Arkansas Paycheck Calculator
Estimate Arkansas take-home pay including federal, state, local taxes and FICA, with pre-tax deductions and multiple pay frequencies.
Arkansas income tax rate
Arkansas uses progressive individual income tax brackets that have been simplified and reduced in recent years. Employers determine Arkansas withholding from your AR4EC (plus federal W-4), applying the state tables to taxable wages after pre-tax benefits such as traditional 401(k), HSA/FSA, and pre-tax insurance. Supplemental wages (bonuses/commissions) are generally withheld using the same schedule methods. While brackets and credits can change, the top rate has trended down over the last decade, increasing take-home pay for many workers. Remember that deductions, dependents, and pre-tax elections significantly affect each paycheck’s Arkansas state tax.
| Year | Top Rate |
|---|---|
| 2016 | 6.90% |
| 2017 | 6.90% |
| 2018 | 6.90% |
| 2019 | 6.60% |
| 2020 | 5.90% |
| 2021 | 5.90% |
| 2022 | 5.50% |
| 2023 | 4.90% |
| 2024 | 4.40% |
| 2025 | 4.40% |
Arkansas median household income
Arkansas median household income has generally risen over the last decade, with brief pandemic-era volatility and subsequent gains as labor markets tightened. Medians differ by region—Northwest Arkansas and some suburban areas tend to exceed statewide figures, while rural counties often trend lower. The table shows directional nominal values you can use to benchmark offers or budgeting plans. For purchasing-power analysis, compare “real” (inflation-adjusted) dollars and consider household size, benefits, and local living costs (housing, transportation, childcare). City- and county-level medians may diverge substantially from statewide numbers.
| Year | Income |
|---|---|
| 2016 | $45,600 |
| 2017 | $47,100 |
| 2018 | $48,900 |
| 2019 | $50,800 |
| 2020 | $51,800 |
| 2021 | $53,200 |
| 2022 | $55,000 |
| 2023 | $57,300 |
| 2024 | $58,600 |
| 2025 | $59,400 (prelim.) |
Arkansas Federal Insurance Contributions Act (FICA)
FICA is a federal payroll tax that funds Social Security and Medicare. Employees pay 6.2% Social Security on wages up to the annual wage base (employers match) and 1.45% Medicare on all wages (employers match). High earners pay an additional 0.9% Medicare surtax above federal thresholds (not matched by employers). In Arkansas, FICA is withheld alongside federal and state taxes each pay period. Most pre-tax health premiums and Section 125 cafeteria plan deductions reduce taxable wages for income tax and often for FICA; traditional 401(k) lowers income tax wages but not FICA wages.
Arkansas number of cities that have local income taxes
Arkansas does not impose local (city/county) wage income taxes. Paychecks typically include federal withholding, FICA, and Arkansas state income tax only.
| Locality | Resident Rate | Nonresident Rate |
|---|---|---|
| All Arkansas cities/counties | None | None |
How Your Arkansas Paycheck Works
Payroll starts with your gross wages for the period. Pre-tax deductions—traditional 401(k), HSA/FSA, commuter, and pre-tax insurance—reduce taxable wages for federal and Arkansas income tax (not all reduce FICA). Your employer withholds federal income tax (W-4), Social Security and Medicare (FICA), and Arkansas state tax using your AR4EC elections and the state tables for your pay frequency. Post-tax items (Roth 401(k), garnishments, voluntary after-tax deductions) are taken after taxes and do not reduce taxable income. Pay schedule changes per-check amounts but not your annual tax liability.
Arkansas Wage and Hour Laws: Overtime, Pay Frequency
Arkansas follows the federal FLSA: most non-exempt employees earn 1.5× their regular rate for hours worked over 40 in a workweek; white-collar exemptions apply if duties and salary thresholds are met. Employers must establish a regular payday and pay on consistent intervals (many use biweekly or semimonthly). Final wages are due within statutory timelines after separation. Arkansas also enforces youth-labor, recordkeeping, and wage-payment rules; employers should provide itemized statements showing hours, rates, taxes, and deductions so workers can verify accurate pay.
Arkansas FAQs
How do I use the Arkansas Paycheck Calculator?
Enter gross pay, filing status, AR4EC details, pre-tax benefits, and pay schedule to estimate Arkansas withholding, FICA, and take-home pay.
What are Arkansas’s current income tax brackets?
Arkansas uses progressive brackets with a reduced top rate compared to prior years; see the 10-year table for context.
Does any Arkansas city have a wage income tax?
No. Arkansas cities and counties do not levy local wage income taxes; state tax and FICA are the main payroll taxes.
How do pre-tax 401(k) and HSA contributions affect my check?
They lower taxable wages for income tax, boosting take-home pay; 401(k) does not reduce FICA, while many health premiums do.
Are bonuses taxed differently in Arkansas?
State withholding follows Arkansas tables; for federal, employers may use percentage or aggregate methods on supplemental wages.
How often must I be paid in Arkansas?
Employers must set a regular payday and pay consistently—commonly biweekly or semimonthly—per policy, contract, and state requirements.
Why is my coworker’s withholding different?
Differences in AR4EC elections, local residence, pre-tax benefits, supplemental pay, and year-to-date earnings can change per-check withholding.
What is Arkansas’s minimum wage policy?
Arkansas sets a statewide minimum wage by statute; employers must pay the higher of state or federal minimum where they differ.
Where can I confirm current Arkansas rates and forms?
Check the Arkansas Department of Finance and Administration for AR4EC, withholding tables, and the latest tax updates.