What is the Idaho state income tax rate?

Idaho levies a flat state income tax of 5.695% on taxable income as of the 2025 tax year. The state transitioned from a four-bracket progressive system to a flat rate effective January 1, 2023, under House Bill 1, which Governor Brad Little signed during a special legislative session in September 2022. The flat rate was initially set at 5.8% and has been reduced incrementally to 5.695%, with additional reductions possible if state revenue continues to exceed projections. Idaho's flat tax simplifies paycheck calculations significantly compared to the previous progressive system that topped at 6.5%.

How much does a $22/hour worker take home in Idaho?

At $22/hour working 40 hours per week and filing single, your gross annual pay is $45,760. After federal income tax of approximately $3,453, Idaho state tax of approximately $1,752, Social Security of approximately $2,837, and Medicare of approximately $664, your annual take-home is roughly $37,054, which works out to about $1,425 per biweekly paycheck. Compared to a worker in neighboring Washington (no state tax), the Idaho worker takes home about $1,752 less per year. Compared to a worker in Oregon at this income (around 8.75% marginal rate), the Idaho worker keeps slightly more.

When did Idaho switch to a flat tax?

Idaho officially transitioned to a flat individual income tax on January 1, 2023, under HB 1 from the September 2022 special session. The previous structure had four brackets ranging from 1% to 6%, with the top rate kicking in at $7,939 of taxable income. The shift was framed as both a tax cut for middle-income earners (who previously hit the top bracket quickly) and a simplification measure. The initial flat rate of 5.8% was reduced to 5.695% effective for the 2025 tax year. Idaho became the eleventh state to adopt a flat individual income tax structure when HB 1 took effect.

Does Boise have a city income tax?

No. Boise does not impose a local income tax, and no Idaho city or county levies a payroll income tax. Local government in Idaho is funded primarily through property taxes (averaging about 0.67% of assessed value, among the lowest in the West) and a 6% state sales tax that some resort cities supplement with a local-option sales tax. The absence of local income tax simplifies Idaho payroll across cities like Boise, Meridian, Nampa, Idaho Falls, Coeur d'Alene, and Pocatello — your state tax obligation is identical no matter which Idaho jurisdiction you live or work in.

How does Idaho compare to Washington for take-home pay?

Washington has no state income tax, so a Washington worker keeps about 5.7 cents more per dollar of taxable income than an Idaho worker at the same gross. For a $60,000 earner, this works out to approximately $2,500 to $3,000 more in annual take-home pay in Washington compared to Idaho. However, Washington compensates with a higher sales tax (combined rates often exceeding 9% versus Idaho's 6%) and a recent 7% capital gains tax on annual gains above $250,000. For wage earners without significant investment gains, Washington remains substantially cheaper than Idaho, which is why many remote workers in eastern Washington and Spokane consider Idaho but ultimately stay across the border.

What is the Idaho minimum wage?

Idaho's minimum wage is $7.25 per hour, matching the federal minimum, which has not been raised since 2009. Idaho is the only state in the Pacific Northwest that has not raised its minimum wage above the federal floor — Washington is at $16.66, Oregon ranges from $14.70 to $15.95 depending on region, and Montana is at $10.55. Despite the low statutory minimum, Idaho's actual average hourly wage is about $25 per hour because of tight labor markets in Boise's tech sector, healthcare, and construction. Workers earning minimum wage in Idaho pay essentially no federal income tax because their $15,080 annual gross falls below the $15,000 federal standard deduction, though they still owe Idaho state tax on income above the $15,000 Idaho deduction (which matches federal).

Does Idaho tax Social Security and retirement income?

Idaho does not tax Social Security benefits at the state level, providing significant relief for retirees. However, Idaho does tax most private pension income, 401(k) withdrawals, and traditional IRA distributions as ordinary income at the flat 5.695% rate. Retired military, civil service, and Idaho firefighter pensions qualify for a partial Idaho retirement benefit deduction (up to roughly $45,000 for joint filers age 65+), which can substantially reduce or eliminate the state tax on those specific pension sources. Roth IRA qualified distributions are tax-free at both the federal and Idaho level, making Roth contributions particularly valuable for Idaho workers planning to retire in-state.

Idaho Paycheck Calculator (Hourly) — Free Take-Home Pay Estimator

How the Idaho Paycheck Calculator Works

This Idaho paycheck calculator hourly tool computes your take-home pay by subtracting federal income tax, Idaho state income tax at the flat 5.695% rate, and FICA (Social Security and Medicare) from your gross earnings. Idaho's flat tax structure makes the state calculation simple: subtract the standard deduction and multiply the remainder by 5.695%.

