If you work in North Carolina, it’s easy to assume your entire salary goes straight into your pocket—until your paycheck arrives. Between federal taxes, state income tax, and payroll deductions, your take-home pay can look very different from what’s on your offer letter.
This guide explains how to calculate your paycheck after taxes in North Carolina, with examples and simple math you can apply to any income level or pay frequency.
Step 1: Start with Your Gross Pay
Your gross pay is your total earnings before any taxes or deductions.
Examples:
- If you make $60,000 per year, your monthly gross pay is $5,000.
- If you earn $25/hour and work 40 hours a week, your weekly gross pay is $1,000.
If you’re paid biweekly, divide your annual salary by 26. For monthly, divide by 12. This gives you the base amount you’ll use in the next steps.
Step 2: Subtract Pre-Tax Deductions
Pre-tax deductions lower your taxable income, which means you pay less in taxes.
Common pre-tax deductions include:
- 401(k) or 403(b) retirement plan contributions
- Health, dental, or vision insurance premiums
- Health Savings Account (HSA) or Flexible Spending Account (FSA) contributions
Example:
If your monthly pay is $5,000 and you contribute $300 to a 401(k) and $200 to health insurance, your taxable income becomes:
$5,000 – $500 = $4,500
That $4,500 is the amount used to calculate taxes.
Step 3: Calculate Federal Income Tax
The IRS uses a progressive tax system, meaning different portions of your income are taxed at different rates.
2025 Federal Tax Brackets (Single Filer)
| Tax Rate | Taxable Income Range |
|---|---|
| 10% | Up to $11,600 |
| 12% | $11,601 – $47,150 |
| 22% | $47,151 – $100,525 |
| 24% | $100,526 – $191,950 |
| 32% | $191,951 – $243,725 |
| 35% | $243,726 – $609,350 |
| 37% | Over $609,351 |
To find your federal withholding, apply each rate to the part of your income within its range.
For Louisville earners, the Kentucky hourly calculator provides accurate numbers.
If you’re unsure why your take-home pay feels lower than expected, use our tool to understand your paycheck in just a few clicks.
Step 4: Add FICA Taxes (Social Security and Medicare)
Every paycheck in North Carolina includes FICA taxes, which fund Social Security and Medicare.
| Tax Type | Rate | Notes |
|---|---|---|
| Social Security | 6.2% | Applies up to $168,600 in earnings (2025 cap) |
| Medicare | 1.45% | No income cap |
| Additional Medicare | 0.9% | For income over $200,000 (single) |
Example:
On a $60,000 salary:
- Social Security = 6.2% × 60,000 = $3,720
- Medicare = 1.45% × 60,000 = $870
Total FICA = $4,590 per year (about 7.65 %).
Step 5: Apply North Carolina State Income Tax
North Carolina has a flat income tax rate, meaning everyone pays the same percentage regardless of income.
2025 North Carolina State Income Tax
| Income Range | Rate |
|---|---|
| All taxable income | 4.5 % |
If your taxable income (after deductions) is $60,000:
$60,000 × 4.5 % = $2,700 in state income tax for the year.
If you’re in Rochester, view statewide rates with the New York paycheck calculator.
Step 6: Subtract Post-Tax Deductions
After taxes, your employer may withhold a few other items, such as:
- Roth 401(k) contributions
- Wage garnishments
- Union dues
- After-tax insurance premiums
These don’t reduce your taxable income but still lower your net pay.
Step 7: Calculate Your Take-Home Pay
Now combine everything:
Net Pay = Gross Pay – (Federal Income Tax + FICA + State Tax + Pre-Tax + Post-Tax Deductions)
Example (Single Filer, $60,000 salary)
| Category | Amount |
|---|---|
| Gross Pay | $60,000 |
| Pre-Tax Deductions | − $2,500 |
| Federal Income Tax (≈ 12 %) | − $6,840 |
| FICA (7.65 %) | − $4,590 |
| NC State Income Tax (4.5 %) | − $2,700 |
| Net Take-Home Pay | ≈ $43,370/year |
That’s about $3,615 per month or $1,669 biweekly.
Step 8: Understand Pay Frequency
Your pay schedule affects how much you see in each paycheck, though the yearly total remains the same.
| Pay Frequency | Paychecks per Year | Example Net Pay ($60,000 salary) |
|---|---|---|
| Weekly | 52 | ≈ $833 |
| Biweekly | 26 | ≈ $1,669 |
| Monthly | 12 | ≈ $3,615 |
Knowing your pay frequency helps with budgeting and cash-flow planning.
Step 9: Compare with Other States
Here’s how take-home pay in North Carolina stacks up against other states for the same $60,000 salary.
| State | State Income Tax | Local Tax | Net Take-Home Pay |
|---|---|---|---|
| North Carolina | 4.5 % | None | ≈ $43,370 |
| Texas | 0 % | None | ≈ $46,000 |
| California | up to 9.3 % | None | ≈ $41,000 |
| New York | up to 10.3 % | up to 3.9 % | ≈ $40,500 |
North Carolina sits comfortably in the middle — you’ll pay less than high-tax states but more than no-tax states.
Step 10: Tips to Maximize Your Take-Home Pay
- Check your W-4 and NC-4 forms to make sure you’re not over-withholding.
- Increase pre-tax contributions (401(k), HSA, FSA) to lower taxable income.
- Confirm your insurance elections each year to avoid overpaying.
- Track overtime or bonuses — they’re taxed at a flat supplemental rate (22 % federally).
Explore Midwest updates using the Missouri salary calculator.
Frequently Asked Questions
1. What taxes are taken out of a paycheck in North Carolina?
Federal income tax, Social Security, Medicare, and North Carolina’s 4.5 % state income tax.
2. Does North Carolina have local income tax?
No. Most cities in North Carolina do not levy local income taxes.
3. How can I reduce the taxes taken from my paycheck?
Increase pre-tax contributions or adjust your W-4 withholding allowances.
4. What is the flat income tax rate in North Carolina for 2025?
It’s 4.5 % for all taxable income.
5. What percentage of my paycheck goes to FICA?
7.65 % — 6.2 % for Social Security and 1.45 % for Medicare.
Bettye is the creator of CityPaycheckCalculator.com, a resource designed to help individuals quickly and accurately estimate their take-home pay across U.S. cities. With a strong focus on clarity, accuracy, and user experience, Bettye provides reliable paycheck calculators and helpful insights to support smarter financial decisions. Her mission is to make complex payroll and tax information simple and accessible for everyone.