Estimate your take-home pay in District of Columbia for 2026. The state levies income tax with a top rate of 10.75% (4% to 10.75% across 7 brackets). This means a portion of every paycheck goes toward state income tax in addition to federal withholding, Social Security, and Medicare.
District of Columbia Tax Snapshot
- State Income Tax
- 10.75% top rate
- Sales Tax (state + local avg)
- 6.00%
- Avg Property Tax Rate
- 0.56%
- Median Home Value
- $687,500
- State Minimum Wage
- $17.50/hr
Did You Know?
DC has the highest minimum wage in the nation and taxes income up to 10.75%.
How District of Columbia Taxes Affect Your Paycheck
When you earn a paycheck in District of Columbia, your employer withholds federal income tax, Social Security (6.2%), and Medicare (1.45%). On top of that, the state withholds income tax based on 4% to 10.75% across 7 brackets. The state minimum wage is $17.50 per hour, which sets the floor for hourly workers. Understanding these deductions helps you budget effectively and plan for the average 0.56% property tax rate on homes valued around $687,500.
District of Columbia also levies a combined state and average local sales tax of 6.00%, which affects your overall purchasing power. Factor this into your budget when calculating how far your paycheck stretches.