1. What is the Indiana Salary Calculator?

The Indiana Salary Calculator estimates your net pay after accounting for federal tax (2025 brackets), Indiana state tax (3.15% flat rate), and FICA contributions (Social Security and Medicare).

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Gross Pay — Your annual salary before deductions
• Federal Tax — Based on 2025 tax brackets
• Indiana State Tax — Flat 3.15% of gross income
• FICA — 7.65% for Social Security (6.2%) and Medicare (1.45%)

3. Understanding Your Paycheck

Details: Your take-home pay is reduced by mandatory deductions. Indiana has a relatively simple tax structure with a flat rate, while federal taxes use progressive brackets.

4. Using the Calculator

Tips: Enter your annual gross salary in USD. The calculator will estimate all deductions and show your net annual income.

5. Frequently Asked Questions (FAQ)

Q1: Are these tax rates final for 2025?
A: Tax brackets are projected based on current law with inflation adjustments. Check IRS updates for final 2025 brackets.

Q2: Does this include local taxes?
A: No, Indiana has no local income taxes, but some counties may have additional taxes not included here.

Q3: What about deductions and credits?
A: This calculates standard withholding. Itemized deductions or tax credits would affect your actual tax liability.

Q4: Is FICA capped?
A: Social Security tax stops at $168,600 (2024 amount, will adjust for 2025). Medicare has no cap.

Q5: How often are Indiana tax rates updated?
A: Indiana's flat rate changes infrequently. The current 3.15% rate took effect in 2022.