You can figure out your take-home pay or net pay by entering your weekly, monthly, or yearly wages with the necessary federal, state, and local W4 information into our free Utah paycheck calculator. Utah has a flat state income tax rate of 4.95%.
Utah, a state located in the western United States, sharing its borders with Idaho to the north, Colorado to the east, Nevada to the west, Arizona to the south, and Wyoming to the northeast.
Salt Lake City is the State's capital and the largest city, as well as the largest metro of Utah. Among 50 states, Utah is 30th-most-populous, 13th-largest by area, and 11th-least-densely populated. It is also reported as one of the top 3 fastest-growing states in the economy.
The Utah state, also known as the Beehive State, offers an impressive number of reasons to settle, including a plethora of job opportunities, endless outdoor activities, quality education, mesmerizing landscape. So if you have got a couple of job offers or business ideas or planned to move to Utah for starting your new life, this guide is just for you. Our Finance and Travel experts have joined hands to bring you one-of-its-kind guide that covers the following topics:
We hope these topics, as mentioned above, would help discover more delicious trivia about Utah, and make your decision a lot easier. So let's get started!
Packed your bag and about to move to Utah; a fourth overall as the best state to live in (according to U. S. News and World Report)? Wait! That's not enough! You need to know about the following factors before making your way to the Beehive State:
Living in Utah is going to cost you some extra bucks compared to the rest of the state. The cost of living index in the state is 110.8 points, which is significantly higher than the national average of 100 points.
Housing is the most significant factor that contributes the most to the high cost of living. In contrast, grocery, health, utilities, transportation, and miscellaneous expenses are almost similar to other states.
Buying or renting a house in Utah may cost you higher than the most of other states, as the median home value here is $338,200, which is significantly higher than the national median home value of $231,200. Besides, Median Rental Expense for a single bedroom in Utah is $797, and for a double bedroom is $986 per month. But if course, cost varies from location to location.
If you are looking for affordable cities in Utah in terms of accommodation, then you must prefer settling in Washington Terrace, Harrisville, Hyrum, or Price.
Utah secures the number 1 spot for economic health and employment and on has the second-best economy in the nation, according to WalletHub. Moreover, the state minimum wage rate is $7.25, and the unemployment rate here is 2.5%. All of these stats are appealing enough for job seekers to start their new job career in Utah.
Some of the fastest-growing job fields in Utah include software developer, veterinarian technician, Interpreter/translator, and web developer. Additionally, some of the highest paying job in the state contains OB/GYN, surgeon, practitioner, and petroleum engineer.
The Beehive State also offers fantastic opportunities for entrepreneurs for business, especially in industries like Aerospace and Defense, Health Technology, and Information Technology.
Utah is home to numerous nationally acclaimed public schools and universities, including Park City School District (Park City), Success Academy (Cedar City), Brigham Young University (Provo) and Westminster College (Salt Lake City). These educational institutes are among those who provide quality education to help Utah to secure 10th for overall education in the United States.
You can experience hot summers and plenty of snowfall in winters in Utah, as the state features a dry, semi-arid to a desert climate. On average, you can enjoy 15 inches of rain, 240 days of sunshine, and 43 inches of snowfall per year, but of course, this depending on location.
Unfortunately, the state also has threats and risks of experiencing natural disasters like Earthquakes, Floods, and Snowstorms.
Utah is home to endless outdoor opportunities to make your weekends and holidays memorable with your friends and family. You can enjoy delicious food & Drink in places like Cat Cora's Kitchen and The Roof Restaurant. You can have fun & play games in spots like Escape Room Park City and Mystery Escape Room. Or you can explore the Nature & Parks like Bryce Canyon National Park and Navajo / Queens Garden Loop.
Moreover, the state also has several Sights & Landmarks like Inspiration Point, Museums like Kanab Heritage House Museum, Natural History Museum of Utah, Art Galleries like David J. West Gallery, Skiing & Snowboarding like Backcountry Snowmobiling (Coalville) and Amusement Parks, Zoos & Aquariums like George S Eccles Dinosaur Park.
