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Frequently asked questions

Is there a Newark city income tax?
No employee-side Newark city income tax. The Newark Payroll Tax is paid by employers (currently 1.1% of gross payroll); it is not withheld from worker paychecks. So your Newark paycheck math is federal + FICA + NJ state + NJ SDI + NJ FLI only.
What lines should I expect on a Newark paycheck?
New Jersey makes a Newark stub one of the longer ones. After the federal lines (federal income tax, Social Security 6.2% to $184,500, Medicare 1.45%) you see three state lines: NJ income tax on progressive brackets topping out at 10.75%, NJ SDI (0.23%, capped near $393.53/yr) and NJ FLI for paid family leave (0.19%, capped near $325.09/yr). The Newark Payroll Tax is employer-paid, not withheld from you. Pre-tax 401(k), HSA, FSA or Section 125 health appear only when elected.
Does the PaycheckCalculator above include NJ SDI and FLI?
Yes. As of 2026-05-16 the PayslipIQ Paycheck Calculator handles NJ SDI + NJ FLI as separate line items when you select New Jersey as your state. Both are primary-sourced from the NJ DOL.
I live in NJ but work in NYC — what changes?
You owe NYC resident income tax IF AND ONLY IF you are a NYC resident. Working in NYC alone does not trigger NYC tax (the commuter tax was abolished 1999). You owe NY state tax on NYC wages as a non-resident, then NJ credits you for the NY tax paid. NJ SDI / FLI still apply because you are a NJ resident.
What other NJ cities have local payroll taxes?
Jersey City has a similar employer-paid payroll tax (1.0%). Almost no other NJ municipality has employee-side local income tax. So most NJ workers see only state + federal + SDI + FLI on their paychecks.

USA · NEWARK NJ · 2026 · Educational only

Newark Paycheck Calculator

Good news for Newark workers: no employee-side Newark city income tax. The Newark Payroll Tax (1.1%) is employer-paid, not withheld from your paycheck. Your stub shows federal + FICA + NJ state + NJ SDI (0.23%) + NJ FLI (0.19%).

Federal + FICA + NJ + NJ SDI + NJ FLI

Paycheck calculator

Enter gross, state, and filing status. Estimates only.

Estimated take-home (per period)

$2,272.52

Estimated take-home (annual): $59,085.40

Gross pay$3,000.00
Pre-tax deductions-$0.00
Federal income tax-$320.38
Social Security (6.2%)-$186.00
Medicare (1.45%)-$43.50
New Jersey state tax-$165.00
NJ SDI-$6.90
NJ FLI-$5.70
Post-tax deductions-$0.00

Net (take-home)$2,272.52

Educational only, not tax, legal, financial, or payroll advice. Verify with your payroll team, a CPA, the IRS, or your state tax authority.

Source

Newark Payroll Tax is paid by employers, not employees. Source: City of Newark (verify any direct employer-paid tax with your payroll team). NJ SDI + FLI: NJ DOL 2026 benefit rates.

Common questions

Is there a Newark city income tax?
No employee-side Newark city income tax. The Newark Payroll Tax is paid by employers (currently 1.1% of gross payroll); it is not withheld from worker paychecks. So your Newark paycheck math is federal + FICA + NJ state + NJ SDI + NJ FLI only.
What lines should I expect on a Newark paycheck?
New Jersey makes a Newark stub one of the longer ones. After the federal lines (federal income tax, Social Security 6.2% to $184,500, Medicare 1.45%) you see three state lines: NJ income tax on progressive brackets topping out at 10.75%, NJ SDI (0.23%, capped near $393.53/yr) and NJ FLI for paid family leave (0.19%, capped near $325.09/yr). The Newark Payroll Tax is employer-paid, not withheld from you. Pre-tax 401(k), HSA, FSA or Section 125 health appear only when elected.
Does the PaycheckCalculator above include NJ SDI and FLI?
Yes. As of 2026-05-16 the PayslipIQ Paycheck Calculator handles NJ SDI + NJ FLI as separate line items when you select New Jersey as your state. Both are primary-sourced from the NJ DOL.
I live in NJ but work in NYC — what changes?
You owe NYC resident income tax IF AND ONLY IF you are a NYC resident. Working in NYC alone does not trigger NYC tax (the commuter tax was abolished 1999). You owe NY state tax on NYC wages as a non-resident, then NJ credits you for the NY tax paid. NJ SDI / FLI still apply because you are a NJ resident.
What other NJ cities have local payroll taxes?
Jersey City has a similar employer-paid payroll tax (1.0%). Almost no other NJ municipality has employee-side local income tax. So most NJ workers see only state + federal + SDI + FLI on their paychecks.

Related

PayslipIQ provides educational information and estimated calculations only. It does not provide tax, legal, financial, accounting, employment, benefits, or payroll advice. PayslipIQ is not a CPA firm, law firm, financial advisor, payroll provider, or tax authority. Always verify your paycheck, deductions, withholdings, and tax position with your employer's payroll department, a qualified CPA, the IRS, your state tax authority, or another appropriately qualified professional. Calculations are estimates; your actual paycheck may differ based on factors specific to your employer, location, benefits elections, and personal tax situation.