Illinois Example: $70,000 Married Filing Jointly
| Line on the pay stub | Monthly | Annual |
|---|---|---|
| Gross pay | $5,833.33 | $70,000 |
| Federal income tax | −$336.67 | −$4,040 |
| Social Security | −$361.67 | −$4,340 |
| Medicare | −$84.58 | −$1,015 |
| Illinois income tax (4.95%) | −$264.62 | −$3,175.43 |
| Net pay | $4,785.80 | $57,429.58 |
Illinois gives each person an exemption of $2,925, so the couple has $5,850. The state tax is 4.95% of $64,150: $3,175.43.
Unlike federal tax, Illinois has no standard deduction, so the state takes a larger share of a modest salary than the federal government does in this example.
Illinois Flat Tax and Exemption for 2026
| Item | Single | Married filing jointly |
|---|---|---|
| Rate | 4.95% | 4.95% |
| Exemption (2026) | $2,925 | $5,850 |
| No exemption if income is over | $250,000 | $500,000 |
Illinois tax = 4.95% × (wages − $2,925 per exemption)
The rate has been 4.95% since July 2017. The exemption rises with inflation; it was $2,850 in 2025.
Gross to Net in Chicago
Chicago has no city income tax on wages, and neither does Cook County. A Chicago salary goes through the same steps as one in Springfield or Peoria.
Costs in Chicago come through sales tax, property tax and fees rather than payroll. The Cost of Living Calculator compares price levels between states.
Illinois Take Home Pay at Six Salaries
| Gross salary | Illinois tax | Net per year | Net per month |
|---|---|---|---|
| $35,000 | $1,587.71 | $28,714.79 | $2,392.90 |
| $52,000 | $2,429.21 | $41,532.79 | $3,461.07 |
| $70,000 | $3,320.21 | $54,754.79 | $4,562.90 |
| $95,000 | $4,557.71 | $71,104.79 | $5,925.40 |
| $140,000 | $6,785.21 | $100,170.79 | $8,347.57 |
| $260,000 | $12,870 | $176,877 | $14,739.75 |
Single filer. At $260,000 the exemption is lost because income passes $250,000.
Illinois tax as a share of salary stays close to 4.95% at every level, because the exemption is small. Almost all of the rise in the total tax share comes from the federal brackets.
Illinois Against Indiana
Many people in the Chicago area weigh a job or a home across the state line in northwest Indiana. On $52,000 single:
| State | State and local tax | Net per year |
|---|---|---|
| Illinois | $2,429.21 | $41,532.79 |
| Indiana, Lake County (1.50%) | $2,269.50 | $41,692.50 |
Indiana's lower state rate is partly offset by county tax. The Indiana Gross to Net Calculator takes any county rate.
Raises and Bonuses in Illinois
With one flat rate, each extra dollar costs the same 4.95% in Illinois tax. A $5,000 raise on $52,000 adds $3,770 to yearly net pay for a single filer; the rest goes to federal tax, FICA and $247.50 of Illinois tax.
Bonuses are taxed the same way at the state level. Federal withholding on a bonus usually uses a flat 22%, which the Bonus Tax Calculator shows check by check.
Illinois Pay by Month and Paycheck
For the couple on $70,000:
| Pay period | Gross | Net |
|---|---|---|
| Monthly | $5,833.33 | $4,785.80 |
| Semimonthly | $2,916.67 | $2,392.90 |
| Biweekly | $2,692.31 | $2,208.83 |
| Weekly | $1,346.15 | $1,104.42 |
What Illinois Taxes and Leaves Alone
- Taxed: wages, salary, bonuses and commissions.
- Exempt: retirement income, including Social Security, pensions and 401(k) withdrawals, is not taxed by Illinois.
- Pre-tax deductions: 401(k) deferrals, health insurance and HSA money lower the wages Illinois taxes.
- No SDI: Illinois has no state disability or paid family leave payroll deduction.
People who live in Iowa, Kentucky, Michigan or Wisconsin and work in Illinois are covered by reciprocal agreements: their employer can withhold for the home state instead of Illinois once the employee files Form IL-W-5-NR. This page assumes an Illinois resident.
Assumptions, Limits and 2026 Sources
- Basic exemptions only. Extra exemptions for age 65, blindness and dependants, and credits such as the property tax and education credits, are left out.
- Income is taken to be the gross salary for the $250,000 / $500,000 exemption test.
- The result is the yearly tax owed; IL-W-4 withholding can differ.
Sources: Illinois Department of Revenue income tax rates and exemption Q&A ($2,925 for 2026), Illinois Comptroller payroll bulletin 1-26, 35 ILCS 5/204, and IRS 2026 federal figures. Rates for 2026.
Neighbours: Indiana, Wisconsin and Missouri.
Frequently Asked Questions
What is the Illinois income tax rate in 2026?
4.95% of net income for every filer.
What is the Illinois exemption for 2026?
$2,925 per person, up from $2,850 in 2025. It is not allowed if income is over $250,000 single or $500,000 joint.
Does Chicago have a city income tax?
No. Chicago and Cook County do not tax wages, so Chicago net pay is the same as elsewhere in Illinois.
How much is $52,000 after tax in Illinois?
$41,532.79 a year for a single filer, about $3,461.07 a month, with $2,429.21 of Illinois tax.
Does Illinois tax retirement income?
No. Social Security, pensions and qualified retirement plan withdrawals are exempt from Illinois income tax.
How much does a married couple on $70,000 keep in Illinois?
$57,429.58 a year, about $4,785.80 a month, with $3,175.43 of Illinois tax.
Is there an Illinois disability or paid leave deduction?
No. Illinois has no state disability insurance or paid family leave payroll deduction for employees.
Does Illinois have a standard deduction?
No. Illinois uses only the per person exemption, which is why its tax starts on almost every dollar of pay.