GEORGIA PAYCHECK CALCULATOR

Flat 4.99% state tax Zero local income tax Social Security exempt

Georgia just posted one of the biggest state tax cuts in the country for 2026. Governor Kemp signed HB 463 on May 11, 2026, dropping the flat income tax rate from 5.19% to 4.99%, retroactive to January 1. That means every paycheck issued in Georgia this year is taxed at under 5% of taxable income, and the state got there three years ahead of the original phase-down schedule. Employers actually had to keep withholding at the old 5.19% rate until the updated tables landed on May 11, so anyone paid earlier in the year may see a small true-up when they file.

A Georgia paycheck is simpler than most because of what’s missing from it. There’s no city or county income tax anywhere in the state, not in Atlanta, not in Savannah, nowhere. There’s also no state disability insurance withholding and no paid family leave tax, both of which show up on paychecks in states like California or New York. What you’ll actually see deducted is federal income tax, the flat Georgia state tax, Social Security, and Medicare. If you’re comparing Georgia against a neighbor or a state you’re relocating from, our Florida paycheck calculator, Tennessee paycheck calculator, North Carolina paycheck calculator, and South Carolina paycheck calculator use the same 2026 federal numbers so the comparison is apples to apples.

Every Deduction on a Georgia Paycheck

Federal income tax: Withheld using the 2026 IRS brackets, seven rates running from 10% to 37%, applied after your federal standard deduction ($16,100 single, $32,200 married filing jointly, $24,150 head of household).

Georgia state income tax: A flat 4.99% on taxable income after the Georgia standard deduction ($15,000 single, head of household, or married filing separately; $30,000 married filing jointly). No brackets, no marginal steps, everyone pays the same rate on every dollar above the deduction.

Social Security tax: 6.2% of wages up to the 2026 taxable maximum of $184,500. Once your year-to-date wages cross that number, Social Security withholding stops for the rest of the year and your paycheck gets a little bigger.

Medicare tax: 1.45% of every dollar of wages, no cap. High earners pay an extra 0.9% on wages above $200,000 (single or head of household) or $250,000 (married filing jointly), and that additional amount is withheld from the employee only, employers don’t match it.

Local income tax: None. Georgia doesn’t authorize cities or counties to levy a payroll tax, so this line simply doesn’t exist on a Georgia pay stub.

State disability insurance / paid family leave: None. Georgia has no state-run disability or paid leave program funded through payroll withholding.

Georgia’s Flat Tax: How the Rate Got to 4.99%

Georgia scrapped its old six-bracket system, which topped out at 5.75%, back in 2022 in favor of a single flat rate that steps down over time as state revenue allows. The most recent cut, under HB 463, arrived faster than planned. Here’s the timeline:

HB 463 also raised the standard deduction to $15,000/$30,000 and lifted the retirement income exclusion for taxpayers 65 and older from $65,000 to $70,000 per person, effective 2027. The law leaves room for further annual rate cuts in future years, but those depend on the state hitting its revenue triggers, so nothing beyond 2026 is locked in yet.

Georgia vs. Nearby States at $70,000 (Single Filer)

Here’s what a single filer earning $70,000 actually keeps in Georgia compared with three states people in the Southeast commonly cross-shop against, using each state’s 2026 rules and the same federal numbers throughout.

Figures assume the standard deduction, no additional pre-tax withholdings, and include federal tax, state tax, Social Security, and Medicare. Florida and Tennessee levy no state income tax at all, so the gap you see there comes entirely from the missing state tax line, not from any difference in federal or FICA treatment.

Georgia’s Tax Trade-Offs, the Full Picture

A flat income tax under 5% looks great on its own, but it’s only one part of what you actually pay in a year. Here’s how Georgia stacks up against national averages across the other big tax categories.

If You’re Retired, Tipped, or Working Overtime in Georgia

Retirees: Georgia is genuinely competitive here. Social Security is never taxed, full stop, no income limit. On top of that, anyone 65 or older can exclude up to $65,000 of other retirement income per person for 2026, covering pensions, 401(k) and IRA withdrawals, and similar income. That exclusion climbs to $70,000 per person starting in 2027 under the same law that cut the income tax rate.

Tipped and overtime workers: This one catches people off guard. The federal One Big Beautiful Bill Act created new federal deductions for qualified tips and overtime pay, but Georgia has decoupled from those provisions for tax years 2026 through 2028. In plain terms, your tips and overtime pay might reduce what you owe the IRS, but they’re still fully taxable at the Georgia state level, and employers now have to report qualified overtime compensation and cash tips separately on year-end statements. If you work in a tipped or overtime-heavy job in Georgia, don’t assume your state tax bill shrinks the same way your federal one might.

Federal Tax on $70,000: The Math, Step by Step

Federal brackets are marginal, meaning each rate only applies to the slice of income inside that bracket, not your whole paycheck. Here’s a single filer earning $70,000 in 2026, using the $16,100 standard deduction.

Add Georgia’s flat 4.99% on top of that (about $2,745 on $55,000 of Georgia taxable income after its own $15,000 deduction), plus $4,340 in Social Security and $1,015 in Medicare, and this filer’s total tax bill lands around $14,670, leaving roughly $55,330 in net pay for the year before any 401(k) or insurance deductions.

Frequently Asked Questions

The Bottom Line

Georgia’s combination of a sub-5% flat rate, no local income tax, and no disability or family leave withholding makes its payroll math about as straightforward as it gets among states that still tax income at all. The trade-off shows up if you compare it against true no-tax states like Florida or Tennessee, where that entire line item disappears. Where Georgia earns points back is on property tax, which sits comfortably below the national average, and on retirement income, where Social Security and a sizable exclusion for seniors take a real bite out of what retirees owe. Whichever way you’re weighing it, the swing between a 4.99% state and a 0% state on a $70,000 salary comes out to less than $3,000 a year, smaller than most people assume before they run the actual numbers.