Texas Payroll Calculator
Calculate your Texas take-home pay instantly. Texas has no state income tax, so you keep more of your paycheck. Enter your salary to see federal tax, FICA, and net pay breakdowns.
Texas Paycheck Calculator
Enter your gross salary, filing status, and pay frequency below. Since Texas has zero state income tax, your deductions are limited to federal income tax and FICA (Social Security + Medicare).
Your Texas Paycheck Breakdown
Tax Breakdown Visualization
How to Use This Tool
Getting an accurate Texas paycheck estimate takes less than a minute. Follow these steps:
- Enter your annual gross salary - This is your total salary before any deductions. If you know your hourly rate, multiply it by 2,080 (40 hours per week times 52 weeks).
- Select your filing status - Choose Single, Married Filing Jointly, or Head of Household. This affects your standard deduction and tax bracket thresholds.
- Choose your pay frequency - Select how often you get paid: weekly, biweekly, semi-monthly, or monthly.
- Add pre-tax deductions - Include annual 401(k) contributions, HSA contributions, or other pre-tax benefits. These reduce your taxable income.
- Click Calculate - The tool instantly shows your federal tax, FICA, and take-home pay broken down by year, pay period, month, and hourly rate.
The calculator uses 2024 federal income tax brackets and current FICA rates. Remember that actual paychecks may differ slightly due to employer-specific benefits, retirement matching, insurance premiums, and W-4 configurations.
Texas Has No State Income Tax
This is the single biggest financial benefit of working in Texas. The state constitution prohibits a personal income tax unless voters approve it through a referendum, and in 2019, Texas voters passed Proposition 4 which made it even harder by requiring a two-thirds supermajority in the legislature before it could even go to a ballot.
Here is how Texas compares to other major states on state income tax:
| State | Top Income Tax Rate | On $100K Salary (Single) | Annual Savings vs TX |
|---|---|---|---|
| Texas | 0% | $0 | - |
| Florida | 0% | $0 | $0 |
| California | 13.3% | ~$5,200 | $5,200 saved in TX |
| New York | 10.9% | ~$5,100 | $5,100 saved in TX |
| Illinois | 4.95% flat | ~$4,950 | $4,950 saved in TX |
| Georgia | 5.49% | ~$4,600 | $4,600 saved in TX |
| Colorado | 4.40% flat | ~$4,400 | $4,400 saved in TX |
| North Carolina | 4.50% | ~$3,800 | $3,800 saved in TX |
For a worker earning $100,000, choosing Texas over California saves about $5,200 per year in state taxes alone. Over a 30-year career, that is $156,000 in savings (not accounting for investment growth). This is a major reason why Texas has attracted over 1,000 companies and hundreds of thousands of new residents in recent years.
2024 Federal Income Tax Brackets
Since Texas has no state income tax, federal income tax is the primary tax that reduces your paycheck. Here are the 2024 brackets for each filing status. These apply to taxable income after subtracting the standard deduction.
Single Filers
| Tax Rate | Taxable Income Range | Tax Owed |
|---|---|---|
| 10% | $0 - $11,600 | 10% of taxable income |
| 12% | $11,601 - $47,150 | $1,160 + 12% of amount over $11,600 |
| 22% | $47,151 - $100,525 | $5,426 + 22% of amount over $47,150 |
| 24% | $100,526 - $191,950 | $17,168.50 + 24% of amount over $100,525 |
| 32% | $191,951 - $243,725 | $39,110.50 + 32% of amount over $191,950 |
| 35% | $243,726 - $609,350 | $55,678.50 + 35% of amount over $243,725 |
| 37% | Over $609,350 | $183,647.25 + 37% of amount over $609,350 |
Married Filing Jointly
| Tax Rate | Taxable Income Range | Tax Owed |
|---|---|---|
| 10% | $0 - $23,200 | 10% of taxable income |
| 12% | $23,201 - $94,300 | $2,320 + 12% of amount over $23,200 |
| 22% | $94,301 - $201,050 | $10,852 + 22% of amount over $94,300 |
| 24% | $201,051 - $383,900 | $34,337 + 24% of amount over $201,050 |
| 32% | $383,901 - $487,450 | $78,221 + 32% of amount over $383,900 |
| 35% | $487,451 - $731,200 | $111,357 + 35% of amount over $487,450 |
| 37% | Over $731,200 | $196,669.50 + 37% of amount over $731,200 |
Standard Deductions (2024)
The standard deduction is subtracted from your gross income before applying the tax brackets above. Most Americans take the standard deduction rather than itemizing. If you are over 65 or blind, you get an additional $1,550 (single) or $1,550 per spouse (married). Source: IRS Tax Inflation Adjustments for 2024.
