California Paycheck Calculator

The calculator uses the most current projected tax brackets and standard deduction data available for the 2026 tax year. While official IRS and CA FTB tables are finalized late in the year, the calculator provides a highly precise estimate based on inflation-adjusted indices.

Yes. California has a mental health services tax surcharge of 1% on income over $1 million. The California Paycheck Calculator accounts for this in the state tax calculation for high earners.

California has the highest state income tax rates in the country, topping out at over 13% for top earners. Additionally, unlike many states, California does not have a low flat rate; it ramps up quickly. The calculator reflects these rigorous state schedules.

CA SDI stands for State Disability Insurance. It is a mandatory state tax deducted from your paycheck to fund disability and paid family leave benefits. For 2026, it is calculated as a percentage of your wages (approx 1.2%) with no wage cap.

Yes. However, be aware that bonuses are often taxed using a “flat rate” method (22% Federal, 10.23% CA) rather than standard brackets. You may need to adjust your inputs or look for a specific bonus calculation feature if your employer uses the flat-rate method.

Generally, California does not have local city income taxes (like New York City does). However, if San Francisco or other municipalities introduce specific payroll taxes paid by employees, the calculator will be updated. Currently, it focuses on Federal and State levies.

You can usually enter this as either a percentage of your gross pay (e.g., 5%) or a fixed dollar amount (e.g., $500). The calculator will subtract this from your gross pay before calculating federal and state income tax.

Under the Affordable Care Act, single filers earning over $200,000 (or married couples over $250,000) must pay an extra 0.9% in Medicare taxes. The California Paycheck Calculator automatically applies this tax when your income exceeds these thresholds.

You can use it to estimate taxes, but remember that contractors pay “Self-Employment Tax” (15.3%) instead of the split FICA tax. The standard W-2 calculation on this tool might understate a contractor’s tax burden unless adjusted.

It is recommended to use the California Paycheck Calculator at the start of every year, whenever tax laws change, or whenever you experience a life event (marriage, child, house purchase) that affects your withholding allowances.

Yes. The calculator automatically applies the standard deduction based on your selected filing status (Single, Married, Head of Household) to determine your taxable income for state purposes.

Small discrepancies can occur due to rounding differences (some employers round mid-calculation) or specific payroll timing variances. However, the result should be within a very close margin of your actual pay stub.

Yes. On the Federal side, the Child Tax Credit reduces your withholding. On the California side, claiming allowances for dependents reduces the amount of state tax withheld. The calculator applies these credits to increase your Net Pay.

Historically, mandatory state taxes like CA SDI could be deducted as part of State and Local Taxes (SALT) on federal returns, subject to the $10,000 cap. The California Paycheck Calculator focuses on the paycheck deduction itself, not the year-end tax return deduction.

If you claim “Exempt” on your W-4 or DE-4, you can simulate this in the calculator by entering effectively zero tax liability or adjusting the settings, though genuine exemption is rare and has strict criteria.