How Philadelphia, Pennsylvania Income Tax & Salary Deductions Work
Philadelphia, the birthplace of American democracy, is the largest city in Pennsylvania and a major East Coast economic hub. With a lower cost of living than nearby New York and strong job growth, Philly offers solid financial value β though its local wage tax is one of the highest in the nation.
Did you know? Philadelphia was the first US city to have a zoo (1874), a hospital (1751), and a stock exchange (1790). Today its 'Eds and Meds' economy β universities and hospitals β is the backbone of the local workforce.
The median household income in Philadelphia is approximately $52,000, with dominant sectors in healthcare, higher education, pharmaceuticals, financial services, and a growing tech scene.
Understanding Your Philadelphia, Pennsylvania Paycheck Deductions
When you receive your paycheck in Philadelphia, Pennsylvania, several deductions are automatically taken out. These include federal income tax, state income tax, local taxes, Social Security, and Medicare. Our calculator breaks down each of these components so you can see exactly where your money goes.
Philadelphia, Pennsylvania Federal & State Tax Rates 2026
The tax rates in Philadelphia, Pennsylvania are determined by multiple factors including your income level, filing status, and location. Federal taxes apply to all US residents, while state and local taxes vary significantly by location. Use our calculator above to see your personalized tax breakdown.
Where Your Money Goes in Philadelphia, Pennsylvania
Net Pay
$55,344
Federal Tax
$8,761
Social Security
$4,650
Medicare
$1,088
State Tax
$2,303
Local Tax
$2,855
| Tax Type | Rate | Amount |
|---|---|---|
| Federal Tax | 11.68% | $8,761 |
| Social Security | 6.20% | $4,650 |
| Medicare | 1.45% | $1,088 |
| State Tax | 3.07% | $2,303 |
| Local Tax | 3.81% | $2,855 |
| Total Tax | 26.21% | $19,656 |
Salary Calculators Near Philadelphia, Pennsylvania
Compare tax rates and take-home pay in nearby locations
Pittsburgh
Frequently Asked Questions
On a salary of $75,000 in Philadelphia, Pennsylvania, you would pay approximately $19,656 in total taxes, which represents an effective tax rate of 26.21%. This includes all applicable federal, state, and local taxes, as well as social insurance contributions.
Tax Tips for Philadelphia
Expert strategies to maximize your take-home pay
Surviving Philadelphia's Wage Tax: Strategies for Philly Workers
Philadelphia's 3.8% wage tax is one of the highest local taxes in America. Here is how to minimize its impact on your paycheck.
Philadelphia Remote Work Tax Guide: Can You Escape the Wage Tax by Working from Home?
Philadelphia\'s 3.8% wage tax applies to residents regardless of where they work. But remote workers may qualify for refunds. Here is what you need to know.