Here is the quick round-up of most of the happy and sad things about the Utah State:
As we are done with moving to Utah and its payroll facts, now it's time to calculate paycheck.
The very first step to calculating the paycheck amount is to determine Gross Pay. It is a wage that an employee earned in the last pay period.
Gross Pay is calculated differently for both hourly and salary-based employees, which is discussed in detail as follow:
Hourly Employees are paid at a mutually agreed pay rate for each hour they work in a pay period. Usually, Pay periods for Hourly employees are Hourly, Daily, Weekly, and Bi-Weekly. However, the Federal, State, and Local Wage law requires the employers to set the pay rate equals to or more than the defined Minimum Wage Law for the non-exempted employees.
Hourly employees are also entitled to receive overtime, for each excess hour worked after regular hours in a workday or a workweek. Remember, like Minimum wage, the employers are also required to follow Overtime wage law provided by the federal, state, and local authorities.
To calculate gross wage for an hourly employee:
Salaried Employees are paid at the flat amount rather than on an hourly basis. The amount is usually mutually agreed as an Annual Salary, which is then paid in Semi-monthly or Monthly Pay periods.
Salaried employees are mostly exempted from overtime law. However, their salaries must be according to Federal and State Minimum Wage law.
To calculate Gross Pay for Salaried Employees:
Don't forget that Supplemental Wages like Bonuses, commissions, tips, paid leaves, fringe benefits, or other taxable wages earned by the employee must be added into the Gross wages.
Once you are done with Gross Wages, it's time to subtract any Pre-Tax deductions from the gross wage to get taxable wages as Pre-tax deductions are not taxable for federal payroll taxes.
Pre-tax deductions are offered to the employees as benefits like fringe benefits, HSA plans, etc., to reduce their taxable income, hence, increasing their take-home pay amount. Remember, not all benefits are exempted from taxes, so choose the pre-tax deductions wisely.
Some of the common pre-tax deductible benefits are:
Many Taxpayers find it hard to itemize their deductions to calculate taxable wages, for which they go for standard deductions, that varies according to the filing status, as shown in the table below:
Filing Status | Standard Deduction Amount |
---|---|
Single Filers | $12,200 |
Married, Filing Jointly | $24,400 |
Married, Filing Separately | $12,200 |
Head of Household | $18,350 |
Once you have determined the taxable wages, it's time to deduct Federal Income taxes for the Taxable wages.
IRS requires the employers to withhold federal income tax from the employee's paycheck, according to the details provided by the employee on Form W-4. The employee fills this form at the start of the job. The form includes all the necessary information, including income, number of allowances to claim, number of dependents, amount of additional taxes to deduct, and much more.
The employees are required to keep their Form W-4 up to date with all their current information, especially marriage, divorce, or child's birth.
The federal income tax is charged according to the tax brackets in which the taxpayer's income falls. The latest income tax brackets and rates are as follow:
Taxable Income | Rate |
---|---|
$0 - $9,700 | 10% |
$9,700 - $39,475 | 12% |
$39,475 - $84,200 | 22% |
$84,200 - $160,725 | 24% |
$160,725 - $204,100 | 32% |
$204,100 - $510,300 | 35% |
$510,300+ | 37% |
Taxable Income | Rate |
---|---|
$0 - $19,400 | 10% |
$19,400 - $78,950 | 12% |
$78,950 - $168,400 | 22% |
$168,400 - $321,450 | 24% |
$321,450 - $408,200 | 32% |
$408,200 - $612,350 | 35% |
$612,350+ | 37% |
Taxable Income | Rate |
---|---|
$0 - $9,700 | 10% |
$9,700 - $39,475 | 12% |
$39,475 - $84,200 | 22% |
$84,200 - $160,725 | 24% |
$160,725 - $204,100 | 32% |
$204,100 - $306,175 | 35% |
$306,175+ | 37% |
Taxable Income | Rate |
---|---|
$0 - $13,850 | 10% |
$13,850 - $52,850 | 12% |
$52,850 - $84,200 | 22% |
$84,200 - $160,700 | 24% |
$160,700 - $204,100 | 32% |
$204,100 - $510,300 | 35% |
$510,300+ | 37% |
Besides, Federal Income Tax, the IRS also requires the employer to withhold FICA tax (15.3%) for the employee's paycheck and also requires the employer to pay an equal amount for each employee.
