Flat Income Tax States Compared: Take-Home Pay in 2026

Indiana, Ohio, North Carolina, Michigan, Colorado, and Illinois all use a single state rate. See how take-home pay compares — and why local taxes change the ranking.

By the Nevada Paycheck Calculator team · Updated

How a flat state tax works on your paycheck

A flat-tax state applies one rate to taxable wages after its exemptions or standard deduction. That makes withholding predictable: a raise is taxed at the same state rate as the rest of your pay. The differences between flat-tax states come from the rate, the size of the exemption, and local income taxes.

Take-home pay at $60,000, highest to lowest

Ohio $49,480, North Carolina $48,518, Michigan $48,044, Colorado $47,928, Illinois $47,523, Indiana $47,416. Figures assume a single filer paid biweekly with a 2026 W-4, no pre-tax deductions, and default local tax settings, calculated with the same engine as our calculators. Indiana figures include Marion County tax; Michigan and Ohio figures assume no city income tax.

Local taxes can flip the ranking

Indiana counties, Ohio municipalities such as Columbus and Cleveland, and Michigan cities such as Detroit add their own income taxes. A low state rate can end up costing more than a higher one once local tax is included, so pick your locality in the state calculator.

Related calculators and guides

Estimates only — not tax or legal advice. See our methodology.