Nebraska Paycheck Calculator
Estimate your Nebraska take-home pay. Nebraska's TY2026 income tax is 2.46% / 3.51% / 4.55% across 3 brackets (consolidated from 4 brackets in TY2025 — the 5.01% bracket was merged into the new 4.55% top rate under LB 754 of 2023). The top rate dropped significantly from 5.20% in TY2025 — and will drop again to 3.99% in TY2027. Standard deduction is $8,600 single / $17,200 MFJ. Personal CREDIT (not deduction) is $171 per exemption. No local income tax in Omaha, Lincoln, or anywhere else in Nebraska.
How to use this calculator
- Type your gross pay per paycheck — what you earn before any tax or deduction comes out.
- Pick your pay frequency (biweekly is the default — it's the most common).
- Set your federal filing status (Single or Married Filing Jointly).
- If you contribute to a traditional 401(k), enter the percentage. Add any pre-tax health or HSA deductions per paycheck.
- The result updates as you go. Use Share link to send your numbers to someone else without retyping them.
A real example: a $60,000 salary in Omaha
Say you take a $60,000-a-year job in Omaha, paid every two weeks, single, no 401(k). That's $2,307.69 gross per paycheck. The math goes like this for the year:
| Line | Amount |
|---|---|
| Gross pay | $60,000.00 |
| Federal income tax (after the $16,100 federal standard deduction) | −$5,020.00 |
| Social Security (6.2% up to $184,500) | −$3,720.00 |
| Medicare (1.45%) | −$870.00 |
| Nebraska state tax (3 brackets; $8,600 SD; less $171 personal credit) | −$1,949.00 |
| Take-home for the year | $48,441.00 |
| Take-home per biweekly check | $1,863.12 |
About 19% of your gross goes to federal, FICA, and Nebraska state tax combined. Nebraska's effective state rate at $60k single is just 3.25%, well below the 4.55% headline. The combination of the $8,600 SD plus three graduated brackets and a $171 credit produces meaningful relief at lower incomes. Nebraska's LB 754 (signed 2023) is one of the largest tax cuts in state history — the top rate is on track to hit 3.99% in 2027.
Now add a 5% traditional 401(k) and $200/month in pre-tax health premiums on a $120,000 salary, married, paid monthly: gross $10,000/mo, $500 to the 401(k), $200 to health. Nebraska follows federal — both pre-tax items reduce NE taxable income. The MFJ SD is $17,200 and the personal credit doubles to $342 ($171 × 2). Tax for the year runs about $3,898, and your monthly take-home lands around $7,602.
How a Nebraska paycheck is calculated
Nebraska uses 3 progressive brackets (consolidated from 4 in TY2026 per LB 754), with MFJ thresholds exactly 2× single:
A few Nebraska-specific details worth knowing:
- LB 754 is the largest tax cut in state history. Signed by Gov. Pillen in 2023, LB 754 phases the top rate down: 5.84% (2024) → 5.20% (2025) → 4.55% (2026) → 3.99% (2027). The top bracket also consolidates: in TY2025 there were 4 brackets; from TY2026 forward there are 3 (the old 5.01% bracket merged into the 4.55%/3.99% top rate).
- Brackets are NOT inflation-indexed for 2026. Nebraska historically adjusted brackets for inflation, but the bracket thresholds remain fixed at the values above for TY2026 even if wages rise. This means as inflation continues, more workers will be pushed into the top 4.55% bracket over time — silent 'bracket creep.'
- $171 personal CREDIT, not deduction. Like Arkansas and California, Nebraska uses a personal credit (subtracted from tax) rather than a personal exemption (subtracted from income). So $171 × number of exemptions reduces your tax dollar-for-dollar. MFJ gets 2 exemptions ($342), plus $171 per dependent (not modeled here).
- No local income tax. Omaha, Lincoln, Bellevue, Grand Island, Kearney, Fremont — every Nebraska city collects zero income tax. The state's 2.46-4.55% rate is your total income tax burden.
- 401(k) and pre-tax both reduce NE tax. Nebraska follows federal treatment for traditional 401(k) and Section 125 items.
- Social Security fully exempt starting TY2025. Nebraska fully exempted Social Security beginning with TY2025 (under LB 754). Military retirement is also exempt. Combined with the dropping top rate, Nebraska is becoming significantly more retirement-friendly.
