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Indiana ยท 2026 tax year State-specific estimate

Indiana salary after tax calculator

Indiana charges a flat 3.05% state income tax on all taxable income, one of the lowest flat rates in the Midwest.

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Paycheck Breakdown

Pay Period Gross Pay Deductions Take-Home Pay

Indiana estimate

Estimated take-home

$0
0% Net Salary

Your estimate changes with filing status, Indiana rules, and the deductions you enter.

Take-Home: $0
Federal Tax: $0
IN State Tax: $0
FICA Taxes: $0
Pre-Tax Deductions: $0
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Indiana State Income Tax Guide (2026)

Indiana charges a flat 3.05% state income tax on all taxable income, one of the lowest flat rates in the Midwest.

1. Indiana Flat Tax Rate

Indiana applies a single flat income tax rate of 3.05% to taxable income. Unlike progressive states, the same rate applies whether you are an entry-level worker or a high earner, which makes the calculation straightforward.

2. Deductions and Conformance

Indiana does not offer a standard deduction, so the rate applies from the first dollar of taxable income. Pre-tax 401(k) contributions, HSA contributions, and employer health premiums reduce your Indiana taxable income.

3. Local Taxes to Watch

Indiana counties levy an additional local income tax (typically 0.5% to 2.0%) on top of the state rate, not included here.

Compare With Other Flat-Tax States

Indiana is one of several states using a flat income tax rate. Compare your take-home pay across flat-tax states: Illinois (4.95%), Pennsylvania (3.07%), Georgia (4.99%), North Carolina (3.99%), Arizona (2.5%), Colorado (4.4%), Michigan (4.25%), Iowa (3.8%), Kentucky (3.5%), Utah (4.55%), Mississippi (4.7%), Idaho (5.8%).

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Compare Take-Home Pay Across States

Wondering how your income taxes compare to other states? Explore our detailed guides and paycheck calculators for other states:

Frequently Asked Questions

What is the Indiana state income tax rate for 2026?
Indiana has a flat 3.05% income tax rate on all taxable income. The rate has been gradually reduced from 3.15% in prior years.
Does Indiana have a standard deduction?
Indiana does not have a standard deduction but does offer a personal exemption of $1,000 per filer.
Are 401(k) and HSA contributions deductible in Indiana?
Yes. Indiana starts from federal AGI, so pre-tax retirement, HSA, and health insurance contributions reduce your state taxable income.