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Illinois Paycheck Calculator (2026)

Illinois has a flat 4.95% state income tax (no graduated brackets). This calculator shows your exact 2026 net take-home after federal, Illinois state, and FICA — for weekly, biweekly, semi-monthly, or monthly pay.

🟢 Updated June 2026👤 Reviewed by MoneyMath Editorial⚡ Runs in your browser · inputs never leave your device
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Net Take-Home Per Paycheck
$1,915
$49,783/year · 20.0% effective tax rate
Gross per paycheck$2,692
Pre-tax deductions (annual)− $6,200
Federal income tax− $5,650
Illinois state tax (4.95% flat)− $3,012
FICA — Social Security (6.2%)− $4,340
FICA — Medicare (1.45%)− $1,015
Annual net take-home$49,783
Show the formula
federal taxable = gross − pre-tax deductions − std deduction
IL taxable = gross − 401k − HSA − health − $2,950 exemption
IL tax = IL taxable × 4.95% (flat)
net = gross − federal − IL − FICA − pre-tax

How the Illinois paycheck calculator works

This calculator computes your exact 2026 Illinois net pay using the current 4.95% flat state rate, federal IRS brackets, and FICA. Illinois's tax system is among the simplest in the U.S. — a single flat rate applies to everyone regardless of income level. Plus a personal exemption of $2,950 per person ($5,900 for MFJ).

Enter annual gross salary, filing status, and pay frequency. The result panel updates instantly with each deduction. Adjust 401(k), HSA, and health premium to model real take-home. Everything runs in-browser.

Illinois flat tax structure

Illinois is one of 10 U.S. states with a flat income tax (alongside Colorado, Indiana, Kentucky, Michigan, North Carolina, Massachusetts, Pennsylvania, and Utah). The 2026 rate is 4.95% on all taxable income — meaning a $50,000 earner and a $500,000 earner pay the same percentage.

Illinois voters rejected a graduated income tax constitutional amendment in 2020 (Fair Tax Amendment, Question 1 — 53% no), keeping the flat rate locked into the Illinois Constitution. Any change would require another constitutional amendment.

2026 Illinois tax facts

  • Flat rate: 4.95% on all taxable income
  • Personal exemption: $2,950 per person (taxpayer + spouse + dependents)
  • No standard deduction — Illinois starts from federal AGI
  • Earned Income Credit (EIC): 20% of federal EIC
  • Property Tax Credit: 5% of property taxes paid (max varies by AGI)
  • Education Expense Credit: 25% of qualified expenses up to $750 max

What's deducted from your Illinois paycheck

  • Federal income tax — 10-37% graduated based on bracket
  • Illinois state tax — 4.95% flat on taxable income (after personal exemption)
  • Social Security — 6.2% on first $176,100
  • Medicare — 1.45% (+0.9% above $200k single / $250k MFJ)
  • Pre-tax 401(k), HSA, Section 125 — reduce both federal AND IL state taxable
  • NO state disability or paid family leave deduction — Illinois doesn't have these

Chicago and Illinois local taxes

Illinois cities cannot levy a personal income tax (state-preempted). However:

  • Chicago: No city income tax. But high sales tax (10.25%) and many local fees (5.5% Chicago wheel tax, food tax, etc.)
  • Cook County: No income tax
  • DuPage, Will, Lake counties: No income tax

Illinois salary brackets — take-home at common income levels

Approximate 2026 net take-home for a single filer in Illinois with no 401(k):

Gross salaryFederal taxIL state taxFICAAnnual netBiweekly net
$30,000~$1,800~$1,340$2,295~$24,565~$945
$45,000~$3,600~$2,080$3,443~$35,877~$1,380
$60,000~$5,600~$2,820$4,590~$46,990~$1,807
$75,000~$8,200~$3,560$5,738~$57,502~$2,212
$100,000~$13,800~$4,800$7,650~$73,750~$2,837
$150,000~$26,500~$7,275$11,475~$104,750~$4,029
$200,000~$41,000~$9,750$14,950~$134,300~$5,165
$250,000~$56,500~$12,225$17,930~$163,345~$6,283

Illinois minimum wage in 2026

  • State minimum wage: $15.00/hour (final step of 2019 Lifting Up Illinois Working Families Act)
  • Tipped minimum: $9.00 cash wage with tips to bring total to $15.00
  • Youth minimum (under 18, ≤650 hours/year): $13.00/hour
  • Chicago: $16.20/hour (rises with CPI annually on July 1)
  • Cook County (excluding Chicago): $15.00/hour

Illinois overtime — federal FLSA applies

  • 1.5× regular rate for hours over 40 per workweek
  • No daily overtime rule (unlike California)
  • Exempt salary threshold: federal $58,656/year ($1,128/week)
  • One Day Rest in Seven Act: 24 consecutive hours off in every 7-day period (unless emergency)

Illinois self-employment, 1099, and freelance income

Illinois 1099 contractors owe:

  • Federal SE tax (15.3% on first $176,100 + 2.9% Medicare above)
  • Federal income tax
  • Illinois state tax 4.95% flat
  • No state SE tax addon
  • Estimated payments via IL-1040-ES (April 15, June 15, Sept 15, Jan 15 — federal schedule)

Illinois follows federal classification standards for contractor vs employee (no strict AB-5 equivalent).

