Colorado Paycheck Calculator

How to Use This Colorado Paycheck Calculator

This Colorado paycheck calculator estimates your 2026 net take-home pay after federal income tax, Colorado state income tax (flat 4.4%), Social Security, and Medicare. The state is locked to Colorado; use the generic paycheck calculator if you live or work elsewhere.

Enter your gross salary or hourly wage, pay frequency, filing status, and any pre-tax deductions above. Results update instantly. For your full annual tax picture, use the Colorado income tax calculator.

How Colorado State Income Tax Works

Colorado applies a flat 4.4% state income tax to all taxable income. There are no brackets — earning more does not change your rate. Colorado calculates state tax in three clean steps:

1. Start with federal adjusted gross income (AGI) — Colorado uses federal AGI as its starting point, with a small number of Colorado-specific additions and subtractions.
2. Apply the standard deduction — Colorado conforms to the federal standard deduction: $16,100 for single filers, $32,200 for married filing jointly in 2026 (indexed annually). This is the same deduction used for federal purposes, which simplifies compliance.
3. Multiply by 4.4% — the flat rate applies to Colorado taxable income (AGI minus standard or itemized deductions).

Colorado's TABOR Mechanism

Colorado's Taxpayer's Bill of Rights (TABOR) caps state revenue growth to inflation plus population growth. When tax collections exceed the cap, Colorado refunds the surplus to taxpayers. Recent refunds have ranged from roughly $400 to over $800 per filer, paid as a credit on the annual Colorado income tax return. TABOR refunds do not appear in paycheck withholding — they lower your net annual state tax burden when you file.

Federal Income Tax — Progressive Brackets

On top of the flat Colorado state tax, every Colorado worker owes federal income tax based on the 2026 progressive brackets ranging from 10% to 37%.

Step-by-Step Example — $80,000 Single Filer in Colorado

1. Gross annual pay: $80,000
2. Federal taxable income: $80,000 − $16,100 standard deduction = $63,900. Federal income tax (10%/12%/22% brackets): ≈ $7,370.
3. Colorado taxable income: $80,000 − $16,100 standard deduction = $63,900. CO tax at 4.4%: ≈ $2,812.
4. FICA: 7.65% × $80,000 = $6,120.
5. Estimated net take-home: ≈ $63,698/year (≈ $2,450 biweekly).

FICA Taxes — Social Security and Medicare

• Social Security: 6.2% on wages up to $176,100 (2025) or $184,500 (2026). No further withholding once you cross the wage base for the year.
• Medicare: 1.45% on all wages with no cap. Additional 0.9% Medicare surtax on wages above $200,000 single / $250,000 MFJ.
• Employer match: your employer matches Social Security and base Medicare; the Additional Medicare surtax is employee-only.

No Local Income Tax in Colorado

Colorado has no local personal income tax statewide. Denver, Colorado Springs, Boulder, and every other Colorado city do not levy a payroll income tax. However, several Colorado cities collect an Occupational Privilege Tax (OPT)— a small, flat monthly fee rather than an income-percentage tax. Denver's OPT is $5.75/month for employees earning $500 or more per month in the city. This is deducted from paychecks separately and is not reflected in income tax calculations.

Colorado vs. Neighboring States

• vs. Utah:Utah has a flat 4.55% state rate — slightly higher than Colorado's 4.4%. Both use a similar income base.
• vs. Arizona: Arizona moved to a 2.5% flat rate in 2023, making it substantially cheaper for state income tax than Colorado for most earners.
• vs. Wyoming: Wyoming has no state income tax. A $100,000 earner saves about $4,400 in Colorado taxes by working in Wyoming — but Wyoming has fewer public services and different property tax structures.
• vs. New Mexico: NM uses progressive brackets topping at 5.9%, making most middle-income earners pay slightly more than in Colorado.

How to Maximize Your Colorado Take-Home Pay

• Max your 401(k) — pre-tax 401(k) contributions reduce both federal and Colorado taxable income. At 4.4% CO + 22% federal = 26.4% combined marginal rate, a $20,000 contribution saves about $5,280 in annual taxes.
• Contribute to an HSA — $4,300 (self-only) or $8,550 (family) for 2026. Colorado fully recognizes HSA deductions, same as federal.
• Use a Dependent Care FSA — up to $5,000 per family reduces both federal and Colorado taxable income for qualifying childcare or elder care expenses.
• Update Form DR 0004— Colorado's state withholding form (DR 0004) is separate from the federal W-4. Update it when your filing status, dependents, or pre-tax deductions change to avoid over- or under-withholding.
• File to claim your TABOR refund — file your Colorado income tax return even if you have no balance due. TABOR refunds are only issued to filers, not automatically.

Tax Disclaimer

This calculator provides estimates for informational purposes only. It is not tax advice. Colorado tax rates, standard deduction amounts, and TABOR refund figures change annually. Federal brackets, FICA wage bases, and standard deduction amounts also change each year. Consult a qualified Colorado-licensed CPA or tax professional for guidance specific to your situation.