FICA Tax Breakdown
FICA (Federal Insurance Contributions Act) includes Social Security and Medicare taxes. These are the same in every state, including Texas.
| Tax | Employee Rate | Employer Rate | Wage Base (2024) | Notes |
|---|---|---|---|---|
| Social Security | 6.2% | 6.2% | $168,600 | Applies only to earnings up to the wage base |
| Medicare | 1.45% | 1.45% | No limit | Applies to all earnings |
| Additional Medicare | 0.9% | 0% | Over $200K (single) | Only employee pays this surtax |
| Total FICA | 7.65% | 7.65% | - | Combined rate for most workers |
For a Texas worker earning $75,000:
- Social Security: $75,000 x 6.2% = $4,650/year ($178.85 per biweekly paycheck)
- Medicare: $75,000 x 1.45% = $1,087.50/year ($41.83 per biweekly paycheck)
- Total FICA: $5,737.50/year ($220.67 per biweekly paycheck)
The Social Security wage base increases each year. In 2023 it was $160,200, and for 2024 it is $168,600. If you earn above this amount, Social Security tax stops being withheld after you hit the cap. Medicare has no cap and applies to all earnings. Reference: Social Security Administration - Contribution and Benefit Base.
Pay Period Breakdowns
Here is how different salary levels translate to take-home pay across various pay periods for a single Texas worker with no pre-tax deductions (2024 rates):
| Annual Salary | Federal Tax | FICA | Annual Take-Home | Biweekly | Monthly |
|---|---|---|---|---|---|
| $40,000 | $2,744 | $3,060 | $34,196 | $1,315 | $2,850 |
| $50,000 | $3,944 | $3,825 | $42,231 | $1,624 | $3,519 |
| $60,000 | $5,466 | $4,590 | $49,944 | $1,921 | $4,162 |
| $75,000 | $8,028 | $5,738 | $61,234 | $2,355 | $5,103 |
| $100,000 | $13,528 | $7,650 | $78,822 | $3,032 | $6,569 |
| $125,000 | $19,528 | $9,563 | $95,910 | $3,689 | $7,993 |
| $150,000 | $25,528 | $11,475 | $112,997 | $4,346 | $9,417 |
| $200,000 | $38,028 | $13,923 | $148,049 | $5,694 | $12,337 |
These figures assume standard deduction, no dependents, and no pre-tax deductions. Your actual numbers may be higher or lower depending on your W-4 elections, 401(k) contributions, and other withholdings.
Common Deductions Guide
Understanding what gets taken from your gross pay helps you plan your finances. Here are the common deductions you will see on a Texas paycheck:
Pre-Tax Deductions (Reduce Taxable Income)
- 401(k) Contributions - Up to $23,000 in 2024 ($30,500 if over 50). Reduces your federal taxable income dollar-for-dollar.
- Traditional IRA - Up to $7,000 ($8,000 if over 50). May be deductible depending on income and plan availability.
- HSA (Health Savings Account) - $4,150 individual / $8,300 family in 2024. Triple tax advantage: deductible contributions, tax-free growth, tax-free qualified withdrawals.