Illinois bonus and supplemental wage tax

  • Federal flat: 22% under $1M cumulative
  • Illinois flat: 4.95% (same as regular)
  • FICA: 7.65%

A $10,000 Illinois bonus nets approximately: $10,000 − $2,200 (fed) − $495 (IL) − $765 (FICA) = ~$6,540.

Illinois retirement income tax — major exemption

Illinois is unusually retirement-friendly:

  • Social Security: Not taxed
  • Pension income (private + public): Not taxed by Illinois
  • 401(k) and Traditional IRA withdrawals: Not taxed by Illinois (provided you're at age 59½+)
  • Roth IRA withdrawals: Not taxed
  • Military retirement: Not taxed
  • Railroad Retirement: Not taxed

This is one of the most generous retirement income exemptions in the U.S. — Illinois retirees with $50,000+ in pension/401k/SS income often pay near-zero state tax in retirement.

Other Illinois financial considerations

  • Sales tax: 6.25% state + local (Chicago: 10.25% total, suburbs 7-8%, downstate 6.25-7%)
  • Property tax: Illinois has the SECOND HIGHEST property tax in the U.S. (2.05% effective avg). $300k home = ~$6,150/year. Cook County: 2.27%. DuPage: 2.06%. McHenry: 2.65%.
  • Estate tax: Illinois has its own estate tax ($4M exemption, top rate 16%) — fewer estate exclusions than federal
  • Vehicle registration: $151/year for standard passenger vehicles + Chicago wheel tax of $144

Best Illinois cities for take-home pay (cost-of-living adjusted)

CityCOL IndexMedian rent (1BR)Avg property tax
Springfield89$900$3,200
Peoria87$850$3,500
Rockford89$950$3,400
Aurora108$1,500$5,800
Naperville122$1,750$8,700
Chicago118$1,900$5,500
Evanston135$2,150$10,200
Oak Park128$1,900$10,500

Springfield, Peoria, and Rockford give the highest effective take-home; Chicago suburbs (Naperville, Evanston, Oak Park) absorb most of the tax savings into property tax.

Common Illinois payroll mistakes

  • Forgetting Illinois has no standard deduction — only the $2,950 personal exemption applies, so IL taxable starts close to federal AGI
  • Not claiming the Property Tax Credit on IL-1040 — 5% of property taxes paid, especially valuable for high-property-tax IL residents
  • Misclassifying retirement income — IL retirees often forget their pension/401k is fully exempt and over-pay estimated taxes
  • Confusing IL flat rate with bracket logic — IL is 4.95% on EVERY dollar over $2,950 exemption; there are no progressive brackets
  • Not factoring in Illinois's #2 nationally property tax when comparing offers across states

Frequently Asked Questions

How is Illinois paycheck calculated?

IL paycheck = gross − federal income tax − IL state tax (4.95% flat) − Social Security (6.2% on $176,100) − Medicare (1.45%, +0.9% above $200k single) − pre-tax deductions. Illinois has no SDI or PFL deduction. Divide by pay periods to get per-check.

What is the Illinois state tax rate 2026?

Illinois has a flat 4.95% income tax rate on all taxable income, regardless of income level. After a $2,950 personal exemption ($5,900 for MFJ), every dollar is taxed at 4.95%. Illinois is one of only 10 U.S. states with a flat income tax.

Does Chicago have city income tax?

No. Illinois state law prohibits cities from levying personal income tax. Chicago, Naperville, Evanston, Aurora, and all other Illinois cities have zero city income tax. Chicago does have very high sales tax (10.25%) and various local fees.

What is the Illinois minimum wage in 2026?

State minimum: $15.00/hour (final step of the 2019 Lifting Up Illinois Working Families Act). Tipped: $9.00 cash with tips bringing total to $15.00. Youth (under 18, ≤650 hours/yr): $13.00. Chicago: $16.20/hour. Cook County (non-Chicago): $15.00.

Does Illinois have state disability insurance?

No. Unlike California (1.2%), New York (~$31/year + 0.388% PFL), New Jersey, Rhode Island, and Hawaii, Illinois has no SDI or PFL deduction on your paycheck. Workers needing disability coverage must purchase private coverage or rely on federal SSDI.

