Iowa Income Tax Calculator
Calculate your total tax burden in Iowa. See IA state income tax (3.8% top rate), federal tax, and FICA combined. Free, instant, private.
Iowa Income Tax Calculator
Pre-filled with Iowa median: $65,573
Your Total Tax Burden
$12,993
Take-Home: $52,580 · Effective Rate: 19.8%
Federal Tax
$6,040
9.2% eff.
IA State Tax
$1,937
3.0% eff.
FICA
$5,016
7.6% eff.
Take-Home
$52,580
80.2% kept
Tax Breakdown
Iowa Tax Bracket Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $65,573.00 | $5,464.42 |
| Federal Income Tax | -$6,040.06 | -$503.34 |
| Iowa State Tax | -$1,936.97 | -$161.41 |
| Social Security (6.2%) | -$4,065.53 | -$338.79 |
| Medicare (1.45%) | -$950.81 | -$79.23 |
| Take-Home Pay | $52,579.63 | $4,381.64 |
Marginal Tax Rate
3.8%
IA state only
Effective Tax Rate
19.8%
All taxes combined
Iowa Tax System Overview
Iowa transitioned to a flat 3.8% income tax in 2025, down from rates as high as 8.53%. Uses the federal standard deduction. Inheritance tax repealed in 2025. Property taxes are relatively high at 1.52%.
Top Income Tax
3.8%
Property Tax
1.52%
Sales Tax (Avg)
6.94%
Median Income
$65,573
Other Taxes in Iowa
Capital Gains Tax
Taxed as regular income at 3.8%
Property Tax
Average effective rate of 1.52%. On a $300,000 home, this equals approximately $4,560 per year, or $380 per month.
Sales Tax
State rate of 6%, with a combined average of 6.94% including local taxes.
Filing Tips for Iowa
Iowa's flat 3.8% is a significant improvement. Federal standard deduction applies. Retirement income exclusions available. Consider high property taxes when evaluating housing.
- Maximize pre-tax contributions to 401(k) ($23,500 limit in 2026, $31,000 if 50+) to reduce both federal and IA state taxable income.
- Use an HSA if you have a high-deductible health plan. Contributions ($4,300 individual, $8,550 family) are pre-tax and reduce your tax burden.
- Review your W-4. If you regularly get large refunds, adjust your withholding to keep more money in each paycheck throughout the year.
Compare Iowa to Nearby States
If you lived in a neighboring state instead, here is how your state tax would change on $65,573 income:
Explore All 50 State Tax Calculators
Compare income tax rates, property taxes, and sales taxes across all US states and DC.
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Frequently Asked Questions
What is the income tax rate in Iowa?
Iowa has a flat income tax rate of 3.8%. This means all taxable income is taxed at the same rate regardless of how much you earn. Flat 3.8% in 2025 (was progressive to 8.53%). Uses federal standard deduction. Inheritance tax repealed 2025.
How much state tax will I pay in Iowa on $65,573?
On income of $65,573 filing single in Iowa, you would pay approximately $1,937 in state income tax (effective rate of 3.0%). This is after the state standard deduction of $14,600.
Does Iowa tax capital gains?
Taxed as regular income at 3.8%. Capital gains treatment varies by state — some tax them as regular income while others offer exclusions or preferential rates.
How does Iowa compare to neighboring states for taxes?
Iowa's neighboring states include Minnesota (9.85% top rate), Wisconsin (7.65% top rate), Illinois (4.95% top rate). Property tax rates, sales taxes, and cost of living should also be considered when comparing overall tax burden. Use the calculator above to compare your specific tax liability across states.