Nebraska payroll taxes

Nebraska state income tax: Progressive brackets. Employers withhold using your Nebraska W-4N and the latest Nebraska Department of Revenue tables.
Local income tax: Nebraska cities/counties do not levy wage-based local income taxes on employees.
FICA (federal): Social Security and Medicare—see the FICA section below.
Federal income tax (FIT): Withheld using IRS rules from your federal Form W-4 elections.
State Unemployment Insurance (SUI): Employer-paid only; employees do not pay Nebraska UI from wages.
Pre-tax deductions: Traditional 401(k), HSA/FSA, and Section 125 premiums may reduce taxable wages (FIT/state and sometimes FICA).
Post-tax deductions: Roth 401(k), garnishments, union dues, and other after-tax items reduce net pay after taxes.

How Your Nebraska Paycheck Works

Start with gross pay for the period (salary, or hourly rate × hours; include overtime when due).
Subtract pre-tax items (401(k), HSA/FSA, cafeteria plans) to determine taxable wages.
Compute FICA (Social Security up to the annual wage base; Medicare on all wages; Additional Medicare for high earners).
Calculate federal withholding using IRS methods and your W-4.
Calculate Nebraska state withholding using W-4N details and current state tables.
Employer separately pays Nebraska SUI—this does not reduce your net pay.
Subtract post-tax deductions (Roth 401(k), garnishments) to reach net pay.

Nebraska unemployment insurance (SUI) — 10-year snapshot

Employees do not pay Nebraska UI from wages. Employers contribute on a taxable wage base at experience or new-employer rates; confirm with your annual rate notice.

Year	Employee UI Rate	Employee Pays?	Employer Taxable Wage Base (approx.)	New Employer Rate (typ.)	Experienced Employer Rate Range (approx.)
2016	0%	No	$9,000	~2.5%–3.0%	~0.0%–5.4%
2017	0%	No	$9,000	~2.5%–3.0%	~0.0%–5.4%
2018	0%	No	$9,000	~2.5%–3.0%	~0.0%–5.4%
2019	0%	No	$9,000	~2.5%–3.0%	~0.0%–5.4%
2020	0%	No	$9,000	~2.5%–3.1%	~0.0%–5.6%
2021	0%	No	$9,000	~2.5%–3.1%	~0.0%–5.6%
2022	0%	No	$9,000	~2.5%–3.2%	~0.0%–5.8%
2023	0%	No	$9,000	~2.5%–3.2%	~0.0%–6.0%
2024	0%	No	$9,000	~2.5%–3.3%	~0.0%–6.2%
2025	0%	No	$9,000	~2.5%–3.5%	~0.0%–6.5%

Nebraska salary threshold

Nebraska follows federal FLSA white-collar rules. Exempt status requires meeting the current federal salary threshold and the applicable duties tests. If either is not met, overtime is due after 40 hours in a workweek.

Median Household Income — Nebraska (10 years, current dollars)

Illustrative nominal values to show the trend; consult the latest American Community Survey for official figures.

Year	Median Household Income
2015	$56,900
2016	$58,500
2017	$60,800
2018	$63,200
2019	$65,800
2020	$66,200
2021	$70,100
2022	$75,300
2023	$78,600
2024	$80,200

Nebraska Federal Insurance Contributions Act (FICA)

Social Security: 6.2% employee + 6.2% employer, up to the annual federal wage base.
Medicare: 1.45% employee + 1.45% employer on all wages.
Additional Medicare: 0.9% employee-only on wages above $200,000 (employer remains 1.45%).

Number of cities that have local income taxes

Nebraska municipalities do not impose wage-based local income taxes on employee paychecks. Your stub typically shows federal withholding, Nebraska state income tax, FICA, and benefit or court-ordered deductions. Some localities assess employer occupation or business fees, but those are not employee wage deductions and do not alter standard payroll withholding calculations.

Local income tax table (employee wage tax)

City/County	Local Income/Wage Tax	Notes
Statewide (Nebraska)	None	No city/county percentage-of-wages income tax on employees

Nebraska Wage and Hour Laws: Overtime, Pay Frequency

Overtime: Most non-exempt workers earn 1.5× after 40 hours/week (no statewide daily overtime rule).
Minimum wage: Statewide rate set by statute and adjusted per law; check the rate effective for your pay period.
Pay frequency: Employers must establish regular paydays (weekly/biweekly/semimonthly common) and pay wages on time; final-pay deadlines apply at separation.
Breaks/meals: Follow federal/state rules; minors and certain industries may have additional protections.

Additional Nebraska forms

W-4N — Nebraska Employee’s Withholding Allowance Certificate.
Withholding returns — Employer deposit schedule and annual reconciliation with W-2 filing.
UI Employer Registration & Rate Notice — Nebraska Department of Labor account setup and annual SUI rate assignment.
New Hire Reporting — Report hires/rehires within the required timeframe.
Required workplace posters — Wage/hour, unemployment, safety, and federal postings.

FAQs — Nebraska Salary Paycheck Calculator

How do I use a Nebraska Salary Paycheck Calculator to estimate net pay?

Enter gross pay and pay frequency, your federal W-4 and W-4N elections, plus any pre-/post-tax deductions. The calculator applies FICA, federal withholding, and Nebraska state withholding to produce per-paycheck and annual take-home estimates.

Does any Nebraska city take a local income tax out of wages?

No. Nebraska does not impose municipal wage-based income taxes. You’ll typically see federal, state, FICA, and benefit/garnishment lines on your pay stub.

