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Tax Year 2026Updated July 24, 2026

New Jersey Paycheck Calculator 2026

This calculator estimates your take-home pay as a New Jersey worker after federal income tax, FICA, and New Jersey's 7-bracket graduated income tax (rates from 1.40% to 10.75%). This includes a surtax on income above $1,000,000. Enter your salary, pay frequency, and filing status below.

New Jersey Income Tax Brackets 2026

Taxable IncomeRate
$0 - $20,0001.40%
$20,000 - $35,0001.75%
$35,000 - $40,0003.50%
$40,000 - $75,0005.53%
$75,000 - $500,0006.37%
$500,000 - $1,000,0008.97%
Over $1,000,00010.75%

Source: New Jersey Tax Authority

Retirees may benefit from partial pension income exclusions.

Millionaire Surtax in New Jersey

New Jersey imposes an additional surtax on taxable income exceeding $1,000,000. This means high earners face a combined top rate that is among the highest in the nation. The surtax applies to all filing statuses.

New Jersey Personal Exemption System

Instead of a standard deduction, New Jersey uses a personal exemption system. The exemption is $1,000 for single filers and $2,000 for married filing jointly. This amount is subtracted from your gross income before New Jersey's graduated tax brackets are applied. The personal exemption may phase out at higher income levels.

How Your New Jersey Paycheck Is Calculated

  1. Gross pay: Your annual salary divided by the number of pay periods.
  2. Federal income tax: 2026 progressive brackets (10%-37%) after the federal standard deduction of $16,100 (single) or $32,200 (MFJ).
  3. Social Security: 6.2% on wages up to $184,500.
  4. Medicare: 1.45% on all wages, plus 0.9% above $200,000 (single).
  5. New Jersey state income tax: 7-bracket progressive system (1.40% to 10.75%).

Retirement Income in New Jersey

New Jersey offers a partial exclusion for pension and retirement income. Some retirement income may be exempt or receive preferential treatment depending on the source and amount. verified_primary - NJ does not tax Social Security. Pension exclusion up to $100,000 (MFJ) / $75,000 (Single/HoH) / $50,000 (MFS) for taxpayers age 62+ with total income ≤$100,000. Phaseout $100K–$150K. Source: nj.gov/treasury/taxation/njit7.shtml.

What Else Comes Out of Your Paycheck in New Jersey

Beyond federal income tax, FICA, and New Jersey state income tax, New Jersey has additional payroll deductions that may appear on your pay stub:

ProgramEmployee RateNotes
New Jersey Temporary Disability Insurance (TDI)0.19%Short-term disability insurance - may also apply
New Jersey Family Leave Insurance (FLI)0.23%Paid family/medical leave - may also apply

Note: These deductions are not yet computed into the net pay estimate above. They are shown as informational lines because rates require verification. Your actual take-home pay may be lower by these amounts.

Worked Examples

Example 1: $55,000/year - Married Filing Jointly, Monthly

Profile: $55,000 annual salary, Married Filing Jointly filer, paid monthly (12 paychecks/year)

Gross per period: $4,583.33
Federal income tax: -$190.00
Social Security: -$284.17
Medicare: -$66.46
New Jersey state income tax: -$77.29
Net take-home pay: $3,965.41 per paycheck ($47,585/year)
Effective total tax rate: 13.48%

Example 2: $110,000/year - Single, Semi-monthly

Profile: $110,000 annual salary, Single filer, paid semimonthly (24 paychecks/year)

Gross per period: $4,583.33
Federal income tax: -$640.42
Social Security: -$284.17
Medicare: -$66.46
New Jersey state income tax: -$203.36
Net take-home pay: $3,388.92 per paycheck ($81,334/year)
Effective total tax rate: 26.06%

Example 3: $48,000/year - Head of Household, Biweekly

Profile: $48,000 annual salary, Head of Household filer, paid biweekly (26 paychecks/year)

Gross per period: $1,846.15
Federal income tax: -$96.46
Social Security: -$114.46
Medicare: -$26.77
New Jersey state income tax: -$29.62
Net take-home pay: $1,578.84 per paycheck ($41,050/year)
Effective total tax rate: 14.48%

New Jersey Tax Notes

  • Graduated brackets: 7 brackets from 1.40% to 10.75%.
  • Millionaire surtax: Additional tax on income above $1,000,000.

