2026 Colorado Tax Calculator: 4.40% Flat Rate & Net Paycheck
Calculate your exact net paycheck in the Centennial State. Modeled with Colorado's 4.40% flat tax rate, federal standard deduction alignment, and 2026 IRS federal withholding tables.
Interactive Colorado Paycheck Calculator
2026 Colorado Take-Home Pay Estimate
Paycheck Breakdown Across All Intervals
Detailed calculation of gross wages, federal taxes, Colorado 4.40% state tax, and net take-home pay:
| Line Item | Annual | Monthly (12x) | Bi-Weekly (26x) | Weekly (52x) | % of Gross |
|---|
Colorado individual income tax is established pursuant to C.R.S. § 39-22-104 and administered by the Colorado Department of Revenue (Taxation Division). The 4.40% statutory rate reflects Proposition 121 codified into state law and the Taxpayer's Bill of Rights (TABOR) provisions of the Colorado Constitution (Article X, Section 20). Federal withholding mirrors IRS Revenue Procedure 2025-38. Reviewed for 2026.
2026 Colorado State Tax Guide: 4.40% Rate, TABOR & Deductions
Colorado imposes a flat state income tax rate of 4.40% on individual taxable income. One of Colorado's greatest tax advantages is its direct synchronization with the federal tax code: your Colorado state taxable income starts from your federal taxable income, meaning every dollar deducted via the federal standard deduction is also completely exempt from Colorado state income tax.
2026 Colorado State Tax Schedule & Standard Deductions
| Filing Status | 2026 Federal & CO Standard Deduction | Colorado Tax Rate | Tax on $75,000 Gross Salary |
|---|---|---|---|
| Single | $15,000 | 4.40% Flat | $2,640.00 |
| Married Filing Jointly | $30,000 | 4.40% Flat | $1,980.00 |
| Head of Household | $22,500 | 4.40% Flat | $2,310.00 |
| Married Filing Separately | $15,000 | 4.40% Flat | $2,640.00 |
How the Taxpayer's Bill of Rights (TABOR) Affects Colorado Taxes
Adopted by Colorado voters in 1992, the Taxpayer's Bill of Rights (TABOR) limits the amount of revenue the state government can retain and spend. When state revenue collections exceed the statutory TABOR cap (adjusted for inflation and population growth), the state must return surplus funds to Colorado taxpayers through mechanisms such as:
- Temporary State Income Tax Cuts: During years of significant surplus, state legislators can temporarily lower the state rate (e.g. from 4.40% to 4.25%).
- Direct TABOR Refund Checks: Fixed or tiered refund checks sent directly to eligible Colorado residents who file a state income tax return.
- Property Tax Relief Credits: State-funded property tax reduction credits.
Local City Taxes in Colorado (Occupational Privilege Tax)
Colorado has zero percentage-based municipal or county income taxes. However, five Colorado cities impose a nominal flat monthly fee called the Occupational Privilege Tax (OPT), often called the "head tax":
- Denver: $5.75 per month withheld from employee earnings ($4.00 paid by employer).
- Aurora: $2.00 per month from employee.
- Greenwood Village: $2.00 per month from employee.
- Glendale & Sheridan: $5.00 and $3.00 per month respectively.
Outside of these few municipalities, Colorado paychecks carry zero local wage withholding.
Retirement Income Rules in Colorado
Colorado provides substantial tax exclusions for older adults and retirees under C.R.S. § 39-22-104(4)(f):
- Social Security Exemption: Starting at age 65, Colorado residents can deduct 100% of their federally taxable Social Security benefits on Form DR 0104AD.
- Pension and Annuity Subtraction (Age 65+): Seniors age 65 and older can deduct up to $24,000 of qualified retirement income, including 401(k), IRA, and private/public pensions.
- Pension Subtraction (Age 55 to 64): Taxpayers between ages 55 and 64 can deduct up to $20,000 of qualifying pension distributions.
- Military Retirement: Veterans under age 55 can deduct up to $10,000 in military retirement benefits, and up to $24,000 at age 65.
Frequently Asked Questions (FAQ)
What is the Colorado income tax rate for 2026?
Colorado taxes individual income at a flat rate of 4.40%. Tax is calculated by starting with your federal taxable income (which already subtracts the $15,000 single or $30,000 married standard deduction) and multiplying by 4.40%.
Does Colorado match the federal standard deduction?
Yes. Because Colorado uses federal taxable income as its starting calculation point, taxpayers in Colorado receive the full equivalent of the federal standard deduction ($15,000 for single filers, $30,000 for married couples filing jointly in 2026).
Do I have to pay local income tax in Denver or Boulder?
No percentage income tax is levied by any Colorado city. Denver workers only pay a nominal Occupational Privilege Tax (OPT) flat fee of $5.75 per month, but no percentage of wages is taken by the city.