Federal Insurance Contributions Act (FICA) Taxes comprises of two types of taxes which are as follow:
A total of 12.4% of social security tax is charged from which 6.2% is withheld from the employee's gross, and the employer pays the matching 6.2%. However, Social Security is only charged on the maximum taxable earnings of $137,700 for 2025.
A total of 2.9% of Medicare is charged, from which 1.45% is withheld from the employee's gross, and the employer pays the matching 1.45%. Unlike Social Security, there is no maximum table earning limit for this tax. However, an additional surtax of 0.9% is charged as Additional Medicare Surtax on the employees having income over the specified level along with filing status, which is as follow:
Income Over | Filing Status |
---|---|
$250,000 | Married Filing Jointly |
$125,000 | Married Filing Separately |
$200,000 | Single |
IRS requires the employer to pay another tax, known as The Federal Unemployment Tax Act (FUTA) Tax. This tax is paid at the rate of 6% on the first $7000 earned by each employee in a year. However, the IRS doesn't require the employees to contribute to it.
The employers who pay State Unemployment Insurance (SUI) tax in full and on time are given relieving FUTA tax credit of up to 5.4%, which saves a whopping 90% from FUTA Tax.
Post-tax deductions (after-tax deductions) is an amount the employer takes out from the employee's paycheck after taxes. Therefore, it does not affect taxable wages and the amount of tax payable.
Here are some of the types of post-tax deductions that employee may voluntarily choose:
As you are done with Federal Payroll Taxes, now it's time to discuss State Payroll Taxes. Utah State charges State Income Tax on the employees at a flat rate of $4.95, regardless of filing status and income level. Moreover, employers only are required to pay State Unemployment Insurance Tax.
The State Unemployment Insurance (SUI) Tax is an employer-funded program that provides temporary income to unemployed workers who have lost their job without fault of their own.
The state doesn't charge in Utah State Disability Insurance (SDI) tax on employers. However, it does require the employers to pay Utah State Unemployment Insurance (SUI) tax, at the rate ranging from 0.1% to 7.1% on a first $36,600 (in 2025) earned in wages by each employee in a year. However, new employers are given relief as they only have to pay a lower rate as assigned by state based on the employer's industry.
No city or county in Utah levies Local Income Tax
Now that you are done with all payroll taxes and calculated the net take-home pay of an employee, it's time to cut the paycheck. Moreover, you, as an employer, must pay your portion of FICA tax along with FUTA and SUI tax in full and on time regularly.
Answer: Following are the taxes taken out of paycheck in Utah:
Answer: Yes, Utah has a state income tax, which is charged at a flat rate of 4.95%, regardless of income level and filing status.
Answer: Bonuses and other Supplemental Wages are taxed at a flat rate of 4.95% in Utah.
Answer: The livable wage for a couple (both working) with two children is $16.60/hour, while for a single adult is $11.60/hour, as reported by the Massachusetts Institute of Technology.
Answer: Utah State regulates the same minimum wage rate as Federal Minimum wage at the rate of $7.25 per hour for employees, unless or otherwise exempted. Moreover, the Cash Minimum Wage rate for Tipped Employees is $2.13/hour, with a maximum tip credit of $5.12/hour. Additionally, Youth employees can be paid a minimum wage rate of $4.25.