Arizona Paycheck Calculator
Free Arizona paycheck calculator. Estimate your take-home pay with current Arizona state tax rates and federal withholdings. Calculate federal income tax, Social Security, Medicare, and Arizona state withholdings instantly.
What you should know about Arizona taxes
Arizona moved to a flat 2.5% income tax in 2023, making paycheck calculations much simpler. Combined with no city income taxes, Arizona workers keep a larger share of their earnings than in most states.
Arizona Income Tax Brackets — 2026
| Tax Rate | Taxable Income Range |
|---|---|
| 2.5% | All taxable income (flat rate) |
Arizona's Flat Tax Makes Things Simple
Since 2023, Arizona charges a flat 2.5% income tax on all earnings regardless of how much you make. That is one of the lowest flat rates in the country. A nurse in Phoenix earning $75,000 pays the same 2.5% rate as a software engineer making $150,000. No brackets to worry about, no phase-outs. This simplicity extends to your paycheck — your employer withholds exactly 2.5% for state tax, plus federal and FICA. Our calculator applies this flat rate automatically.
Living and Working in Arizona in 2026
Arizona's job market has grown rapidly, especially in the Phoenix metro area. Major employers like Intel, TSMC (the new semiconductor fab), and a booming healthcare sector have pushed wages up. The $14.35 minimum wage is indexed to inflation and adjusts every January. There are no city or county income taxes in Arizona, which is a significant advantage over states like Ohio where local taxes can add another 2–3%. Property taxes are also relatively low. One thing to watch: Arizona does tax retirement income, including Social Security benefits for high earners.