- FSA (Flexible Spending Account) - $3,200 for healthcare FSA in 2024. Use-it-or-lose-it (or limited rollover up to $640).
- Health Insurance Premiums - Employer-sponsored premiums paid pre-tax through Section 125 cafeteria plans.
- Commuter Benefits - Up to $315/month for transit or parking in 2024.
Post-Tax Deductions
- Roth 401(k) Contributions - Same limits as traditional 401(k) but paid with after-tax dollars. Withdrawals in retirement are tax-free.
- Roth IRA - Contributed with after-tax dollars. Income limits apply ($161,000 single, $240,000 married in 2024).
- Life Insurance (over $50K) - Employer-provided life insurance over $50,000 in coverage is taxable (imputed income).
- Garnishments - Court-ordered child support, student loan garnishments, or IRS levies.
Other Texas Taxes You Pay
While Texas does not tax your income, you still pay other taxes that can add up. Here is the full picture:
Sales Tax
Texas has a 6.25% state sales tax, and cities can add up to 2% more for a combined maximum of 8.25%. Most cities charge the full 8.25%. Groceries (unprepared food), prescription drugs, and some clothing items are exempt from sales tax. This is significant - in Austin, Dallas, Houston, and San Antonio, the total sales tax is 8.25% on most purchases.
Property Tax
This is where Texas makes up for the lack of income tax. Texas property tax rates average about 1.74% of assessed value, which is among the highest in the nation. On a $350,000 home, that is roughly $6,090 per year. Some areas like Fort Bend County and Collin County have effective rates over 2%. However, Texas offers a homestead exemption that reduces your taxable value by at least $100,000 for school district taxes.
Vehicle Taxes and Registration
Texas charges a 6.25% motor vehicle sales tax when you buy or import a vehicle. Annual registration fees range from $50 to $75 depending on vehicle age. There is also an annual vehicle inspection fee of $25.50 (safety only) or $39.75 (safety plus emissions in some counties).
Franchise Tax
Businesses in Texas pay a franchise tax (also called the margin tax). It is 0.375% for wholesale and retail businesses, and 0.75% for others. Businesses with less than $2.47 million in revenue are typically exempt. This does not apply to W-2 employees but is relevant for self-employed individuals and LLC owners.
Texas Workforce Commission and Unemployment
The Texas Workforce Commission (TWC) manages the state's unemployment insurance program. Here is what you know:
Employer-Paid Unemployment Tax (SUTA)
| Detail | Value |
|---|---|
| Tax Rate Range | 0.31% to 6.31% |
| New Employer Rate | 2.7% |
| Taxable Wage Base | $9,000 per employee |
| Maximum Tax Per Employee | $567.90 |
| Who Pays | Employer only (not deducted from employee pay) |
Employees do not pay unemployment tax in Texas. Your employer pays the full SUTA amount. The rate depends on the employer's experience rating (claim history). New employers start at 2.7% and their rate adjusts over time based on how many former employees file unemployment claims.
Unemployment Benefits
If you lose your job in Texas, you may be eligible for unemployment benefits. The maximum weekly benefit is $577, payable for up to 26 weeks. To qualify, you have earned at least $2,028.01 in your highest-earning quarter during the base period and have been laid off through no fault of your own.
Texas Salary Comparison
How do Texas salaries compare to the national average? Here are median annual wages for common occupations in Texas, based on Bureau of Labor Statistics data:
| Occupation | Texas Median | National Median | TX Take-Home (Est.) |
|---|---|---|---|
| Software Developer | $115,000 | $127,260 | $89,800 |
| Registered Nurse | $80,200 | $81,220 | $64,100 |
| Accountant | $76,000 | $78,000 | $61,500 |
| Mechanical Engineer | $96,000 | $95,300 | $76,200 |
| Teacher (K-12) | $57,000 | $61,690 | $47,200 |
| Electrician | $55,000 | $60,040 | $45,600 |
| Truck Driver | $50,000 | $48,310 | $42,000 |
| Restaurant Manager | $58,000 | $61,000 | $48,000 |
| Oil/Gas Engineer | $137,000 | $131,800 | $103,500 |
| Administrative Asst. | $40,000 | $41,000 | $34,200 |
While some Texas salaries are slightly below national medians, the zero state income tax combined with lower cost of living (especially housing outside Austin) means Texas workers often have higher real purchasing power than workers in high-tax states.
