Iowa Payroll Calculator

Calculate employer payroll taxes, employee withholdings, and net pay in Iowa. Stay compliant with Iowa labor laws and tax regulations.

Why calculating business in Iowa is different

Iowa has a graduated income tax system.

State Income Tax
4.4% - 6%
Base Sales Tax
6%
State Min Wage
$7.25 / hr
Abbreviation
IA

Iowa Business Interactive Tool

This calculator uses the latest 2026 data for Iowa, including the minimum wage of $7.25 and the specific state income tax rates (4.4% - 6%).

Frequently Asked Questions about Iowa Business

How do I calculate payroll taxes in Iowa?

To calculate payroll taxes in Iowa, you must account for federal FICA taxes (Social Security and Medicare), federal unemployment (FUTA), Iowa state unemployment (SUTA), and Iowa state income tax withholding (4.4% - 6%).

What is the minimum wage for payroll in Iowa?

The current minimum wage in Iowa is $7.25 per hour. Employers must ensure all non-exempt employees earn at least this amount.