Do Nebraska employees pay unemployment tax from wages?

No. Nebraska UI is funded by employer contributions only. Employees do not have a state UI deduction on their pay stubs.

Which form changes my Nebraska state withholding?

Use W-4N to set or update Nebraska withholding elections—update after life events, address changes, or when you hold multiple jobs.

What salary makes me exempt from overtime in Nebraska?

Nebraska follows federal FLSA rules. Exempt status requires meeting the current federal salary threshold and the applicable duties tests; otherwise overtime is due after 40 hours in a week.

How are bonuses and commissions taxed on a Nebraska paycheck?

They’re subject to federal supplemental methods, FICA, and Nebraska state withholding. There is no local wage tax. Enter them as supplemental pay to apply the correct withholding.

Can I add a flat extra amount of Nebraska withholding each paycheck?

Yes. Request an additional dollar amount on W-4N and enter the same extra amount in the calculator to preview its effect on take-home and your year-end balance.

How do multiple jobs affect my Nebraska paycheck estimate?

Multiple jobs increase total taxable income and may raise federal and state withholding. Use the multiple-jobs steps on your federal W-4 and reflect combined income when estimating.

Are HSA/FSA and 401(k) contributions pre-tax for Nebraska?

Generally yes for federal and Nebraska income tax (and sometimes FICA, depending on plan type). Mark them as pre-tax to reduce taxable wages and increase net pay.

Does Nebraska tax pre-tax commuter or parking benefits?

Qualified commuter benefits can reduce federal and Nebraska taxable wages up to federal limits. Enter them as pre-tax so the calculator adjusts withholding accordingly.

Why is my coworker’s take-home different even with the same salary?

Differences in W-4/W-4N elections, pre-tax benefits, Roth vs. traditional choices, supplemental wage timing, and garnishments can change taxable wages and withholding, causing different net pay.

How should I handle overtime and shift differentials?

Add overtime hours and premiums; the calculator includes them in gross pay and recomputes FICA, federal, and state withholding for the period.

What pay frequency should I choose?

Select the schedule your employer uses (weekly, biweekly, semimonthly, monthly). The calculator prorates withholding per period and annualizes statutory caps like Social Security.

Can I claim exempt from Nebraska withholding?

Only if you meet Nebraska’s criteria (e.g., no tax liability last year and none expected this year). Otherwise use standard W-4N elections or add a specific extra amount.

How are tips treated for Nebraska withholding?

Reported tips are subject to FIT, FICA, and Nebraska state withholding. Include tips in your estimate to avoid under-withholding.

Does Additional Medicare tax apply in Nebraska?

Yes—federally. Employees pay an extra 0.9% on wages above $200,000. The employer does not match it. The calculator adds it when your wages cross the threshold.

How do I model year-to-date (YTD) earnings and caps?

Enter YTD wages and withholdings so the calculator can stop Social Security after the annual cap while continuing Medicare, improving mid-year accuracy.

How are PTO cash-outs taxed?

PTO payouts are taxable wages subject to FIT, FICA, and Nebraska withholding. If paid separately, employers may use supplemental methods; model as supplemental wages.

Do student employees ever avoid FICA?

Some student workers at qualified institutions may be FICA-exempt while enrolled at least half-time. If exempt, remove FICA in that job’s calculation for accurate net pay.

How do I reflect a mid-year raise or promotion?

Run two scenarios—old rate for periods already paid and new rate for remaining periods—then combine to project full-year withholding and net pay.

Can the calculator handle nonresident or part-year Nebraska scenarios?

Yes. Enter Nebraska-source wages for the applicable months and set your residency accordingly; your annual return will reconcile part-year or nonresident allocations.

Are charitable payroll deductions pre-tax?

Typically no; they are post-tax and do not reduce taxable wages for withholding. Any deduction benefits are reconciled on your income tax return.

How are non-cash awards or imputed income handled?

Add the fair market value to taxable wages; the calculator withholds taxes on the imputed amount while cash received remains unchanged for that portion.

What if I telework from another state part of the week?

Withholding generally follows where wages are sourced. Coordinate with payroll to reflect out-of-state workdays; your returns will allocate income across states accordingly.

Does Nebraska have SDI or PFML payroll deductions?

Nebraska does not have a statewide SDI or PFML payroll deduction; your paycheck will not include those state-specific lines.

How do garnishments affect my paycheck?

Enter garnishments as post-tax deductions. The calculator subtracts them after taxes. Statutory limits and employer processing timelines apply.

How can I prevent a large balance due at year-end?

Increase per-paycheck withholding using an extra amount on W-4 and W-4N, or raise pre-tax contributions (HSA/401(k)) if appropriate. The calculator shows the impact immediately.

Are relocation reimbursements taxable in Nebraska?

Most moving reimbursements are taxable for federal and Nebraska purposes unless a specific exclusion applies. Include taxable amounts as wages to withhold properly.

How are severance payments treated?

Severance is taxable and subject to FIT, FICA, and Nebraska withholding. If paid separately, employers often use supplemental methods; model as supplemental wages for accuracy.

Can I compare traditional vs. Roth 401(k) effects on take-home?

Yes. Run a traditional (pre-tax) scenario and a Roth (post-tax) scenario to see immediate net-pay differences and plan long-term tax outcomes.

Why did my net increase later in the year without a raise?

You may have exceeded the Social Security wage base, so Social Security withholding stopped for the remainder of the year. Medicare continues, increasing net pay.

Nebraska Salary Paycheck Calculator