Texas Cost of Living
Texas generally offers a lower cost of living than the national average, though this varies significantly by metro area. Here is a comparison of major Texas cities:
| City | COL Index (US="100) | Median Home Price | 1BR Rent | Median HH Income |
|---|---|---|---|---|
| Houston | 93 | $305,000 | $1,200 | $57,000 |
| Dallas | 97 | $350,000 | $1,350 | $61,000 |
| San Antonio | 88 | $270,000 | $1,050 | $55,000 |
| Austin | 108 | $450,000 | $1,500 | $75,000 |
| Fort Worth | 91 | $310,000 | $1,150 | $60,000 |
| El Paso | 82 | $215,000 | $850 | $48,000 |
Austin is the most expensive major Texas city, largely driven by the tech industry influx. Houston, San Antonio, and Fort Worth remain well below the national average. The combination of affordable housing, no income tax, and decent wages makes these cities particularly attractive for workers and families.
Retirement Planning in Texas
Texas is one of the best states for retirement, and the tax structure is a big reason why. Here is what you should know about planning for retirement as a Texas worker:
Tax Advantages in Retirement
- No state tax on retirement income - 401(k) distributions, IRA withdrawals, pension income, and Social Security benefits are all free from state tax.
- No state estate or inheritance tax - Texas has neither, meaning your heirs receive the full inheritance without state-level taxes.
- Property tax breaks for seniors - Texans 65+ get an additional $10,000 homestead exemption, and school district taxes are frozen at the level they were when you turned 65.
Recommended Retirement Savings
| Age | Savings Target (x Salary) | At $75K Salary | Monthly 401(k) Needed |
|---|---|---|---|
| 30 | 1x salary | $75,000 | $450-600 |
| 40 | 3x salary | $225,000 | $800-1,200 |
| 50 | 6x salary | $450,000 | $1,200-1,800 |
| 60 | 8x salary | $600,000 | $1,500-2,500 |
| 67 | 10x salary | $750,000 | Target reached |
Because Texas takes $0 from your paycheck in state taxes, you have more room to save for retirement. A Texas worker contributing 15% of a $75,000 salary to a 401(k) saves $11,250 per year. Over 30 years at a 7% average return, that grows to approximately $1.13 million.
Tax Tips for Texas Workers
Even without state income tax, there are plenty of ways to reduce your overall tax bill and keep more money in your pocket:
- Max out your 401(k) - The $23,000 limit (2024) reduces your federal taxable income significantly. At a 22% bracket, that is $5,060 in federal tax savings alone.
- Use an HSA if eligible - If you have a high-deductible health plan, an HSA offers triple tax benefits. Contribute up to $4,150 (individual) or $8,300 (family).
- Claim all deductions - Even with the standard deduction, you may benefit from itemizing if you have large mortgage interest, property taxes (up to $10,000 SALT cap), or charitable donations.
- Take advantage of no state tax on investments - Capital gains, dividends, and interest income are only taxed federally. Texas residents keep more of their investment returns.
- Consider Roth contributions - Since you are already in a low-tax state, locking in your current low rates with Roth 401(k) or Roth IRA makes sense, especially if you might move to a high-tax state later.
- Watch the property tax - File for your homestead exemption as soon as you buy a home. It is free money - the minimum school district exemption alone saves $1,740+ per year.
- Review your W-4 annually - Life changes (marriage, kids, new job) affect your withholding. An incorrect W-4 means you are either lending the IRS money interest-free (big refund) or will owe at tax time.
