New Jersey Paycheck Calculator

New Jersey state income tax

New Jersey income tax is progressive, from 1.4% up to 10.75% on income above $1 million. Our estimate applies an approximate effective state rate.

Local taxes & deductions

New Jersey has no local wage tax outside Newark's employer-paid payroll tax, but employees pay state contributions for unemployment (UI/WF), disability (SDI) and Family Leave Insurance (FLI), withheld on top of income tax.

Federal tax & FICA

On a typical New Jersey salary most of a single filer's income sits in the 12% and 22% federal brackets after the $16,100 standard deduction for 2026. FICA is 6.2% Social Security up to the $184,500 wage base plus 1.45% Medicare on every dollar, and together with federal income tax it is still the largest share of what is withheld.

Live in one state, work in another?

New Jersey and Pennsylvania have a reciprocal agreement: a Pennsylvania resident working in New Jersey files Form NJ-165 with the employer and is taxed only by Pennsylvania, while a New Jersey resident working in Pennsylvania files PA Form REV-419 and pays only New Jersey tax. There is no reciprocity with New York — NJ residents working in New York pay NY nonresident tax and claim a credit on their NJ return (Schedule NJ-COJ).

Full list of agreements and exemption forms in our state tax reciprocity guide.

New Jersey paycheck FAQ

Do I pay New Jersey tax if I live in Pennsylvania?

No. Under the NJ–PA reciprocal agreement, file Form NJ-165 with your New Jersey employer so only Pennsylvania tax is withheld. If NJ tax was withheld anyway, file an NJ-1040NR to get it refunded.

Do New Jersey residents working in New York pay tax twice?

You file in both states, but you are not taxed twice on the same wages: New York taxes you as a nonresident and New Jersey gives a credit for tax paid to New York.

New Jersey income tax brackets

Approximate single-filer brackets; thresholds are indexed each year. The calculator above applies an effective rate rather than bracket-by-bracket state math.