Tennessee Paycheck Calculator

Paycheck taxes in Tennessee

Tennessee's status as a no-income-tax state is recent, and the tax it shed had a name and a birthday. The Hall income tax, enacted in 1929 and named for the state senator who sponsored the legislation, never touched wages — it was imposed only on interest from bonds and notes and dividends from stock. The General Assembly then phased it out a percentage point at a time: 4% for tax years beginning in 2017, 3% for 2018, 2% for 2019, and 1% for 2020, with the Department of Revenue now instructing filers not to submit a return for any tax year beginning on or after January 1, 2021. In its place the sales tax does the heavy lifting, at a general state rate of 7% before local rates are added, and it accounts for roughly 60% of all state tax collections.

Bonuses and supplemental wages in Tennessee

Tennessee has no state income tax, so a bonus carries no state supplemental withholding at all — whichever method your employer uses, the state takes nothing. Only federal supplemental withholding applies, which is a flat 22% on supplemental wages up to $1 million.

For the federal half, which this site does model, compare what withholding takes from a bonus against what you actually owe — the 22% flat rate is withholding, not a tax bill, and the difference comes back at filing.

Tennessee vs. its neighbors

On a $100,000 salary you keep $79,180 in Tennessee — $4,936 more than in neighboring Virginia, $4,241 more than in Georgia, and $3,481 more than in North Carolina.

Tennessee levies no state income tax, so any gap above is state income tax paid by the other states — federal income tax and FICA are identical everywhere. Single filer, $100,000 of wages, no 401(k) or other pre-tax deductions, 2025 state tables. Local income taxes (city and county) are not included. Run your own salary through the calculator above, or on any state's page.

Neighbours are only part of the picture. The study behind these figures ranks what a $100,000 salary takes home in all 50 states, with Tennessee's row in place — the entire spread between best and worst is state income tax, since federal tax and FICA are identical everywhere.

A worked example at Tennessee's median income

Tennessee's median household income is $75,860 (2024, U.S. Census Bureau via FRED (real median household income)). Run through the same engine as the calculator above (single filer, taxes only):

That is an effective all-in tax rate of 18.0% at the median — your own number depends on filing status, 401(k), and benefits. Enter your salary above for the exact figure.

Common questions