How Texas taxes wages
Texas has 0% state income tax. Article VIII, Section 24-a of the Texas Constitution prohibits a personal income tax.
Texas is one of 9 states with no tax on wages, along with Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Washington, and Wyoming.
Example: $65,000 salary, single filer
On a $65,000 salary, Texas state income tax is $0. You still pay federal income tax and FICA (Social Security and Medicare).
Calculators for Texas
- Paycheck calculator
Take-home pay after federal income tax, Social Security, and Medicare, with Texas selected: no state income tax to withhold.
- Tips and overtime calculator
Your federal deduction for qualified tips and overtime, with Texas selected. The savings are federal only, since Texas doesn’t tax wages.
- 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 Texas tax tips and overtime?
Texas doesn’t tax wages, so tips and overtime aren’t subject to state income tax either. The federal deduction for qualified tips and overtime (Schedule 1-A) still lowers your federal income tax.
Source: Texas Comptroller: small business information, 2025. Checked . See how every state treats tips and overtime
Texas vs. neighboring states
Across the border in Louisiana, New Mexico, Arkansas, and Oklahoma, the same $65,000 salary would owe up to $2,364 (Oklahoma).
| State | Est. tax on $65,000 | vs. Texas |
|---|---|---|
| Louisiana | $1,564 | +$1,564 |
| New Mexico | $1,907 | +$1,907 |
| Arkansas | $1,945 | +$1,945 |
| Oklahoma | $2,364 | +$2,364 |
Frequently asked questions
Does Texas have a state income tax?
No. Texas doesn’t tax wages, so no state income tax is withheld from your paycheck in 2026. Texas has 0% state income tax. Article VIII, Section 24-a of the Texas Constitution prohibits a personal income tax.
You still pay federal income tax, Social Security, and Medicare on your wages. The paycheck calculator with Texas selected shows your take-home pay after those.
Official source
For forms, exact brackets, and filing deadlines, go to the official Texas tax agency website.
Related states
- Arkansas2%–3.7% progressive
- Louisiana3% flat tax
- New Mexico1.5%–5.9% progressive
- Oklahoma2.5%–4.5% progressive