Does Illinois tax retirement income?

No — Illinois is one of the most retirement-friendly states. Illinois does NOT tax Social Security, private pensions, public pensions, military retirement, 401(k) withdrawals (age 59½+), or Traditional IRA withdrawals. Roth IRA withdrawals are also tax-free. Many IL retirees pay near-zero state tax.

What's the Illinois W-4 equivalent?

Form IL-W-4 — Employee's Illinois Withholding Allowance Certificate. Submit at hire and when your situation changes (marriage, dependents, second job). Separate from the federal W-4 because Illinois uses its own withholding tables.

How does Illinois self-employment tax work?

Illinois 1099 contractors owe federal self-employment tax (15.3% + 2.9% Medicare), federal income tax, and Illinois state tax 4.95% — no separate state SE tax. Quarterly estimates use Form IL-1040-ES on federal schedule (April 15, June 15, Sept 15, Jan 15).

Does Illinois tax bonuses differently?

No — Illinois bonus withholding is the same flat 4.95% as regular wages. Federal adds 22% supplemental rate (37% above $1M cumulative). FICA adds 7.65%. A $10,000 Illinois bonus nets approximately $6,540.

Why does Illinois have such high property tax?

Illinois is the SECOND HIGHEST in the U.S. at 2.05% effective average (only New Jersey is higher). Reasons: (1) IL flat 4.95% state income tax is relatively low and funds less of school/municipal needs; (2) Cook County's pension obligations push property tax higher; (3) Illinois Constitution caps state income tax growth, shifting burden to property tax. A $300k IL home generates ~$6,150/year in property tax vs ~$2,580 in California.

Should I move out of Illinois to save tax?

For a $100k earner, IL state tax is ~$4,800 — moving to TN, FL, or TX saves about $4,800/year on wages. BUT: Illinois has zero retirement income tax, which makes IL excellent for retirees but worse for active workers compared to retiree-tax-friendly states. Property tax differential is also significant — IL #2 nationally vs TX #8 vs FL ~25th.

How accurate is this calculator for 2026 IL withholding?

Uses 2026 IL Department of Revenue flat 4.95% rate, $2,950 personal exemption, and $176,100 SS wage base. Federal portion uses 2026 IRS brackets and $15,000/$30,000 standard deductions. Assumes you take standard deduction federally with no other credits (CTC, EITC, IL Property Tax Credit). Reconcile at tax time on IL-1040.

What pre-tax deductions reduce my Illinois paycheck taxes?

Pre-tax 401(k), HSA (Illinois conforms to federal HSA treatment), Section 125 cafeteria plan items (medical/dental/vision, FSA medical, FSA dependent care), and qualified transportation. All reduce federal AND IL state taxable income.

Does Illinois have local income tax in any city?

No Illinois city has a personal income tax (state-preempted). Chicago, Cook County, DuPage, Lake, Will — all zero local income tax. Some cities have additional sales surtax or local fees, but no income tax line on your paycheck.

How is Illinois capital gains taxed?

Illinois treats capital gains as ordinary income at 4.95% flat (no preferential long-term rate at the state level). Federal: 0/15/20% based on bracket. A high-earning Illinois investor pays an effective 25-29% on long-term capital gains (federal + state combined).

Does Illinois tax stock options and RSUs?

Yes — Illinois taxes RSU vesting as W-2 wages at the flat 4.95% rate. NSO exercise gains taxed as ordinary income. ISO bargain element taxed federally as AMT income; Illinois doesn't have AMT and treats ISO disqualifying disposition as ordinary income.

What if I live in Illinois but work in Indiana, Wisconsin, Iowa, Michigan, or Kentucky?

Illinois has reciprocity with these 5 states — your wages from a job in those states are taxed by Illinois only (your home state), not by the work state. Submit Form WH-47 (Indiana), W-220 (Wisconsin), 44-016 (Iowa), MI-W4-N (Michigan), or 42A809 (Kentucky) to your out-of-state employer to claim the reciprocity exemption.

How does the Illinois Property Tax Credit work?

Illinois residents can claim 5% of their property tax paid as a refundable credit on IL-1040. Caps and phase-outs apply based on AGI ($500,000 single / $250,000 MFJ phase-out start). A homeowner paying $6,000 in property tax gets a $300 credit — modest but real.

How often does this calculator update?

IL flat rate, personal exemption, and minimum wage tracked at January and major mid-year updates from IL Department of Revenue. Federal brackets refresh every January. Current data: 4.95% IL flat (unchanged since 2017), $2,950 personal exemption, 2026 federal brackets, $176,100 SS wage base.