The state of Illinois implements a flat income tax rate of 4.95% across the board, ensuring that all residents are subject to the same rate of taxation on their income. It is worth mentioning that no local income taxes are imposed by any cities within the state in addition to the state income tax.
For every pay period, your employer will withhold a portion of your earnings for Social Security taxes (6.2%) and Medicare taxes (1.45%). These two taxes are collectively known as FICA taxes, and your employer will contribute an equal amount.
If you file your taxes as single and earn more than $200,000, an additional 0.9% Medicare tax will apply, which your employer will not match. Joint filers with incomes exceeding $250,000 and married individuals with incomes over $125,000 when filing separately are also subject to the Medicare surtax.
If you earn $70,000.00 per year in Illinois, your net pay, which is the amount you take home, will be $53,012 after deducting taxes at a rate of 24.27%. These deductions consist of 11.67% ($8,168.10) for federal income tax, 4.95% ($3,465.00) for state income tax, 6.20% ($4,340.00) for social security tax and 1.45% ($1,015.00) for Medicare.
Important Note: The Stubcreator provides a paycheck calculator designed to provide essential guidance. This should not be relied upon to calculate exact taxes, payroll, or other financial data. You should seek a professional accountant regarding any particular requirement.
Taxable Base Wage for Illinois are as follows:
Year | Illinois Taxable Base Wage |
2023 | 0.550% |
2022 | 0.525% |
2021 | 0.475% |
In order to help maintain a sustainable Unemployment Insurance Trust Fund, this rate is included in the rate computation and is stipulated in the Illinois Unemployment Insurance Act. For 2024, the minimum contribution rate is 0.850%, which is equal to 0.2% x 126% + the Fund Building Rate of 0.55%.
Year | Illinois SUTA Rate |
2024 | 0.850% |
2023 | 8.650% |
2022 | 0.725% |
In 2024, the highest possible contribution rate is 8.650% (6.400% x 126% plus the Fund Building Rate of 0.55%). NOTE: Contributions are paid at 5.400% in a quarter by an experience-rated employer whose total quarterly salaries are less than $50,000 and whose contribution rate is greater than 5.400%.
Year | Illinois FUTA Rates |
2024 | 0.550% |
2023 | 0.550% |
2022 | 0.525% |
In Illinois, the FICA tax rates for 2024 are as follows:
Year | Illinois FICA Rates |
2024 | 4.95% |
2023 | 4.95% |
2022 | 7.65% |
The individual income tax rate in Illinois is a steady 4.95 percent. The corporate income tax rate in Illinois is 9.5%. Additionally, the average combined state and local sales tax rate in Illinois is 8.86 percent, with a state sales tax rate of 6.25 percent.
The amount of your payments that you do not withhold Illinois income tax from is known as an Illinois withholding exemption. The number of allowances claimed on Form IL-W-4, Employee’s and other Payee’s Illinois Withholding Allowance Certificate and Instructions, is used to determine this sum.
Below mentioned are the details of Illinois:
Illinois has a flat income tax rate, meaning everyone pays the same percentage of their income as state income tax. The Illinois Income Tax rate is applied to your taxable income after federal deductions. Make sure to input your gross income and any pre-tax deductions accurately for a more precise calculation.
Some municipalities in Illinois may impose additional local income taxes. It's crucial to be aware of any local tax obligations in your area, as they can affect the net amount you receive in your paycheck. Check with your local tax authorities or use a calculator that includes these local taxes.
Federal taxes, including Social Security and Medicare (FICA), are applicable to your income in Illinois. These deductions are standard across all states and are calculated based on your gross income. Understanding how FICA contributions affect your paycheck is important for accurate financial planning.