New Jersey Income Tax Calculator
The Most Comprehensive and Accurate New Jersey Income Tax Calculator Available Online
Have more questions? Schedule a free 5 Minute CPA call HERE
State Taxes Due
0
| Gross Income | 0 |
| State Deductions | 0 |
| Exemptions | 0 |
| Taxable Income | 0 |
| Gross State Tax | 0 |
| Less State Credits | 0 |
| Final State Tax | 0 |
Marginal Rate
0%
Effective Rate
0%
Create Your Free TaxHub Account
Get Started with Tax Filling
New Jersey Income Tax Calculator & Guide
Introduction to New Jersey State Taxes
A Progressive, High-Cost State: Understanding NJ Income Tax
New Jersey uses a graduated income tax system with seven brackets, ranging from 1.4% to 10.75% — one of the highest top marginal rates in the U.S. It also doesn’t conform to federal tax rules, meaning many federal deductions or credits don’t apply here.
Our NJ Tax Estimator helps you calculate your state tax liability based on your income, filing status, and any applicable credits — giving you clarity before you file.
To calculate your federal income tax head over to our federal income tax calculator here.Â
New Jersey Income Tax Structure
| Tax rate | Single; married filing separately | Married filing jointly; surviving spouse | Head of household |
|---|---|---|---|
| 1.40% | $0 – $20,000 | $0 – $20,000 | $0 – $20,000 |
| 1.75% | $20,001 – $35,000 | $20,001 – $50,000 | $20,001 – $35,000 |
| 2.45% | – | $50,001 – $70,000 | – |
| 3.50% | $35,001 – $40,000 | $70,001 – $80,000 | $35,001 – $50,000 |
| 5.53% | $40,001 – $75,000 | $80,001 – $150,000 | $50,001 – $75,000 |
| 6.37% | $75,001 – $500,000 | $150,001 – $500,000 | $75,001 – $500,000 |
| 8.97% | $500,001 – $1,000,000 | $500,001 – $1,000,000 | $500,001 – $1,000,000 |
| 10.75% | Over $1,000,000 | Over $1,000,000 | Over $1,000,000 |
Note: New Jersey has local property taxes averaging 2.49% (highest in U.S.) but no local income taxes
Key Features of New Jersey Taxes
Retirement-friendly – No tax on Social Security
High property tax relief – Multiple rebate programs available
Progressive rates – Lower brackets protected, higher earners pay more
No inheritance tax – For direct descendants (still has estate tax)
New Jersey Deductions & Credits
1. Standard Deduction (2024)
-
Single: $0 (NJ doesn’t offer standard deduction)
-
Married Filing Jointly: $0
-
Itemized deductions only
2. Retirement Benefits
-
Social Security: 100% exempt
-
Pension Exclusion: Up to $100,000 for joint filers
-
Military pensions: 100% exempt
3. Family & Property Tax Credits
-
Child Tax Credit: Up to $1,000 per child
-
ANCHOR Program: Property tax rebates up to $1,750
-
Senior Freeze: Property tax freeze for eligible seniors
4. Unique New Jersey Benefits
-
College Savings (529) Deduction: Up to $10,000
-
Electric Vehicle Credit: Up to $4,000
-
Historic Property Credit: 20% of rehabilitation costs
5. Personal Exemptions
-
Single: $1,000
-
Married Filing Jointly: $2,000
-
Dependent: $1,500
Why Use a New Jersey Tax Estimator?
✔ Navigate complex brackets – 7 tiers with varying rates
✔ Maximize property tax relief – ANCHOR/Senior Freeze programs
✔ Plan for commuters – Special rules for NY/PA cross-border workers
New Jersey vs. Neighboring States
| State | Income Tax | Property Tax | Retirement Tax | Sales Tax |
|---|---|---|---|---|
| New Jersey | 1.4-10.75% | 2.49% avg | Social Security exempt | 6.625% |
| New York | 4-10.9% | 1.4% avg | Partial exemption | 4-8.875% |
| Pennsylvania | 3.07% flat | 1.35% avg | Retirement exempt | 6% |
| Delaware | 2.2-6.6% | 0.56% avg | Partial exemption | None |
Key Consideration: NJ has high property taxes but strong services and retirement benefits.
When to Consult a New Jersey Tax Professional
-
You work in NY but live in NJ
-
You’re applying for ANCHOR/Senior Freeze
-
You own high-value property
-
You qualify for historic/energy credits
Quick Facts: Common Questions Answered
Q: Does New Jersey tax retirement income?
A: Partially – Pensions up to $100K exempt, Social Security completely exempt.
Q: What’s the ANCHOR program?
A: Property tax relief giving $450-$1,750 rebates to homeowners/renters.
Q: How does NJ treat NYC commuters?
A: You get credit for NY taxes paid but must file both states.
Q: Is NJ better for taxes than Pennsylvania?
A: For retirees: Yes (better exemptions). For workers: PA’s flat 3.07% rate often wins.
Customer Support and Assistance
Schedule a free live 5 minute CPA call here. Questions are the stepping stones to answers, and we’re here to guide you across the river of tax confusion. Whether it’s a tiny trickle of doubt or a surging river of perplexity, our customer support team is on standby, ready to provide the answers you need. Reach out via chat, email, or phone – we’re committed to making sure your experience is as smooth and stress-free as possible. So, go ahead and ask away!
Frequently Asked Questions
Our Tax Income Estimator is designed with accuracy at its core, using the Internets most detailed inputs and rules to give you a reliable forecast. Remember, the precision of your results hinges on the completeness and correctness of the information you supply. So if you input accurate data, trust that you’re getting an equally accurate tax estimate.
Absolutely! Our Tax Income Estimator is more than equipped to handle state. By incorporating your specific location into the calculation, it ensures that every estimate reflects the taxes you might owe right down to your city block. Just enter the required information, and let the estimator take care of the rest.
If you’re feeling lost in the sea of tax numbers, help is just a click or call away. Reach out to our customer support for guidance, or consider setting up an appointment with a financial advisor. They can provide detailed explanations and help you navigate any confusing parts of the tax estimation process. You don’t have to tackle it alone – schedule a free call here!
Yes, your financial information is safe. Our Income Estimator doesn’t ask for sensitive details like your name or social security number and doesn’t save the data you enter. It’s designed for your security and peace of mind, so you can use it without any worries about privacy risks. Always be sure to use the tool on secure devices and networks.
If your estimated taxes seem off-kilter, it’s best to review your inputs for accuracy. Double-check your income details, deductions, and credits. If everything checks out, consider consulting with a tax professional. They can offer personalized advice and help ensure that you’re paying the right amount. Remember, it’s all about finding the sweet spot!