Hourly to Annual Salary Conversion
Many Texas workers are paid hourly rather than salaried. Here is a quick reference for converting hourly wages to annual salary equivalents, assuming full-time work (40 hours per week, 52 weeks per year = 2,080 hours).
| Hourly Rate | Weekly | Biweekly | Monthly | Annual | TX Take-Home (Est.) |
|---|---|---|---|---|---|
| $12.00 | $480 | $960 | $2,080 | $24,960 | $22,100 |
| $15.00 | $600 | $1,200 | $2,600 | $31,200 | $27,200 |
| $18.00 | $720 | $1,440 | $3,120 | $37,440 | $32,000 |
| $20.00 | $800 | $1,600 | $3,467 | $41,600 | $35,200 |
| $25.00 | $1,000 | $2,000 | $4,333 | $52,000 | $43,200 |
| $30.00 | $1,200 | $2,400 | $5,200 | $62,400 | $51,300 |
| $35.00 | $1,400 | $2,800 | $6,067 | $72,800 | $59,300 |
| $40.00 | $1,600 | $3,200 | $6,933 | $83,200 | $66,700 |
| $50.00 | $2,000 | $4,000 | $8,667 | $104,000 | $81,400 |
| $75.00 | $3,000 | $6,000 | $13,000 | $156,000 | $116,500 |
If you work overtime, the overtime rate in Texas follows the federal FLSA standard: 1.5 times your regular hourly rate for hours worked over 40 in a single workweek. Texas does not have its own overtime law that exceeds the federal requirement. Some positions are exempt from overtime, including salaried workers earning over $43,888 per year who meet the duties test.
Major Texas Industries and Salaries
Texas has a diverse economy anchored by several high-paying industries. Understanding the salary ranges in each sector helps you gauge where your compensation fits.
Energy and Oil/Gas
Texas is the largest oil-producing state, and the energy sector remains a cornerstone of the economy. Petroleum engineers earn a median of $137,000, with senior roles exceeding $200,000. Even field technicians and rig operators earn $50,000-$80,000. Houston is the energy capital, home to major companies like ExxonMobil, ConocoPhillips, and Schlumberger.
Technology
Austin has transformed into a major tech hub, earning the nickname "Silicon Hills." Companies like Tesla, Oracle, Samsung, and Apple have significant operations in the Austin area. Software engineers in Austin earn $110,000-$160,000, while the Dallas-Fort Worth tech corridor offers similar ranges. The lack of state income tax makes Texas tech salaries go further than similar roles in California or Washington.
Healthcare
The Texas Medical Center in Houston is the largest medical complex in the world. Healthcare jobs range from registered nurses ($80,200 median) to surgeons ($300,000+). The rapid population growth in Texas has created strong demand for healthcare professionals at all levels, pushing wages upward.
Aerospace and Defense
San Antonio, Fort Worth, and Houston are major defense hubs. Lockheed Martin, Raytheon, and NASA Johnson Space Center provide thousands of engineering and technical jobs. Aerospace engineers in Texas earn $105,000-$140,000, with security clearance holders commanding premium salaries.
Construction and Real Estate
Texas's booming population drives a massive construction industry. The state builds more homes annually than any other. Construction managers earn $80,000-$120,000, electricians $50,000-$75,000, and real estate agents can earn well into six figures in hot markets like Austin and Dallas.
