Calculating your take-home pay in North Carolina requires understanding three primary layers of taxation: Federal Income Tax, FICA (Social Security and Medicare), and the North Carolina state income tax. Unlike many states with progressive brackets, North Carolina currently utilizes a flat tax rate system.
North Carolina Flat Tax Rate
As of 2024, North Carolina enforces a flat income tax rate of 4.5%. This means that regardless of whether you earn $30,000 or $300,000, your state tax obligation is calculated as a fixed percentage of your taxable income. The state also provides a standard deduction which reduces your taxable base. For single filers, the standard deduction is typically around $12,750.
Federal Taxes and FICA
While the state tax is flat, your federal taxes are progressive, ranging from 10% to 37%. Additionally, every employee is subject to FICA taxes:
Social Security: 6.2% (up to the annual wage base limit).
Medicare: 1.45% (with an additional 0.9% for high earners).
Example Calculation
If you earn $50,000 annually in North Carolina as a single filer:
FICA: Roughly $3,825 (7.65%).
State Tax: After the NC standard deduction ($12,750), you are taxed 4.5% on $37,250, totaling approximately $1,676.
Federal Tax: Estimated at $3,600 after standard deductions.
Take-Home: Your annual net pay would be roughly $40,899, or about $1,573 bi-weekly.
function calculateNCPay() {
var gross = parseFloat(document.getElementById("grossPay").value);
var filingStatus = document.getElementById("filingStatus").value;
var frequency = parseFloat(document.getElementById("payFrequency").value);
if (isNaN(gross) || gross 168600) {
// Social Security cap logic simplified
fica = (168600 * 0.062) + (gross * 0.0145);
}
// NC State Tax (Flat 4.5% for 2024)
var ncTaxable = Math.max(0, gross – ncStdDeduction);
var ncTax = ncTaxable * 0.045;
// Federal Income Tax (Simplified 2024 Brackets for Single)
var fedTaxable = Math.max(0, gross – fedStdDeduction);
var fedTax = 0;
if (filingStatus === "single" || filingStatus === "head") {
if (fedTaxable <= 11600) {
fedTax = fedTaxable * 0.10;
} else if (fedTaxable <= 47150) {
fedTax = 1160 + (fedTaxable – 11600) * 0.12;
} else if (fedTaxable <= 100525) {
fedTax = 5426 + (fedTaxable – 47150) * 0.22;
} else {
fedTax = 17168 + (fedTaxable – 100525) * 0.24;
}
} else {
// Married Jointly
if (fedTaxable <= 23200) {
fedTax = fedTaxable * 0.10;
} else if (fedTaxable <= 94300) {
fedTax = 2320 + (fedTaxable – 23200) * 0.12;
} else {
fedTax = 10852 + (fedTaxable – 94300) * 0.22;
}
}
var netAnnual = gross – fica – ncTax – fedTax;
var perPaycheck = netAnnual / frequency;
// Display Results
document.getElementById("resGross").innerText = "$" + gross.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("resFed").innerText = "- $" + fedTax.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("resFICA").innerText = "- $" + fica.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("resState").innerText = "- $" + ncTax.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("resNet").innerText = "$" + netAnnual.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("resPerPay").innerText = "$" + perPaycheck.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("nc-result-area").style.display = "block";
}