North Carolina Paycheck Calculator

Calculate your take-home pay after federal & North Carolina taxes

Updated for 2023 tax year on Sep 19, 2023

Paycheck calculators by state

Paycheck calculator for North Carolina

Understanding your North Carolina paycheck

If deciphering your North Carolina paycheck makes you feel as if you’re decoding a secret message, fear not! We’re here to help illuminate the mystery behind those all-important deductions and taxes.

First, let’s talk about federal income taxes and FICA taxes. Uncle Sam takes a piece of your hard-earned income through federal income taxes, while FICA taxes cover Social Security and Medicare contributions. It’s worth noting that self-employed individuals pay a higher FICA tax rate due to their dual status as both employer and employee.

Next on our decoding journey is the Form W-4. This document plays a significant role in determining the correct amount of federal income tax to withhold from your paycheck. It’s essential to fill it out accurately and update it whenever you experience significant life changes, such as getting married or having a child.

Speaking of marital status, it can impact the tax withheld from your pay. Pre-tax deductions, such as contributions to retirement funds, can also reduce your taxable income, potentially lowering your tax liability.

As a North Carolinian, you also need to consider state income tax. The state has a flat tax rate of 4.99%, meaning everyone pays the same percentage, regardless of income level.

But there’s a silver lining! North Carolina offers a generous state standard deduction, helping to reduce your taxable income. However, the state no longer provides personal exemptions.

Lastly, let’s explore post-tax deductions. These deductions come from your paycheck after taxes have been calculated, including charitable donations, garnishments, or health insurance premiums.

Calculate your North Carolina paycheck

North Carolina tax year starts from July 01 the year before to June 30 the current year. So the tax year 2022 will start from July 01 2021 to June 30 2022.

Calculating your North Carolina state income tax is similar to the steps we listed on our Federal paycheck calculator:

1. figure out your filing status
2. work out your adjusted gross income [Net income – Adjustments = Adjusted gross income]
3. calculate your taxable income [Adjusted gross income – Standard/Itemized deductions = Taxable income]
4. understand your income tax liability [Taxable income × Income tax rate = Income tax liability]
5. minus any tax liability, deductions, withholdings [Net income – (Income tax liability + Pre-tax deductions + Post-tax deductions + Withholdings) = Your paycheck]

State payroll tax

There is no state-level payroll tax.

State income tax brackets

State standard deduction

State exemptions

There is no state-level exemptions.

FAQs