Kentucky Paycheck Calculator
↻ Updated 2026 tax yearSee your real take-home pay in Kentucky for 2026 — after federal income tax, Social Security and Medicare (FICA) and Kentucky state income tax.
How Kentucky taxes your paycheck
Kentucky taxes wages at a flat 3.5% for 2026, applying the same rate to every dollar of taxable income rather than climbing through brackets. After a standard deduction of $3,360 for a single filer, the calculator above applies that flat 3.5% to estimate the Kentucky state income tax withheld from your pay.
The flat state rate is only half the story in Kentucky, because the state's real complexity lives at the local level. Where you work — not just where you live — can add a meaningful occupational tax on top of the 3.5%, so two people with identical salaries can see different take-home depending on the city or county.
Kentucky's occupational license (payroll) tax
Many Kentucky cities and counties levy an occupational license tax on wages, commonly running from about 1% to roughly 2.5%. Louisville's rate is about 2.2% and Lexington's is roughly 2.25%, and these are typically withheld based on where the work is performed. The calculator above models state income tax only, not local tax, so if you work in a jurisdiction with an occupational tax your actual withholding will be higher than the figure shown.
Frequently asked questions
What is the Kentucky income tax rate for 2026?
Kentucky uses a flat 3.5% income tax rate for 2026 after a $3,360 standard deduction for single filers. Note that many localities add a separate occupational tax on top. Enter your salary above to see the estimated Kentucky state tax on your specific pay.
Does Kentucky have local income taxes?
Yes — many Kentucky cities and counties charge an occupational license tax on wages, commonly about 1% to 2.5%, with Louisville around 2.2% and Lexington around 2.25%. This is separate from the flat 3.5% state tax and is not reflected in the calculator above.
- ·IRS Rev. Proc. 2025-32 — 2026 inflation adjustments — Tax year 2026 brackets & standard deduction
- ·IRS Topic 751 — Social Security & Medicare withholding rates
- ·Tax Foundation — 2026 State Income Tax Rates and Brackets — State wage-tax estimate; excludes local income taxes
RealMoneyIQ provides free educational calculators, not financial, tax, investment or legal advice. Results are estimates based on the assumptions you enter and publicly published rates; your actual outcome will differ. Always confirm decisions with a licensed professional who knows your full situation.