The core formula:

Take-Home = Gross - Federal Tax - ID State Tax - Social Security - Medicare

P_{net} = P_{gross} - T_{fed} - T_{ID} - T_{SS} - T_{Med}

Annual gross is hourly wage x hours per week x 52 weeks. Use our salary calculator to convert between hourly and annual figures. Federal tax applies the 2026 IRS brackets (10%, 12%, 22%, 24%, 32%, 35%, 37%) progressively against your federal taxable income (gross minus $15,000/$30,000/$22,500 federal standard deduction and any pre-tax retirement contributions). Idaho state tax is simpler: subtract the Idaho standard deduction (which matches the federal amount) from gross, then multiply the remainder by 5.695%. Because Idaho's standard deduction matches federal, your Idaho taxable income equals your federal taxable income for most workers, which simplifies reconciliation between your federal return (Form 1040) and your Idaho return (Form 40). Social Security applies 6.2% on wages up to $176,100, Medicare applies 1.45% on all wages with a 0.9% surtax above $200,000 single or $250,000 married.

Idaho Hourly Paycheck Tax Breakdown

Idaho transitioned from a four-bracket progressive tax (1%, 3%, 4.5%, 6% top) to a flat 5.695% rate in 2023 under HB 1 of the 2022 special session. The flat rate has been reduced slightly each year as state revenue has exceeded projections, dropping from the initial 5.8% to 5.695% for 2025. Further reductions are possible but require legislative action; unlike Georgia, Idaho has not implemented automatic statutory triggers for additional cuts.

Compared to its six neighboring states, Idaho sits squarely in the middle of the regional tax landscape:

Washington: No state income tax on wages. A Washington worker takes home about 5.7 cents more per taxable dollar than an Idaho worker. Heavy users of consumer goods or services give some of that back through Washington's 9%+ combined sales tax.
Oregon: Progressive 4.75% to 9.9%. Most middle-income workers pay higher tax in Oregon than Idaho, but Oregon has no sales tax which offsets some of the income tax burden.
Nevada: No state income tax. Like Washington, Nevada relies on sales tax and gaming revenue.
Utah: Flat 4.65%, slightly lower than Idaho's 5.695%. A Utah worker earning $80,000 keeps about $800 more per year than an Idaho worker.
Wyoming: No state income tax. Wyoming is one of the most tax-friendly states overall.
Montana: Progressive 1% to 5.9%. Roughly comparable to Idaho for middle and upper-middle earners, with lower rates for low-income workers.

This puts Idaho in fourth place among its seven-state regional grouping (Idaho plus six neighbors) for take-home pay on wages alone, ahead of Oregon and Montana but behind Washington, Nevada, Wyoming, and Utah. The trade-off is that Idaho has relatively low property taxes (averaging 0.67%) and a moderate sales tax (6% state, with a few resort communities adding local options), which makes Idaho more competitive when total tax burden is considered.

Your Idaho paycheck deductions come from:

Federal income tax: Progressive 2026 brackets; estimate full-year liability with our income tax calculator.
Idaho state income tax: Flat 5.695% on taxable income (gross minus Idaho standard deduction matching federal amounts).
Social Security: 6.2% on wages up to $176,100.
Medicare: 1.45% on all wages, plus 0.9% surtax above $200,000 single or $250,000 married.

Variable Definitions

Hourly Wage: Your gross pay per hour. Idaho's minimum wage is $7.25 (federal floor). Idaho occupational examples: a registered nurse at St. Luke's in Boise averages roughly $42 per hour, a software engineer at one of the Boise tech corridor employers earns about $48 per hour, a construction worker on a Meridian residential project earns roughly $28 per hour, a potato processing line worker in eastern Idaho earns about $19 per hour, and a Coeur d'Alene resort hospitality worker earns roughly $17 per hour plus tips. All face the same 5.695% Idaho rate but different federal bracket placements.

Hours per Week: Standard full-time is 40. Idaho follows federal Fair Labor Standards Act overtime rules (1.5x above 40 hours per week for non-exempt workers); no state-specific daily overtime rule applies.

Pay Frequency: Weekly = 52 paychecks, biweekly = 26, semi-monthly = 24, monthly = 12. Most Idaho employers including Micron, Boise State University, and St. Luke's Health System pay biweekly.

Filing Status: Determines federal brackets and Idaho standard deduction (which matches federal). Single filers use $15,000, married filing jointly uses $30,000, head of household uses $22,500. Because Idaho is a flat-rate state, filing status affects only the deduction amount, not the marginal rate.

Pre-Tax Deduction: Percentage of gross contributed to 401(k), 403(b), HSA. Reduces both federal and Idaho taxable income. A worker earning $55,000 who contributes 8% ($4,400) saves about $251 in Idaho state tax plus $528 in federal tax at the 12% bracket, for total combined savings of $779.

