How this calculator works
Like the Texas calculator, this estimates federal tax and FICA the same way; Arkansas doesn’t change those. On top of that, it computes Arkansas’s own state income tax: a graduated bracket schedule up to $94,700 of taxable income, a separate and less generous “Upper Income Table” above that, and a flat $29-per-exemption personal tax credit. Arkansas has no second state payroll tax line item (no disability insurance, no paid family leave tax, no local income tax), so the breakdown below has only one state-tax row.
The formula
(federal tax, FICA, and net-pay assembly are identical to the Texas calculator)
arTaxableIncome = max(0, wagesAfterPretax − arStandardDeduction)
($2,470 single, $4,940 joint)
if arTaxableIncome <= $94,700:
arGrossTax = 2026 AR Standard Table applied to arTaxableIncome
(0% / 2% / 3% / 3.4% / 3.7%, thresholds at
$5,600 / $11,200 / $16,000 / $26,400)
else if arTaxableIncome <= $97,600:
arGrossTax = round(arTaxableIncome × 3.7%) − transition-band adjustment
(a 29-bin step table, $369.90 down to $89.90 in $10 steps)
else:
arGrossTax = round(arTaxableIncome × 3.7%) − $79.90
(the Upper Income Table: 2% × $4,700 + 3.7% × the rest)
arIncomeTax = max(0, arGrossTax − $29.00 × exemptions)
(1 exemption single, 2 exemptions joint)
stateTax = arIncomeTax
Worked example
A single filer earning $60,000/year, paid biweekly, with no 401(k) or extra deductions:
- FICA: $4,590.00/year (same as any state)
- Federal tax: $5,020.00/year (same as any state)
- AR taxable income: $60,000 - $2,470 standard deduction = $57,530
- AR gross tax (Standard Table): $57,530 taxed across the 0%/2%/3%/3.4%/3.7% brackets = $1,761.41/year
- Less the $29.00 personal tax credit (1 exemption): AR income tax = $1,732.41/year
- Net pay: $60,000 - $4,590 - $5,020 - $1,732.41 = $48,657.59/year, or $1,871.45 per biweekly paycheck
We checked our bracket math directly against the Arkansas Department of Finance and Administration’s own worked example in its 2026 Withholding Tax Formula document: for a $23,054.00 net taxable income (a different scenario, a $2,127/month earner with 2 exemptions), DFA’s own formula, using its administrative “$50 midrange” table-lookup shortcut, computes $495.73 of gross tax before credits. This calculator’s exact-dollar bracket math computes $495.84 for the same taxable income, within about 16 cents, the difference fully explained by DFA’s midrange-lookup rounding (this calculator computes exact annual liability rather than replicating an employer withholding table’s rounding shortcuts).
Frequently asked questions (FAQ)
Why is my Arkansas take-home pay different from a state with a single flat income tax rate?
Arkansas uses a graduated schedule: 0% on the first $5,600 of taxable income, then 2%, 3%, 3.4%, and 3.7% as income rises, plus a $29 personal tax credit per exemption. A flat-tax state like Colorado applies one rate to the whole amount instead, so the two states can land on different take-home pay even at the same salary.
What is Arkansas's Upper Income Table, and who does it affect?
Once your Arkansas taxable income passes $94,700, the state stops using the graduated brackets and instead taxes your whole income at close to 3.7% (2% on the first $4,700, 3.7% on the rest). This removes most of the benefit of the lower brackets, so higher earners pay noticeably more than a simple extension of the graduated schedule would suggest.
What is Arkansas's 2026 standard deduction, and does it differ by filing status?
Arkansas's 2026 standard deduction is $2,470 for a single filer and $4,940 (double) for a married couple filing jointly. Unlike the standard deduction, Arkansas's tax bracket dollar thresholds are the same for single and joint filers: they are not doubled for a joint return.
Does Arkansas have any other state payroll taxes besides income tax, like disability insurance?
No. Unlike California's SDI or Colorado's FAMLI, Arkansas has no state-mandated disability insurance or paid family leave payroll tax, and no local or occupational income tax. The only state-level payroll deduction on an Arkansas paycheck (besides federal tax and FICA) is Arkansas income tax itself.
What is Arkansas's personal tax credit, and how does this calculator use it?
Arkansas subtracts $29 per exemption directly from your computed tax, not from your taxable income. This calculator assumes one exemption (yourself) for a single filer and two exemptions (yourself and your spouse) for a joint filer, since it doesn't collect a dependent count.