Colorado Take-Home Pay Calculator

Q: What is Colorado's state income tax rate?

Colorado has a flat state income tax rate of 4.4% for 2025 and 2026, up from 4.25% in 2024. Unlike most flat-tax states, Colorado doesn't have its own standard deduction — it applies the 4.4% rate directly to your federal taxable income, with a handful of state-specific additions and subtractions.

Q: Why doesn't Colorado have its own standard deduction?

Colorado calculates its tax base by starting directly from your federal taxable income — the number left after your federal standard deduction or itemized deductions are already applied — rather than building a separate state-specific deduction on top of gross income.

Q: Does Colorado have local city income tax?

No traditional local income tax, but several Colorado cities — including Denver, Aurora, and Boulder — levy a small flat-dollar Occupational Privilege Tax (OPT), often just a few dollars per month, on employees working within city limits.

Q: Could Colorado's tax rate drop further?

Colorado's TABOR (Taxpayer's Bill of Rights) constitutional amendment can trigger automatic, temporary rate reductions in years when state revenue exceeds certain caps, so the rate has fluctuated slightly from year to year rather than following a fixed phase-down schedule.

Estimate your Colorado paycheck using CO's flat 4.4% state income tax — applied directly to your federal taxable income — plus federal income tax and FICA.

Written by the Calculator Index team · Source: Colorado Department of Revenue (flat 4.4% rate on federal taxable income); IRS 2025 federal figures · Last reviewed September 2026

Take-home pay per paycheck

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Annual take-home

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Monthly take-home

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Federal income tax

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Colorado state tax (4.4%)

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Social Security (6.2%)

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Medicare (1.45%+)

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What comes out of a Colorado paycheck

Net pay = Gross − Federal income tax − (Federal taxable income × 4.4%) − Social Security − Medicare − Pre-tax deductions

Colorado is unusual among flat-tax states: it doesn't build its own standard deduction or exemption on top of gross wages. Instead, it starts from your federal taxable income — after the federal standard deduction is already subtracted — and applies a handful of Colorado-specific additions and subtractions before taxing the result at a flat 4.4%. For most wage earners without unusual state-specific adjustments, federal taxable income is a close approximation of the Colorado tax base.

Worked example — $80,000, single, biweekly

Federal taxable income (after $4,000 pre-tax and the $15,000 federal standard deduction): $61,000. CO tax: $61,000 × 4.4% = $2,684.

Federal tax on the same $61,000 ≈ $8,334 · CO state tax ≈ $2,684 · Social Security $4,960 · Medicare $1,160.

Annual take-home ≈ $58,862 → about $2,264 per biweekly paycheck (73.6% of gross).

Colorado's TABOR rate adjustments

Colorado's rate isn't on a simple year-over-year phase-down like some neighboring flat-tax states. Under the state's TABOR (Taxpayer's Bill of Rights) constitutional amendment, when state revenue collections exceed a constitutional cap, a portion can trigger a temporary rate reduction for that tax year. The rate rose from 4.25% (2024) to 4.4% for 2025 and stays at 4.4% for 2026 — future years could see it move either direction depending on state revenue.

Common mistakes when estimating Colorado take-home pay

Applying the state rate to gross wages instead of federal taxable income. Colorado's tax base already reflects the federal standard deduction — applying 4.4% to gross pay overstates the tax owed.
Forgetting Denver-area Occupational Privilege Taxes. Several cities charge a small flat monthly fee on top of income tax, distinct from a percentage-based local tax.
Assuming the rate follows a fixed schedule. Unlike states with a legislated phase-down, Colorado's rate can move due to TABOR revenue triggers.

Frequently asked questions

What is Colorado's state income tax rate?

A flat 4.4% for 2025 and 2026, applied to federal taxable income rather than gross wages.

Why doesn't Colorado have its own standard deduction?

It starts from federal taxable income, which already reflects the federal standard deduction, rather than building a separate state deduction.

Does Colorado have local city income tax?

No traditional local income tax, but several cities charge a small flat-dollar Occupational Privilege Tax.

Could Colorado's tax rate drop further?

It's possible — TABOR revenue triggers can adjust the rate year to year rather than following a fixed schedule.

Related calculators

Note: Simplified estimate using 2025 state and federal figures; excludes Colorado-specific additions/subtractions, local occupational taxes, and benefit specifics. Not tax advice. Figures: 2025 Colorado and federal tax year. Last reviewed: September 2026.