Texas Paycheck Calculator 2026 — Take-Home Pay After Tax

How paychecks work in Texas

Every paycheck issued in Texas has three federal withholdings — federal income tax, Social Security, and Medicare — followed by Texas's own withholding rules and any local wage tax that applies where you work. Texas has no state income tax. Texas has the second-largest state economy in the U.S., anchored by oil and gas, tech in Austin, aerospace, healthcare in Houston, and finance in Dallas.

This page explains, step by step, how gross wages become take-home pay in Texas: what the federal government takes, what the state of Texas takes, which cities and localities add their own withholding, and how minimum wage, overtime, and pay-frequency rules interact with common benefits like 401(k) contributions and pre-tax health premiums.

Federal taxes on Texas paychecks

Regardless of where you live, the IRS applies the same federal income tax brackets, standard deduction, and FICA contributions. For 2026, the federal tax brackets range from 10% on the first ~$12,400 of taxable income (single) up to 37% on income above roughly $626,000. Most workers land in the 12%, 22%, or 24% brackets after subtracting the $16,100 single (or $32,200 married-jointly) standard deduction.

On top of federal income tax, every Texas employee pays FICA: 6.2% Social Security up to a $184,500 wage base, plus 1.45% Medicare on all wages, with an additional 0.9% Medicare surtax on wages over $200,000 (single). Employers match Social Security and Medicare dollar-for-dollar; you only see your half on the stub.

Texas state income tax

Texas does not levy a state income tax on wages, so this section is short: your state withholding line will read $0 on every paycheck, regardless of income level.

Because Texas has no state income tax, workers see meaningfully higher take-home pay for a given gross salary than they would in a high-tax state like California, Hawaii, or New York — assuming similar federal filing status and benefit elections.

Local wage taxes in Texas

No local income taxes on wages.

FICA: Social Security and Medicare

Social Security is the biggest single deduction most middle-income Texas workers see besides federal income tax. It funds retirement, disability, and survivor benefits, and applies at 6.2% until you have earned $184,500 for the year (2026). If you earn more than that, Social Security stops for the remainder of the year — a highly visible bump in take-home pay for high earners late in the calendar year.

Medicare has no cap. All wages are hit at 1.45%, and an extra 0.9% Additional Medicare Tax applies to any wages above $200,000 (single) or $250,000 (married filing jointly). Employers begin withholding the additional 0.9% the pay period you cross $200,000, whether or not you'll actually owe it after year-end.

Overtime rules for Texas employees

Follows federal FLSA: 1.5x for hours over 40/week.

Overtime pay itself is taxed exactly the same way as regular wages — there is no special overtime tax rate. But because a paycheck with lots of overtime looks temporarily much larger, employer withholding formulas may withhold a higher percentage than your true annual rate. That withholding is reconciled at tax time via your federal 1040 and Texas state return, so if you consistently work overtime you may want to review your W-4 to avoid over-withholding.

Minimum wage in Texas

The current minimum wage in Texas is $7.25 per hour. Texas follows the federal minimum wage of $7.25/hr. At 40 hours per week and 52 weeks per year, that equates to roughly $15,080 in gross annual wages before overtime.

Pay frequency rules

Non-exempt employees at least twice per month; exempt employees at least monthly. Most private-sector employees in Texas are paid either weekly or bi-weekly, with salaried professionals often on a semi-monthly schedule. Choosing the right pay-frequency assumption is important when using the calculator above, because the same annual salary produces different per-paycheck amounts depending on whether it's split over 26 (bi-weekly) or 24 (semi-monthly) periods.

Example take-home pay in Texas

The table below shows estimated federal, FICA, and Texas state tax for a single filer at several common salary levels, using 2026 rules and the standard deduction. Bi-weekly amounts assume 26 paychecks per year.

Common Texas payroll deductions to watch

• 401(k) contributions — pre-tax dollars reduce federal (and, in Texas, no state) income tax. The 2026 employee limit is $24,500 ($32,000 if age 50+).
• Pre-tax health premiums — Section 125 cafeteria plan contributions reduce federal, state, and FICA-taxable wages.
• HSA contributions — for high-deductible health plans, HSA money is pre-tax at both federal and state levels in Texas.
• Garnishments, child support, and Roth 401(k) — these post-tax deductions do not reduce taxable wages but still cut take-home pay.
• Texas has no state income tax; only federal tax and FICA are withheld.
• Texas constitutionally requires a two-thirds legislative supermajority to impose a state income tax.

Key industries and pay levels in Texas

Texas's top industries include Oil & Gas, Technology, Aerospace, Healthcare, and Financial Services. Major employers like Walmart, AT&T, ExxonMobil, and Tesla anchor a large share of state payrolls, and pay levels tend to track industry mix — states heavy on technology, finance, and aerospace typically show higher median household income than states dominated by agriculture, tourism, or retail.