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Colorado Paycheck Guide

Colorado uses a flat state income tax. Everyone pays the same percentage on taxable wages, regardless of income.

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Reviewed by PayslipIQ Editorial Team, in-house payroll editor
Last reviewed May 2026 · Editorial standards on methodology

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.

Colorado: the local picture

Colorado runs a flat 4.4% state income tax. The notable additions are local: Denver, Aurora, Greenwood Village, Sheridan, and Glendale charge an Occupational Privilege Tax (OPT). FAMLI is the new state Paid Family and Medical Leave program funded by a 0.45% employee contribution from 2024.

Colorado Paycheck Calculator

Estimate take-home pay for Colorado.

Colorado State Tax

Colorado tax structure and rates.

Colorado Overtime

Stricter daily-OT rules.

Colorado Pay Stub Laws

Employer pay stub requirements in Colorado.

How a Colorado paycheck is built

Every Colorado worker pays federal income tax, calculated on the W-4 you submitted to your employer using the IRS Publication 15-T tables. Federal income tax is followed by FICA: 6.2 percent Social Security up to the annual wage base, plus 1.45 percent Medicare on every dollar. The 0.9 percent Additional Medicare Tax applies once year-to-date wages cross $200,000 single or $250,000 married filing jointly.

Colorado adds a flat state income tax of approximately 4.40 percent. Verify the current rate with the Colorado Department of Revenue.

Paid Family Leave: Colorado has a Paid Family Leave program with employee-paid premiums.

Daily overtime: Colorado requires daily-overtime payment for hours above a daily threshold, on top of the federal weekly FLSA rule. See the overtime page.

What changed recently in Colorado

  • Flat 4.4% rate (formerly 4.55%, then 4.4% in 2022). TABOR refunds may further reduce effective rate.
  • FAMLI premium 0.9% total, employer + employee split, employee share 0.45%.
  • Family Medical Leave benefits started January 2024.

Colorado payroll quirks workers should know

  • OPT is paid by both employee and employer in Denver, currently $5.75/month employee, $4 employer.
  • FAMLI shows on every Colorado paycheck regardless of employer size.
  • Some Colorado cities have additional special-district taxes (Stapleton, Cherry Creek, etc.).

Example breakdown

A hypothetical Colorado worker on a $65,000 annual salary, paid bi-weekly, single filer, no extra adjustments. Educational only, your real paycheck differs.

Gross (bi-weekly)$2500.00
Federal income tax-$250.00
Social Security (6.2%)-$155.00
Medicare (1.45%)-$36.25
Colorado state tax-$110.00
Estimated take-home$1948.75

Run your own numbers in the Colorado paycheck calculator.

Authoritative sources

Frequently asked questions

Does Colorado have state income tax?
Yes. Colorado uses a flat state income tax rate. Verify the current rate with the Colorado Department of Revenue.
Are there local income taxes in Colorado?
No. Colorado does not have local income taxes on wages.
Does Colorado have State Disability Insurance or Paid Family Leave premiums?
Colorado has a Paid Family Leave program with employee-paid premiums.
Does Colorado have daily-overtime rules?
Yes. Colorado has stricter daily-overtime rules than federal FLSA. See the overtime page.
What is FICA on a Colorado paycheck?
FICA is federal: 6.2 percent Social Security up to the annual wage base, plus 1.45 percent Medicare on every dollar. The 0.9 percent Additional Medicare Tax applies above $200,000 single or $250,000 married filing jointly. FICA applies in every state.
Where do I verify Colorado state tax withholding?
The Colorado Department of Revenue (https://tax.colorado.gov/) is the authoritative source. For your specific paycheck, contact your employer's payroll team or a CPA.
What is the FAMLI line on my Colorado pay stub?
Colorado Family and Medical Leave Insurance premium. Funded by both employee (0.45%) and employer. Lets you take paid leave for serious health conditions, parental leave, or qualifying military events.
What is OPT on my Denver pay stub?
Denver Occupational Privilege Tax. $5.75 a month for employees earning $500+ in a month, $4 a month for the employer.