Tennessee Paycheck Calculator 2026

The Hall tax and why Tennessee wages are not taxed

Tennessee's only individual income tax was the Hall income tax, and it never reached wages: it applied only to interest from bonds and notes and to dividends from stock^[tn1]. Enacted in 1929, it was named after the senator who sponsored it. It was repealed for tax periods beginning on or after January 1, 2021. The Department of Revenue now asks people not to file a Hall return for any later year.

For a paycheck, the result is that the Tennessee paycheck calculator has no state line. Employers withhold:

• federal income tax under your W-4 (about $193.08 per biweekly check on $60,000, single);
• Social Security at 6.2% until wages pass $184,500 in 2026^[ssa];
• Medicare at 1.45%, plus 0.9% on wages above $200,000.

Anything else on a Tennessee stub, such as health premiums, retirement deferrals or union dues, comes from your own elections or your employer's plans, not from a state tax.

Where Tennessee collects instead: sales, business and license taxes

Sales tax is Tennessee's main source of state tax revenue, about 60% of all tax collections, according to the Department of Revenue^[tn2]. The general state rate is 7%, and counties and cities add a local rate on top. A Tennessee household therefore pays its state tax at the register rather than through payroll, and a take-home figure from this calculator overstates spending power by whatever sales tax the budget absorbs.

The professional privilege tax is the one most likely to touch a salaried worker. Individuals licensed or registered in Tennessee to practice one of the professions listed in Tenn. Code Ann. § 67-4-1702 owe $400 each June 1, and someone with more than one listed license pays only once a year^[tn3]. This calculator does not treat it as a payroll deduction. Franchise and excise taxes fall on business entities: the franchise tax is figured on net worth with a $100 minimum, and the excise tax on net earnings^[tn4].

Overtime, filing status and other pay moves in Tennessee

With no state withholding, every change to a Tennessee check runs through federal rules. Three examples on 2026 figures:

• Overtime. At $22 an hour, a 40-hour week leaves $1,498.01 per biweekly check. Adding 5 overtime hours a week at time and a half raises gross by $330.00 and take-home by $265.16, because federal tax and FICA rise with the extra pay. The overtime tax calculator covers the federal deduction for overtime premiums.
• Filing status. Switching the W-4 from single to married filing jointly lifts take-home on $60,000 from $1,938.08 to $2,021.92 per check, since the married table withholds less.
• Pay frequency. Weekly, biweekly and monthly schedules spread the same annual tax differently. Change Pay frequency to see the per-check figure for your employer's schedule.

Neighbors handle this differently. Kentucky and Georgia withhold state income tax, so the same $60,000 nets less there; the comparison below the take-home table shows how much.

Tennessee take-home pay on common salaries

Worked example: $60,000 in Tennessee

1. Gross pay: $60,000 a year ÷ 26 paychecks = $2,307.69.
2. Federal income tax: the IRS percentage method annualizes $60,000 of taxable wages, subtracts the $8,600 built into the 2026 tables for a standard W-4, and applies the brackets (top rate 12%): $193.08^[p15t].
3. FICA: 6.2% Social Security $143.08 plus 1.45% Medicare $33.46^[tc751].
4. Tennessee: no state income tax is withheld.
5. Net pay: $1,938.08 per paycheck, $50,390 a year (84% of gross).

Compare Tennessee with nearby states

Same $60,000 salary, different state: Georgia $1,851.71 · Alabama $1,841.58 · North Carolina $1,864.08 per paycheck. The state tax calculator ranks every state we cover on one salary, and the paycheck calculator switches states in one click. Hourly? Add overtime with the time and a half calculator.