New Jersey paycheck taxes at a glance
| State income tax | 1.4% to 10.75% (7 brackets) |
|---|---|
| Standard deduction | None |
| Personal exemption | $1,000 single, $2,000 joint |
| Per dependent | $1,500 exemption |
| Pre-tax deductions | State taxes HSA contributions and cafeteria-plan premiums |
| Local income tax | None on wages |
| State payroll deductions | NJ UI/WF 0.425% to $44,800; NJ TDI 0.19% to $171,100; NJ FLI 0.23% to $171,100 |
| Reciprocity | With PA |
| Figures | Tax year 2026 |
Every paycheck also has federal income tax, Social Security (6.2% up to $184,500) and Medicare (1.45%), worked out with the same 2026 IRS figures as ourmain paycheck calculator.
New Jersey income tax brackets
| Taxable income | Rate |
|---|---|
| $0 to $20,000 | 1.4% |
| $20,000 to $35,000 | 1.75% |
| $35,000 to $40,000 | 3.5% |
| $40,000 to $75,000 | 5.525% |
| $75,000 to $500,000 | 6.37% |
| $500,000 to $1,000,000 | 8.97% |
| Over $1,000,000 | 10.75% |
| Taxable income | Rate |
|---|---|
| $0 to $20,000 | 1.4% |
| $20,000 to $50,000 | 1.75% |
| $50,000 to $70,000 | 2.45% |
| $70,000 to $80,000 | 3.5% |
| $80,000 to $150,000 | 5.525% |
| $150,000 to $500,000 | 6.37% |
| $500,000 to $1,000,000 | 8.97% |
| Over $1,000,000 | 10.75% |
| Taxable income | Rate |
|---|---|
| $0 to $20,000 | 1.4% |
| $20,000 to $50,000 | 1.75% |
| $50,000 to $70,000 | 2.45% |
| $70,000 to $80,000 | 3.5% |
| $80,000 to $150,000 | 5.525% |
| $150,000 to $500,000 | 6.37% |
| $500,000 to $1,000,000 | 8.97% |
| Over $1,000,000 | 10.75% |
Worked examples
A $70,000 salary in Newark, single, 5% 401(k), paid every two weeks
| Per paycheck | Per year | |
|---|---|---|
| Gross pay | $2,692.31 | $70,000 |
| 401(k) at 5% | − $134.62 | − $3,500 |
| Federal income tax | − $223.08 | − $5,800 |
| Social Security and Medicare | − $205.96 | − $5,355 |
| New Jersey income tax | − $81.78 | − $2,126 |
| NJ UI/WF | − $7.32 | − $190 |
| NJ TDI | − $5.12 | − $133 |
| NJ FLI | − $6.19 | − $161 |
| Take-home pay | $2,028.24 | $52,734 |
Single, paid every two weeks (26 paychecks). New Jersey taxable income is $65,500 and the state tax is $2,126, an effective 3.038% of gross pay. Most of this income sits in the 5.525% bracket. The UI deduction stops once wages pass $44,800, but disability and family leave apply to the full salary.
A $160,000 household in Edison, married filing jointly with two children
| Per paycheck | Per year | |
|---|---|---|
| Gross pay | $6,153.85 | $160,000 |
| 401(k) at 6% | − $369.23 | − $9,600 |
| Federal income tax | − $424.15 | − $11,028 |
| Social Security and Medicare | − $470.77 | − $12,240 |
| New Jersey income tax | − $202.24 | − $5,258 |
| NJ UI/WF | − $7.32 | − $190 |
| NJ TDI | − $11.69 | − $304 |
| NJ FLI | − $14.15 | − $368 |
| Take-home pay | $4,654.28 | $121,011 |
Married filing jointly, 2 children, paid every two weeks (26 paychecks). New Jersey taxable income is $145,400 and the state tax is $5,258, an effective 3.286% of gross pay. The 401(k) keeps this couple just below the 6.37% joint bracket at $150,000 of taxable income, and each child adds a $1,500 exemption.
Three payroll deductions: UI, TDI and FLI
New Jersey is one of the few states where employees pay into unemployment insurance. In 2026 you pay 0.425% (UI plus workforce funds) on the first $44,800 of wages, 0.19% for Temporary Disability Insurance and 0.23% for Family Leave Insurance on wages up to $171,100. The most a worker pays in total is $909.02. Some employers run an approved private disability plan instead, which can change the TDI line.
Pre-tax benefits New Jersey still taxes
New Jersey does not follow the federal cafeteria-plan rules. Health, dental and vision premiums, flexible spending accounts and HSA contributions taken from your pay before federal tax are still part of your New Jersey wages, which is why box 16 of your W-2 can be higher than box 1. Traditional 401(k) deferrals are the main exception: New Jersey excludes them, as federal law does.
Reciprocity with Pennsylvania; no local wage tax
New Jersey and Pennsylvania have a reciprocal agreement: a New Jersey resident working in Philadelphia pays New Jersey income tax instead of Pennsylvania’s 3.07%, though Philadelphia’s city wage tax still applies. People who work in New York pay New York tax and claim a credit at home. No New Jersey town taxes employee wages; Newark and Jersey City payroll taxes are paid by employers only.
Credits this calculator leaves out
New Jersey’s child tax credit goes to families with taxable income of $80,000 or less for each child aged 5 or younger, and the amount shrinks as income rises. The state earned income credit adds 40% of the federal credit. Both depend on details beyond your salary, so they are not shown here and could lower what you owe at filing time.
New Jersey payroll deductions besides income tax
- Unemployment and Workforce Development (UI/WF/SWF): Workers pay 0.3825% for unemployment plus 0.0425% for workforce funds, 0.425% in total, on the first $44,800 of 2026 wages (up to $190.40).
- Temporary Disability Insurance (TDI): Workers pay 0.19% of wages for state disability insurance in 2026, on pay up to $171,100 (at most $325.09).
- Family Leave Insurance (FLI): Family Leave Insurance costs workers 0.23% of wages in 2026, on pay up to $171,100 (at most $393.53).
New Jersey vs. neighboring states
Take-home pay on a $75,000 salary, single, no pre-tax deductions and no local tax:
| State | Income tax | State tax + programs | Take-home |
|---|---|---|---|
| New Jersey | 1.4% to 10.75% (7 brackets) | $3,101 | $58,491 |
| New York | 3.9% to 10.9% (9 brackets) | $3,808 | $57,784 |
| Pennsylvania | Flat 3.07% | $2,355 | $59,238 |
| Delaware | 2.2% to 6.6% (7 brackets, 0% up to $2,000 single) | $3,909 | $57,684 |
Where you work and where you live can both matter. See paycheck calculators for every state for the full comparison.