1. What is California Wage Tax?

California wage earners pay three main types of taxes: Federal Income Tax, California State Income Tax, and FICA (Social Security and Medicare taxes). This calculator estimates these tax obligations based on income and filing status.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Federal Tax — Calculated using IRS progressive tax brackets
• California Tax — Calculated using state tax brackets
• FICA — Social Security (6.2%) and Medicare (1.45%) taxes

3. Importance of Tax Calculation

Details: Understanding your tax obligations helps with financial planning, budgeting, and ensuring proper withholdings from your paycheck.

4. Using the Calculator

Tips: Enter your annual income before taxes and select your filing status. The calculator will estimate your federal tax, California state tax, and FICA contributions.

5. Frequently Asked Questions (FAQ)

Q1: Are these calculations exact?
A: This provides estimates only. Actual taxes may vary based on deductions, credits, and other factors.

Q2: What's the Social Security wage base?
A: Social Security tax only applies to the first $147,000 of income (2022 figure).

Q3: Are California taxes higher than other states?
A: California has some of the highest state income tax rates in the U.S., especially for high earners.

Q4: What about local taxes?
A: This calculator doesn't include local taxes which some California cities impose.

Q5: How often should I check my withholdings?
A: Review whenever your financial situation changes (marriage, new job, etc.) or at least annually.