -$50 | -$1,310 |
| Take-home pay | $1,534 | $39,872 |
How Iowa withholds from your paycheck
Employers start with your taxable pay for the period, subtract a fixed deduction that depends on your IA W-4 filing status, and multiply the rest by 3.8%. Then they subtract your allowance dollars from the IA W-4, spread over the year's paychecks.
Iowa's allowances are dollar credits rather than counts: one amount for yourself (larger if you file as head of household), one for a spouse who doesn't work, and one for each dependent. Employees with an older IA W-4 from 2023 or earlier are converted at a fixed dollar amount per allowance.
Married couples and two earners
The IA W-4 asks married employees whether their spouse also has earned income. Answering Yes makes the employer use the smaller single deduction, which helps two-earner couples avoid owing at tax time. Answering No uses the larger married deduction.
Pre-tax benefits and bonuses
Employer retirement-plan contributions such as 401(k) deferrals and pre-tax health insurance are not Iowa taxable wages, so they lower your withholding.
When your employer withholds federal tax on a bonus at the flat federal rate, Iowa takes 3.8% of the bonus. If the bonus is paid together with regular wages, it goes through the normal formula.
Working in Illinois
Iowa and Illinois have a reciprocal agreement. An Iowa resident working in Illinois pays income tax only to Iowa on those wages by giving the employer Illinois Form IL-W-5-NR along with an IA W-4, and Illinois residents working in Iowa pay only Illinois.
What changed recently
- 2026: The Department of Revenue updated the withholding formula and the IA W-4 for 2026 to reflect tax law changes affecting the standard deduction and itemized deductions. Source
Questions people ask
What is Iowa's income tax rate in 2026?
Iowa has a single flat rate of 3.8% for individuals. Employers withhold at that rate after subtracting a status-based deduction and your IA W-4 allowances.
What should I enter on the IA W-4 for allowances?
On line 1, enter $40 for yourself, or $80 if you qualify as head of household, plus $40 for a spouse who doesn't work. On line 2, enter $40 for each dependent. Extra amounts apply if you or your spouse are 65 or older or blind.
My spouse and I both work. How should we fill out the IA W-4?
Check Married filing jointly and answer Yes to the spouse-earned-income question. Your employer will then use the single deduction for each of you, which keeps your combined withholding closer to what you will owe.
How much Iowa tax is withheld from a bonus?
If your employer withholds federal tax on the bonus at the flat supplemental rate, Iowa withholds 3.8% of the bonus. If it is paid with your regular wages, the regular formula is used on the total.
I live in Iowa but work in Illinois. Which state taxes my wages?
Only Iowa, under the Iowa-Illinois reciprocal agreement. File Illinois Form IL-W-5-NR and an Iowa W-4 with your employer so it withholds Iowa tax instead of Illinois tax.
Sources
- Iowa Individual Income Tax Withholding Formula, Effective January 1, 2026 · retrieved 2026-10-16
- 2026 IA W-4 Employee Withholding Allowance Certificate and instructions (44-019, 11/13/2025) · retrieved 2026-10-16
- Iowa Withholding Tax Information · retrieved 2026-10-16
- Publication 15-T (2026), Federal Income Tax Withholding Methods · retrieved 2026-10-16
- Publication 15 (2026), (Circular E), Employer's Tax Guide · retrieved 2026-10-16
- Rev. Proc. 2025-32: 2026 inflation-adjusted tax items · retrieved 2026-10-16
- Form W-4 (2026), Employee's Withholding Certificate · retrieved 2026-10-16
- Publication 505 (2026), Tax Withholding and Estimated Tax · retrieved 2026-10-16
- Form 1040-ES (2026), Estimated Tax for Individuals · retrieved 2026-10-16
- Schedule 1-A (Form 1040) 2026, Additional Deductions (early-release draft) · retrieved 2026-10-16
- Schedule 8812 (Form 1040) 2026, Credits for Qualifying Children and Other Dependents (early-release draft) · retrieved 2026-10-16
- Working Families Tax Cuts: Individuals and workers (tips, overtime, seniors, car loan interest) · retrieved 2026-10-16
- Working Families Tax Cuts provisions (charitable deduction for non-itemizers, Section 70424) · retrieved 2026-10-16
- Child Tax Credit · retrieved 2026-10-16
- IR-2025-111: 401(k) limit increases to $24,500 for 2026 · retrieved 2026-10-16
- Rev. Proc. 2025-19: 2026 HSA limits · retrieved 2026-10-16
- BLS Occupational Employment and Wage Statistics (OEWS), May 2025, median annual wage by state · retrieved 2026-10-16