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🦅 Pennsylvania Income Tax Calculator
Pennsylvania has one of the lowest flat income tax rates in the US at 3.07%, though some localities add more.
Uses 2025 tax-year brackets
Pennsylvania State Tax Facts (2025 tax year)
Flat 3.07% — one of the lowest flat rates in the US
Philadelphia adds 3.75% city wage tax for residents
Most retirement income is fully exempt from PA income tax
3.07%
Top state rate
On top of federal income tax, Pennsylvania residents pay up to 3.07% in state income tax. Use the calculator above to see your combined effective rate.
Frequently Asked Questions
What is the income tax rate in Pennsylvania?+
How do I calculate my take-home pay in Pennsylvania?+
Filing Taxes in Pennsylvania: What the Rate Table Doesn't Tell You
How filing works here
Pennsylvania taxes income at a flat 3.07% — one of the lowest flat rates in the country. But PA's system has a feature found nowhere else: income is sorted into eight separate classes (wages, interest, dividends, business income, gains, rents, estates, gambling), and losses in one class cannot offset gains in another. A capital loss cannot shelter your wage income in Pennsylvania, even though it can federally. You file the PA-40.
The local quirk to know
Local taxes are the real complication. Pennsylvania allows municipalities and school districts to levy an Earned Income Tax, and Philadelphia charges a city wage tax of 3.75% on residents (and a lower rate on nonresidents who work in the city) — on top of the 3.07% state rate. A Philadelphia resident's combined marginal rate on wages is therefore roughly double the headline state rate. Pittsburgh has its own smaller local add-on. Always check the local rate where you live and work; the state figure alone understates the bill.
Planning note
The flip side is generous: Pennsylvania fully exempts most retirement income — pensions, 401(k)/IRA distributions after age 59½, and Social Security — from state tax. Combined with the low flat rate on working years, PA is a strong tax state across a full lifetime: low while you earn, near-zero when you retire. The eight-class loss limitation is the main trap to plan around — realize gains and losses with the class system in mind, not just the federal rules.
Written by Alex Chen. Tax rules change — confirm current-year figures with the IRS before filing.
Go Beyond Tax — Plan Your Full Financial Picture
Your Pennsylvania take-home pay is the starting point. Map every dollar in a monthly budget and see how your savings compound over time.
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