How New Jersey taxes wages
Seven brackets from 1.4% to 10.75%.
At $65,000 of wages, that is the 15th-lowest estimated bill of the 42 jurisdictions (including DC) that tax wages.
Its top rate of 10.75% is the 4th-highest (tied) among the 26 jurisdictions with progressive brackets.
Rates range from 1.4% to 10.75%. We don’t list the full bracket schedule here yet; for exact thresholds, see the official New Jersey tax agency website.
Example: $65,000 salary, single filer
| Wages | $65,000 |
|---|---|
| Income not taxed (approx. deduction, exemptions, 0% bracket) | −$1,000 |
| Income taxed | $64,000 |
| Average rate used for the estimate | × 3.2% |
| Estimated New Jersey income tax | $2,048 |
That works out to about $171 a month, or an effective rate of 3.15% of wages.
Calculators for New Jersey
- Paycheck calculator
Take-home pay after federal income tax, Social Security, Medicare, and New Jersey income tax, with New Jersey selected.
- Tips and overtime calculator
Your federal deduction for qualified tips and overtime, with New Jersey selected and its state rules applied to the New Jersey estimate.
- Senior deduction calculator
A federal deduction of up to $6,000 for each person 65 or older, after the income phase-out.
- Car loan interest calculator
A federal deduction for interest on a loan for a new, U.S.-assembled vehicle.
Does New Jersey tax tips and overtime?
New Jersey does not follow the federal tips and overtime deduction. New Jersey’s income tax doesn’t start from federal AGI, and the federal tips and overtime deductions don’t affect the New Jersey return for 2025 through 2028.
Qualified tips and overtime you deduct on your federal return (Schedule 1-A) are still taxed by New Jersey, and our estimate taxes your full wages.
Source: New Jersey Division of Taxation: the federal One Big Beautiful Bill Act, December 1, 2025. Checked . See how every state treats tips and overtime
To see your federal deduction and New Jersey tax together, open the tips and overtime calculator with New Jersey selected.
Local income taxes in New Jersey
Newark and Jersey City charge employers a 1% payroll tax.
These local taxes are not included in the estimate above.
New Jersey vs. neighboring states
Workers in Pennsylvania would owe less on the same salary. New York and Delaware would charge more.
| State | Est. tax on $65,000 | vs. New Jersey |
|---|---|---|
| Pennsylvania | $1,996 | −$53 |
| New York | $2,913 | +$865 |
| Delaware | $2,964 | +$916 |
Official source
For forms, exact brackets, and filing deadlines, go to the official New Jersey tax agency website.
Related states
- Delaware2.2%–6.6% progressive
- New York3.9%–10.9% progressive
- Pennsylvania3.07% flat tax
- West Virginia2.11%–4.58% progressive