Illinois Payroll Calculator (2026)

By Mustafa Bilgic · Last updated 20 June 2026

This Illinois payroll calculator estimates 2026 take-home pay using Illinois’s flat 4.95% state income tax, the $2,925-per-allowance personal exemption, the 2026 federal brackets, and the 7.65% FICA tax. Unlike graduated states, every Illinois worker pays the same 4.95% marginal rate, which makes the math simple and predictable. Enter a salary or hourly rate and the number of withholding allowances to see your net pay.

This calculator provides estimates for educational purposes only and is not tax advice. Tax outcomes depend on your full return, withholding elections, pre-tax deductions, and local rules. Consult a qualified tax professional or official IRS and state guidance for your specific situation.

Illinois Payroll Calculator

Enter pay and press Calculate.

How the Illinois Payroll Calculator Works

Illinois uses a single flat income-tax rate of 4.95% in 2026 — there are no brackets. The state gives a personal exemption of $2,925 per allowance (up from $2,850 in 2025), claimed on Form IL-W-4. The calculator subtracts allowances × $2,925 from your wages, applies 4.95%, and adds the separate federal tax and FICA. Illinois does not tax retirement income such as Social Security or qualified pension distributions, but wages from a job are fully taxed.

2026 Illinois Payroll Tax Rates

Item2026 figure
IL flat income tax rate4.95%
Personal exemption (per allowance)$2,925
Additional exemption (age 65+ / blind)+$1,000 each
Social Security wage base$184,500 (6.2%)
Medicare1.45% (no cap)

Worked Example: $70,000 in Illinois

A single Illinois worker on $70,000 claiming one allowance pays 4.95% on $67,075 (after the $2,925 exemption) = $3,320 in state tax, plus about $6,570 federal tax and $5,355 FICA, netting roughly $54,755 a year. Because Illinois is flat, doubling your salary roughly doubles your state tax — there is no rising bracket to push you into.

Illinois vs Graduated States

A flat tax means high earners and middle earners pay the same 4.95% marginal rate. That benefits higher-income workers compared with graduated states like California or New York, but gives less relief to lower earners than a progressive system would. Illinois’s relatively high property taxes are the bigger overall burden for many households, though they do not appear on your paycheck.

Frequently Asked Questions

What is the Illinois income tax rate for 2026?

Illinois has a flat 4.95% individual income tax rate for 2026, with no brackets. Every worker pays the same marginal rate on taxable wages after the personal exemption.

What is the Illinois personal exemption for 2026?

The personal exemption is $2,925 per allowance for 2026, up from $2,850 in 2025. Workers age 65+ or legally blind get an additional $1,000 exemption each. Allowances are claimed on Form IL-W-4.

How much is take-home pay on $70,000 in Illinois?

About $54,755 a year for a single filer claiming one allowance in 2026, after roughly $3,320 IL tax, $6,570 federal tax, and $5,355 FICA.

Does Illinois tax retirement income?

No. Illinois does not tax Social Security benefits or most qualified retirement and pension distributions. However, wages from employment are fully subject to the 4.95% flat tax.

Does Illinois have local income taxes?

No Illinois municipality levies a local income tax on wages. Your Illinois paycheck deductions are the flat 4.95% state tax, federal income tax, and FICA.