Disclaimer: This calculator gives you an estimate based on tax rates and details found online. These rates may change over time. For the most accurate and up-to-date information, please check the official IRS website and your state’s tax website. Always talk to a tax expert for advice about your personal tax situation.
How We Calculate the Result
The Nebraska Income Tax Calculator works by first asking for your basic financial information—your income, filing status, and age. It then considers your optional contributions like 401(k), IRA, itemized deductions, and the number of personal exemptions.
Here’s how the calculator works:
- Deductions are applied: We subtract your 401(k), IRA contributions, and the larger of either your standard deduction or itemized deductions.
- Personal exemptions are subtracted: Each exemption reduces taxable income by approximately $1,500.
- Taxable income is calculated.
- Nebraska’s income tax rates are applied using the correct brackets based on your filing status.
- The tool also checks if your income meets the federal minimum filing requirement based on your age and status.
- Lastly, it calculates your estimated tax, effective tax rate, and whether you need to file federal taxes.
About Nebraska Income Tax
Nebraska has a progressive state income tax system, which means the more money you earn, the higher the percentage of tax you might pay. For 2025, Nebraska’s income tax rates range from 2.46% to 6.64%, depending on how much income you have and your filing status.
People filing as single or married filing separately have lower starting brackets, while those who are married filing jointly or head of household get a higher threshold before moving into higher tax rates.
Nebraska also allows deductions like retirement contributions and personal exemptions, which can lower the amount of income that is taxed. Your filing status (such as single or married), age, and number of exemptions all affect how much tax you owe.
In Nebraska, everyone must file a tax return if their income goes above a certain amount, which is tied to the federal minimum filing thresholds. Even if you’re not required to file, it’s a good idea to check—sometimes you could get a refund or tax credit.
Frequently Asked Questions
What is the income tax rate in Nebraska?
Nebraska uses a progressive tax system, with rates ranging from 2.46% to 6.64%. The rate depends on your taxable income and your filing status. The more you earn, the higher the rate applied to the upper portion of your income.
When do singles start paying Nebraska income tax?
If you’re under 65 and single, you typically need to file a Nebraska tax return when your income is $14,600 or more. For those 65 or older, the filing threshold is $16,550. These amounts follow federal guidelines and may vary slightly year by year.
When do married filers start paying Nebraska income tax?
Married couples filing jointly must usually file if their combined income is at least $29,200 (if both are under 65), or $30,750 if one spouse is 65 or older. If both are 65+, the threshold increases to $32,300. These federal levels help determine Nebraska’s filing requirements.
Does Nebraska offer a standard deduction?
Yes, Nebraska offers a standard deduction. In 2025, it’s approximately $7,300 for single filers and $14,600 for married joint filers. However, if your itemized deductions are higher, you can choose to use those instead to reduce your taxable income.
What counts as taxable income in Nebraska?
Taxable income in Nebraska includes wages, salaries, bonuses, tips, and other earned income. Some deductions like 401(k), IRA contributions, or itemized expenses can reduce this amount. The final taxable income is what the state tax brackets are applied to.