New Jersey does not impose local income taxes. Property taxes are assessed locally and are among the highest in the nation. Urban Enterprise Zones offer reduced sales tax (3.3125%, half the state rate).

OBBBA Conformity

New Jersey has decoupled from the federal OBBBA deductions. The tips and overtime deductions apply only on your federal return. New Jersey continues to tax those wages at its regular rates.

Frequently Asked Questions

What taxes are deducted from my New Jersey paycheck?
Your New Jersey paycheck has deductions for federal income tax (10%-37%), FICA (Social Security + Medicare), and New Jersey state income tax using graduated brackets (7 brackets).
How accurate is this paycheck calculator?
This calculator estimates take-home pay using 2026 federal and New Jersey state tax rates. It models federal income tax, FICA, and state income tax. It does not include pre-tax deductions (401(k), HSA, health insurance premiums), post-tax deductions, or state-specific payroll taxes (disability insurance, paid leave). Your actual paycheck may differ.
How do New Jersey's income tax brackets work?
New Jersey uses a graduated (progressive) income tax with 7 brackets. Each bracket applies only to income within that range, not your entire income. For example, if you earn enough to reach the third bracket, only the income above the second bracket's threshold is taxed at the third bracket's rate.
What tax bracket am I in for New Jersey?
Your New Jersey bracket depends on your taxable income (after deductions) and filing status. The calculator above shows your effective state tax rate, which is usually lower than your marginal bracket rate because lower portions of your income are taxed at lower rates.
Does New Jersey's millionaire surtax apply to my bonus?
If your total taxable income (including the bonus) exceeds $1,000,000, the surtax applies to income above that threshold. For supplemental wages like bonuses, New Jersey may withhold at a supplemental rate, but your actual liability depends on your total annual income.
Is my pension or retirement income taxed in New Jersey?
New Jersey offers a partial exclusion for pension and retirement income. Some retirement income may be exempt or receive preferential treatment depending on the source and amount. Social Security benefits are not taxed at the state level.
Does New Jersey conform to the OBBBA overtime and tips deductions?
No. New Jersey has decoupled from the federal OBBBA deductions for tips and overtime. The federal deductions still reduce your federal taxable income, but New Jersey adds them back, so your state tax on those wages is unchanged. does_not_apply_structural - New Jersey Gross Income Tax (GIT) uses its own gross income definition (N.J.S.A. 54A:5-1) and does NOT start from federal adjusted gross income. NJ computes taxable income independently of the federal return. OBBBA deductions that reduce federal AGI have no automatic effect on NJ GIT liability. This is a PA-pattern structural non-conformity: the state tax system's computation base is independent of the federal one. NJ would need to enact specific legislation to adopt OBBBA deductions. No such legislation has been identified.
What is New Jersey Temporary Disability Insurance (TDI) and why is it on my pay stub?
New Jersey Temporary Disability Insurance (TDI) is a state-mandated payroll deduction in New Jersey that funds short-term disability benefits for workers who cannot work due to non-work-related illness, injury, or pregnancy. The employee rate is approximately 0.19%. This is separate from workers' compensation (which covers on-the-job injuries) and is deducted from your paycheck in addition to federal and state income taxes.
What is New Jersey Family Leave Insurance (FLI) and how does it affect my paycheck?
New Jersey Family Leave Insurance (FLI) is a New Jersey program that provides paid leave for family caregiving, bonding with a new child, or serious medical conditions. Your paycheck includes a deduction of approximately 0.23% to fund this program. This deduction is separate from federal and state income taxes and appears as its own line on your pay stub.