How Arizona Income Tax & Salary Deductions Work
Arizona uses a flat income tax system with a top marginal rate of 2.5%. When combined with federal taxes, Social Security, and Medicare, understanding your total tax burden is essential for financial planning.
Did you know? Arizona has a population of 7.4M with its capital in Phoenix. The flat tax system means all taxable income is taxed at the same rate.
With 4 major cities including Phoenix, Scottsdale, Tucson,Arizona offers diverse employment opportunities across multiple industries. Use our calculator above to see your personalized tax breakdown.
Understanding Your Arizona Paycheck & Tax Withholdings
When you receive your paycheck in Arizona, several deductions are automatically taken out. These include federal income tax state income tax (2.5% top rate), Social Security (6.2%), and Medicare (1.45%). Our calculator breaks down each of these components so you can see exactly where your money goes.
Arizona Federal & State Tax Rates for 2026
The Arizona flat income tax has a top marginal rate of 2.5%. Combined with federal taxes ranging from 10% to 37%, your effective tax rate depends on your total income, filing status, and deductions.
Where Your Money Goes in Arizona
Net Pay
$58,627
Federal Tax
$8,761
Social Security
$4,650
Medicare
$1,088
State Tax
$1,875
| Tax Type | Rate | Amount |
|---|---|---|
| Federal Tax | 11.68% | $8,761 |
| Social Security | 6.20% | $4,650 |
| Medicare | 1.45% | $1,088 |
| State Tax | 2.50% | $1,875 |
| Total Tax | 21.83% | $16,373 |
Popular Cities in Arizona
Browse salary calculators for the most popular cities. Cities with active calculators are highlighted.
Other States in Southwest
Compare tax rates and take-home pay in nearby Southwest states
Frequently Asked Questions
On a salary of $75,000 in Arizona, you would pay approximately $16,373 in total taxes, which represents an effective tax rate of 21.83%. This includes federal income tax, state income tax (2.5% top rate), Social Security, and Medicare.
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