Worked Example 1: Idaho Hourly Paycheck at $18/Hour

A single filer earning $18/hour, working 40 hours/week, biweekly pay, with no pre-tax deductions:

Annual gross: $18 x 40 x 52 = $37,440
Federal taxable: $37,440 - $15,000 = $22,440
Federal tax: ($11,925 x 10%) + ($10,515 x 12%) = $1,192.50 + $1,261.80 = $2,454.30
Idaho taxable: $37,440 - $15,000 = $22,440
Idaho state tax: $22,440 x 5.695% = $1,277.96
Social Security: $37,440 x 6.2% = $2,321.28
Medicare: $37,440 x 1.45% = $542.88
Total deductions: $2,454.30 + $1,277.96 + $2,321.28 + $542.88 = $6,596.42
Annual take-home: $37,440 - $6,596.42 = $30,843.58
Biweekly take-home: $30,843.58 / 26 = $1,186.29

Worked Example 2: Idaho Hourly Paycheck at $48/Hour

A single filer earning $48/hour, working 40 hours/week, biweekly pay, with 7% 401(k) contribution:

Annual gross: $48 x 40 x 52 = $99,840
Pre-tax 401(k): $99,840 x 7% = $6,988.80
Adjusted gross: $99,840 - $6,988.80 = $92,851.20
Federal taxable: $92,851.20 - $15,000 = $77,851.20
Federal tax: ($11,925 x 10%) + ($36,550 x 12%) + ($29,376 x 22%) = $1,192.50 + $4,386.00 + $6,462.78 = $12,041.28
Idaho taxable: $92,851.20 - $15,000 = $77,851.20
Idaho state tax: $77,851.20 x 5.695% = $4,433.62
Social Security: $92,851.20 x 6.2% = $5,756.77
Medicare: $92,851.20 x 1.45% = $1,346.34
Total deductions: $6,988.80 + $12,041.28 + $4,433.62 + $5,756.77 + $1,346.34 = $30,566.81
Annual take-home: $99,840 - $30,566.81 = $69,273.19
Biweekly take-home: $69,273.19 / 26 = $2,664.35

This Idaho worker keeps about 69% of gross income after taxes and the 401(k) contribution. The Idaho portion is about 4.4% of gross — lower than the headline 5.695% rate because the standard deduction shelters $15,000 of income. Effective Idaho rates typically fall between 4% and 5% for workers earning between $40,000 and $120,000, rising slowly toward the headline rate at very high incomes where the standard deduction becomes a smaller share of total income.

Edge Cases and Advanced Scenarios

Idaho retirement benefit deductions: Idaho offers a generous retirement benefit deduction for qualifying pensions, including civil service, military, certain railroad, and Idaho firefighter pensions. For joint filers age 65 or older, the deduction can reach approximately $45,000 of qualifying pension income annually. This is one of the most retirement-friendly provisions among Western states, partly explaining why northern Idaho has become a popular retirement destination for federal workers from the Pacific Northwest.

Cross-border Washington-Idaho commuters: Workers who live in Idaho but commute to jobs in Washington (or vice versa) face a unique tax situation. Washington has no income tax, so an Idaho resident working in Spokane owes Idaho tax on all wages because Idaho taxes residents on worldwide income. A Washington resident commuting to Coeur d'Alene owes Idaho tax on Idaho-source wages (with credit on the Washington side but Washington has no tax to credit against). Many cross-border workers structure their employment as remote-from-home to escape Idaho tax, but this requires the work to actually be performed in the no-tax state.

Idaho Grocery Tax Credit: Idaho is one of the few states that taxes groceries at the standard 6% sales tax rate, but it provides a refundable Grocery Tax Credit on the income tax return ($120 per person for most filers, $140 for those age 65+). This credit reduces your annual Idaho tax bill and effectively offsets the sales tax paid on food. While not reflected on your paycheck, the credit is worth filing for even if you have minimal Idaho tax liability — it can result in a refund larger than your withholding.

What to Do with Your Idaho Paycheck Result

Compare your calculator output to your actual pay stub. Differences often come from employer-sponsored benefits like Idaho PERSI contributions (for state and local government employees), health insurance, or HSA contributions.
If you live in Idaho but work remotely for an out-of-state employer, your Idaho tax obligation is on all wages regardless of where your employer is headquartered. Adjust your Idaho W-4 (Form ID W-4) to ensure adequate withholding to avoid underpayment penalties.
Maximize pre-tax contributions. Idaho's 5.695% rate combined with federal saves roughly 17% to 28% on every contributed dollar depending on your federal bracket.
Use our federal income tax percentage calculator to verify your effective federal rate. The combined Idaho plus federal effective rate is typically 12% to 19% for workers in the $40,000 to $100,000 range.

Related Calculators

Arizona Paycheck Calculator (Hourly) — Arizona's flat 2.5% rate makes for a useful low-rate comparison.
Colorado Paycheck Calculator (Hourly) — Colorado's flat 4.4% sits between Arizona and Idaho on the regional rate spectrum.
Salary Calculator — convert between hourly and annual pay.
Income Tax Calculator — estimate your total federal income tax liability.
Federal Income Tax Percentage Calculator — find your effective federal tax rate.
Paycheck Calculator by State — compare take-home pay across all 50 states and DC.

Idaho Paycheck Calculator (Hourly)