How Idaho Income Tax Works in 2026
Idaho taxes all income at a flat 5.3%, set by House Bill 40 and unchanged for 2026. The state only switched to a flat tax in 2023, abandoning graduated brackets that once topped 7.4%, and has cut the rate twice since. One rate on everything above the deduction is the whole system.
Idaho conforms to the federal standard deduction, $16,100 for single filers in 2026, so whatever you claim federally flows straight to the state return. There is also a zero-rate threshold below which taxable income faces no state tax at all, adjusted annually for inflation. A proposal to pause the 5.3% rate for 2026 surfaced in the legislature but did not change the enacted rate.
What Comes Out of Your Idaho Paycheck
An Idaho stub shows federal income tax, Social Security at 6.2%, Medicare at 1.45%, and Idaho state tax at 5.3%. There is no state disability insurance or paid leave payroll tax, and Idaho cities cannot add a local income tax, so the state line is the only extra beyond federal.
Pre-tax 401(k), HSA, and health premium contributions reduce Idaho taxable income along with federal, saving about 5.3 cents per dollar at the state level. With Boise-area wages rising fast, those deductions matter more each year for workers whose salaries are climbing into higher federal brackets while the state rate stays flat.
Worked Example: A $75,000 Salary in Boise
Take a single filer in Boise earning $75,000 a year, paid biweekly, taking the standard deduction. Federal tax is about $7,670, FICA takes $5,737.50, and Idaho's 5.3% flat tax on income above the $16,100 standard deduction comes to roughly $3,122. Here is the annual breakdown.
| Gross Pay | $75,000.00 |
| Federal Income Tax | ~$7,670.00 |
| Social Security (6.2%) | $4,650.00 |
| Medicare (1.45%) | $1,087.50 |
| Idaho State Tax | ~$3,121.70 |
| Net Annual Pay | ~$58,470.80 |
That leaves about $2,249 per biweekly paycheck against gross pay of $2,884.62, an effective total rate near 22%. Idaho's state slice is about 4.2% of gross pay, and because the rate is flat, every raise is taxed at exactly 5.3% at the state level, no surprises.
Idaho Paycheck Details Worth Knowing
A flat tax, recently built
Idaho's flat tax is only a few years old. The state moved from graduated brackets to a flat 5.8% in 2023, then cut to 5.695% and 5.3%. Workers who remember the old system should not use old bracket tables for 2026 planning.
Minimum wage and overtime
Idaho follows the federal $7.25 minimum wage with no higher state floor. Overtime is time and a half past 40 hours under federal law.
Growth-state dynamics
Boise, Meridian, and Nampa have grown rapidly as remote workers arrived from higher-tax states. Idaho's flat 5.3% is part of the pitch, though rising housing costs in the Treasure Valley have narrowed the advantage.
Common Paycheck Mistakes in Idaho
- Using pre-2023 graduated brackets for Idaho. The flat 5.3% replaced them entirely.
- Forgetting Idaho follows the federal standard deduction, which shelters $16,100 for single filers before the 5.3% applies.
- Assuming the flat rate means Idaho is a low-tax state overall. At 5.3%, it is mid-pack among flat-tax states, above Arizona and Indiana.
- Ignoring property taxes. Idaho's income tax gets the attention, but local property taxes fund much of the state's services.
- Comparing a Boise salary to a Seattle offer without noting Washington has no income tax at all, which dwarfs Idaho's flat-rate advantage.
Frequently Asked Questions
What is Idaho's income tax rate in 2026?
A flat 5.3% on taxable income, unchanged from 2025 under House Bill 40. A proposal to temporarily restore 5.695% did not change the enacted rate.
Is Idaho a flat tax state?
Yes, since 2023. Before that it used graduated brackets topping 7.4%.
What is Idaho's standard deduction?
Idaho uses the federal standard deduction: $16,100 single, $32,200 joint for 2026.
What is the minimum wage in Idaho in 2026?
It is $7.25 an hour, the federal floor. Idaho has not set a higher state minimum.
Do Idaho cities have local income taxes?
No. Idaho municipalities cannot levy income taxes on wages.
How does Idaho compare to Washington for take-home pay?
Washington has no income tax, so a $75,000 salary keeps about $3,100 more there than in Idaho. Idaho counters with lower housing costs in most of the state.
How accurate is this Idaho paycheck calculator?
It uses 2026 federal figures and Idaho's 5.3% flat rate with the federal standard deduction. Actual stubs vary with pre-tax benefits and employer settings.
Related Idaho Tools
This page is part of the growing set of state paycheck tools on USACalculator. Compare Idaho with lower flat-tax states like Arizona and Colorado, or build a matching stub with the Pay Stub Generator. For purchases, the Idaho sales tax calculator covers state and local rates.
Sources: IRS Publication 15-T, U.S. Department of Labor, Idaho State Tax Commission. Figures reflect 2026 tax law. This calculator gives an estimate for planning purposes and is not tax advice.