How do I convert an hourly wage to an annual salary?

Multiply your hourly rate by the hours you work per week and then by the weeks you work per year. For example, $25 per hour at 40 hours a week for 52 weeks is $25 x 40 x 52 = $52,000 gross per year. This calculator does that and then estimates your Indiana take-home pay after taxes.

What is Indiana's state income tax rate?

Indiana uses a single flat income tax rate rather than brackets. For 2025 the state rate is 3.00%, after it stepped down from 3.05% in 2024. The flat rate applies to your adjusted gross income after exemptions, so everyone pays the same marginal percentage regardless of income level.

Why does Indiana add a county income tax?

Every Indiana county levies its own local income tax (LIT) on top of the state rate, typically between about 0.5% and 3.0%. For example, Marion County (Indianapolis) is about 2.02% and Hamilton County is about 1.10%. Your county tax is based on where you live and is withheld alongside the state tax.

What is the Indiana personal exemption?

Indiana allows a $1,000 deduction for each personal and dependent exemption you claim, which reduces the income subject to both the state and county tax. This calculator subtracts $1,000 per exemption before applying the 3.00% state rate and your county rate.

Is this take-home estimate exact?

No, it is a close planning estimate. It uses 2025 federal brackets and the standard deduction, current FICA rates, Indiana's flat 3.00% rate, and your county rate. It does not model 401(k) or pre-tax deductions, tax credits, or the 0.9% Medicare surtax. For an exact paycheck, use your employer's payroll system.

Indiana Hourly to Salary Calculator — Take-Home Pay

This calculator turns any hourly wage into a gross annual salary and then estimates your real Indiana take-home pay after federal income tax, FICA, Indiana’s flat state income tax, and your county’s local income tax. It is built for Indiana workers weighing a job offer, budgeting a move, or checking how much of a raise they actually keep.

How it works

First the tool annualizes your hourly rate:

Gross annual salary = Hourly rate × Hours per week × Weeks per year

Then it subtracts each tax in turn:

FICA — 6.2% Social Security on wages up to the $176,100 (2025) wage base, plus 1.45% Medicare on all wages.
Federal income tax — 2025 brackets applied to income after the standard deduction ($15,000 single, $30,000 joint).
Indiana state income tax — a flat 3.00% (2025) applied to income after a $1,000-per-exemption deduction.
County income tax — a flat local rate that every Indiana county sets, applied to the same exemption-reduced base.

Net take-home = Gross − FICA − Federal tax − Indiana 3.00% tax − County tax

Indiana paycheck details

Indiana is one of the few states with a flat income tax, so there are no brackets to climb — every dollar of taxable income is taxed at 3.00% in 2025. What makes Indiana paychecks distinctive is the county income tax: residents pay an extra local rate set by their home county, from roughly 0.5% to 3.0%. Indiana has no state disability insurance deduction.

Worked example

A worker earns $25/hour, 40 hours/week, 52 weeks/year, files single, claims 1 exemption, and lives in Marion County (2.02%):

Gross salary = $25 × 40 × 52 = $52,000
FICA ≈ $52,000 × 7.65% = $3,978
Federal income tax (after $15,000 standard deduction) ≈ $4,016
Indiana state tax = ($52,000 − $1,000) × 3.00% ≈ $1,530
Marion County tax = ($52,000 − $1,000) × 2.02% ≈ $1,030
Net take-home ≈ $41,400 per year ≈ $1,594 bi-weekly

Note: Figures are estimates for planning and assume standard deductions with no 401(k), HSA, or other pre-tax contributions. Pick your real county for an accurate local rate. For an exact paycheck, rely on your employer’s payroll calculation.