Arizona uses a flat state income tax rate of 2.5% on taxable income in 2026 — one of the lowest flat rates in the United States. Arizona's standard deduction is $15,750 for single filers and $31,500 for married filing jointly, closely tracking the federal standard deduction. Arizona's average annual salary is approximately $51,000. Arizona's tax system is calculator-friendly because it closely links to federal deductions and uses a simple flat rate with no complex brackets. Unlike Ohio or Michigan, Arizona has no significant local city income taxes, making statewide calculations straightforward.
Simplified withholding; your Form A-4 elections and actual ADOR rules may differ — confirm with payroll.
Bi-weekly take-home
$2,149.27
Annual net: $55,881
Where your pay goes
| Gross salary | $70,000 |
| Federal income tax | −$7,014 |
| State tax (Arizona) | −$1,750 |
| Social Security | −$4,340 |
| Medicare | −$1,015 |
| Net pay (annual) | $55,881 |
| Net pay (Bi-weekly) | $2,149.27 |
| Component | Amount | Notes |
|---|---|---|
| State income tax rate | 2.5% flat | One of lowest flat rates in US |
| Standard deduction (single) | $15,750 | Tracks federal standard deduction |
| Standard deduction (married) | $31,500 | Tracks federal standard deduction |
| Local income tax | None | No city income taxes in AZ |
| Deduction | Rate | On $70,000 Salary |
|---|---|---|
| Federal income tax | 10%–22% progressive | ~$8,200 |
| Arizona state income tax | 2.5% flat | ~$1,356 |
| Social Security | 6.2% | $4,340 |
| Medicare | 1.45% | $1,015 |
| Est. total deductions | — | ~$14,911 |
| Est. net take-home | — | ~$55,089 |
Arizona recently moved to a flat 2.5% tax rate, significantly simplifying the state tax system. Arizona links its standard deduction directly to the federal standard deduction amount, making it easy to calculate. Arizona also allows taxpayers who take the standard deduction to deduct an additional amount for charitable contributions — a rare benefit not available in most states. Arizona has no local city income taxes, making it one of the simplest states for paycheck calculations. Arizona uses Form A-4 for state withholding elections, allowing workers to choose their withholding percentage.
Arizona charges a flat 2.5% state income tax on all taxable income in 2026 — one of the lowest flat rates in the United States. Arizona's standard deduction is $15,750 for single filers and $31,500 for married filing jointly, closely mirroring the federal standard deduction.
No. Arizona does not have local city income taxes. The only state income tax is the 2.5% flat rate charged statewide. This makes Arizona paycheck calculations simpler than states like Ohio or Michigan where city taxes apply.
Arizona's 2.5% flat rate is among the lowest of any flat-tax state. For comparison: Pennsylvania 3.07%, Indiana 3.05%, Colorado 4.40%, Michigan 4.25%, Illinois 4.95%. Arizona's combination of a low flat rate and no local city taxes makes it one of the most paycheck-friendly flat-tax states.
Arizona's standard deduction is $15,750 for single filers and $31,500 for married filing jointly in 2026 — the same as the federal standard deduction. Arizona links its deduction to the federal amount, simplifying state tax calculations.
On $70,000 salary in Arizona (single filer, standard deduction), total deductions include approximately $8,200 federal income tax, $1,356 Arizona state tax, $4,340 Social Security, and $1,015 Medicare — totaling approximately $14,911. Net take-home is approximately $55,089 per year or $4,591 per month.
Arizona state income tax returns are due April 15, 2026, the same as the federal deadline. Arizona follows the federal filing calendar and extensions are available. Arizona uses Form 140 for individual income tax returns.
Educational estimates only. Not IRS or payroll advice.