- Inheritance tax was significantly reformed in 2023. LB 310 eliminated inheritance tax for immediate family members (spouse, children, grandchildren, parents, grandparents). Remote relatives and unrelated heirs still face inheritance tax, but the reform removed the burden for most estate situations.
What Nebraska paychecks look like at common salaries (single, no 401k)
| Annual salary | Federal tax | FICA | Nebraska tax | Net per year | Net per biweekly check |
|---|---|---|---|---|---|
| $40,000 | $2,620.00 | $3,060.00 | $1,039.00 | $33,281.00 | $1,280.04 |
| $50,000 | $3,820.00 | $3,825.00 | $1,494.00 | $40,861.00 | $1,571.58 |
| $60,000 | $5,020.00 | $4,590.00 | $1,949.00 | $48,441.00 | $1,863.12 |
| $75,000 | $7,670.00 | $5,737.50 | $2,631.50 | $58,961.00 | $2,267.73 |
| $100,000 | $13,170.00 | $7,650.00 | $3,769.00 | $75,411.00 | $2,900.42 |
| $150,000 | $24,734.00 | $11,475.00 | $6,044.00 | $107,747.00 | $4,144.12 |
Numbers above use 2026 federal rates and Nebraska's progressive brackets, single filer, no 401(k) or pre-tax deductions. Your actual withholding will differ based on your Nebraska W-4.
Tips to take home more
- Max out pre-tax benefits first. Health insurance, HSA, and FSA dollars reduce both your federal tax and FICA — that's a roughly 22–28% discount on those expenses for most people.
- A 401(k) is real money, not a deduction. A 5% contribution on $60k is $3,000 the IRS doesn't see right now. You're not losing it — you're moving it.
- Check your W-4 if your refund or bill is large. A big refund means you overpaid all year; a big bill means you underpaid. Either way, the IRS withholding estimator at irs.gov/W4App helps fix it.
- Track the Social Security cap. If you'll cross $184,500 this year, your last few checks will be noticeably bigger for SS. (Medicare and SDI keep going on every dollar.)
- Live in Nebraska, work remotely for an out-of-state employer? Nebraska taxes residents on all income regardless of where it's earned. Check your paystub — out-of-state employers don't always withhold Nebraska tax correctly.
Frequently asked questions
What is Nebraska's state income tax rate in 2026?
Nebraska uses a 3-bracket progressive income tax for TY2026 with rates of 2.46%, 3.51%, and 4.55% (NE Statute 77-2715.03, under LB 754). Single brackets: 2.46% to $3,000, 3.51% to $18,000, 4.55% above. MFJ brackets are 2× single ($6,000 and $36,000 boundaries). The top rate drops again to 3.99% in TY2027 — the final stage of LB 754.
How much of a $60,000 salary do you take home in Nebraska?
A single filer earning $60,000 in Nebraska with no pre-tax deductions takes home roughly $48,441 a year, or about $1,863 every two weeks. That's $5,020 federal, $4,590 FICA, and $1,949 Nebraska state tax (3 brackets on $51,400 after the $8,600 SD, minus the $171 personal credit). No local income tax in Nebraska.
How did LB 754 change Nebraska's taxes?
LB 754 (signed by Gov. Jim Pillen in 2023) is the largest tax cut in Nebraska history. It phased the top income tax rate from 5.84% (2024) → 5.20% (2025) → 4.55% (2026) → 3.99% (2027). It also consolidated the bracket structure (4 brackets → 3 for TY2026+), fully exempted Social Security starting TY2025, and eliminated inheritance tax for immediate family members.
Does Omaha or Lincoln have a local income tax?
No. Nebraska does NOT allow cities or counties to levy income taxes on wages. Omaha, Lincoln, Bellevue, Grand Island, Kearney, Fremont, and every other Nebraska city collect zero income tax. The state's 2.46-4.55% rate is your total income tax. Note: Omaha and Lincoln each add 1.5% in local sales tax (not income tax) — combined with the 5.5% state sales tax, that's 7.0% in those cities.
Is Social Security taxed in Nebraska?
No. Beginning with TY2025, Nebraska fully exempts Social Security benefits from state income tax (under LB 754). Before 2025, Nebraska partially taxed Social Security: 80% exempt in 2024, 60% exempt in 2023. From 2025 forward, 100% of Social Security benefits included in federal AGI are subtracted from Nebraska income.