Self-Employment Taxes in Texas
If you are self-employed in Texas, your tax situation differs from W-2 employees in several important ways:
Self-Employment Tax (SE Tax)
As a self-employed individual, you pay both the employee and employer share of FICA taxes. This means 15.3% total (12.4% Social Security + 2.9% Medicare) on your first $168,600 of net self-employment income. Above that, you pay 2.9% Medicare only. Above $200,000 ($250,000 married), add the 0.9% Additional Medicare Tax for a total of 3.8% on high earnings.
| Self-Employment Income | SE Tax | Federal Income Tax | Total Tax | Net Income |
|---|---|---|---|---|
| $50,000 | $7,065 | $3,444 | $10,509 | $39,491 |
| $75,000 | $10,598 | $6,873 | $17,471 | $57,529 |
| $100,000 | $14,130 | $11,023 | $25,153 | $74,847 |
| $150,000 | $20,898 | $21,208 | $42,106 | $107,894 |
The good news for Texas self-employed workers: you still pay $0 in state income tax. In California, you would owe an additional 9.3% on most of this income. The 50% deduction for the employer-equivalent portion of SE tax also reduces your federal income tax.
Quarterly Estimated Payments
Self-employed workers must make quarterly estimated tax payments to the IRS if they expect to owe $1,000 or more. Due dates are April 15, June 15, September 15, and January 15. Since Texas has no income tax, you do not make state estimated payments - another advantage of being self-employed in Texas.
Texas Franchise Tax for Businesses
If your self-employment operates through an LLC or corporation, you may owe the Texas franchise tax (margin tax). The rate is 0.375% for retail/wholesale and 0.75% for others, but businesses with less than $2.47 million in revenue typically owe nothing. Sole proprietors without a separate business entity are generally exempt.
Browser Compatibility
This Texas payroll calculator works in all modern web browsers:
- Google Chrome - Version 90+ (Windows, Mac, Linux, Android, iOS)
- Mozilla Firefox - Version 88+
- Apple Safari - Version 14+ (Mac and iOS)
- Microsoft Edge - Version 90+ (Chromium-based)
- Samsung Internet - Version 14+
- Opera - Version 76+
The tool is with standard HTML5, CSS3, and vanilla JavaScript. No external libraries, cookies, or local storage required. The responsive design works on screens from 320px mobile to ultra-wide desktop.
Frequently Asked Questions
Does Texas have a state income tax?
No. Texas is one of nine US states with no state income tax. Texas workers only pay federal income tax, Social Security (6.2%), and Medicare (1.45%) from their paychecks. This means Texans typically keep more of each paycheck compared to workers in states with income taxes.
How much will my Texas paycheck be after taxes?
It depends on your gross salary, filing status, and deductions. For a $75,000 salary with single filing, expect roughly $61,000-$62,000 take-home annually. Use the calculator above for your exact numbers.
What is the FICA tax rate in Texas?
FICA is a federal tax, the same in every state. Social Security is 6.2% on earnings up to $168,600 (2024). Medicare is 1.45% on all earnings, plus 0.9% on earnings over $200,000 (single). Total FICA for most workers is 7.65%.
What are the 2024 federal income tax brackets?
For single filers: 10% up to $11,600, 12% to $47,150, 22% to $100,525, 24% to $191,950, 32% to $243,725, 35% to $609,350, and 37% above that. These apply to taxable income after the standard deduction ($14,600 single).
Does Texas have unemployment tax?
Yes, but only employers pay it. The Texas SUTA rate ranges from 0.31% to 6.31% on the first $9,000 of wages per employee. Employees do not see any unemployment tax deduction on their paychecks.
How does Texas make up for having no income tax?
Texas relies on sales tax (6.25% state + up to 2% local), property taxes (average 1.74%, among the highest nationally), oil and gas revenue, and franchise taxes on businesses. The property tax burden is particularly significant for homeowners.
Is it cheaper to live in Texas than California?
Generally, yes. Texas has no income tax (CA tops out at 13.3%), lower housing costs in most metros, and a lower overall cost of living. However, Texas has higher property taxes and comparable sales taxes. For a $100K earner, Texas saves roughly $5,200+ per year in state taxes alone.
What is the minimum wage in Texas?
Texas follows the federal minimum wage of $7.25 per hour. There is no separate Texas state minimum wage above the federal level. However, market wages are significantly higher in most industries, with the average hourly wage around $28-30 statewide.