PA minimum wage: $7.25/hr (federal minimum — PA has not raised above federal)
📊 Pennsylvania Income Tax Overview 2026
Pennsylvania uses a flat 3.07% income tax rate — one of the lowest flat rates in the U.S. No progressive brackets. Pennsylvania also has no standard deduction — the 3.07% applies to all taxable compensation. No mandatory SDI deduction.
| Taxable Income (Single) | CA Tax Rate | Tax on Bracket |
|---|---|---|
| $0 – $10,412 | 1.0% | up to $104 |
| $10,413 – $24,684 | 2.0% | up to $285 |
| $24,685 – $38,959 | 4.0% | up to $571 |
| $38,960 – $54,081 | 6.0% | up to $907 |
| $54,082 – $68,350 | 8.0% | up to $1,141 |
| $68,351 – $349,137 | 9.3% | up to $26,139 |
| $349,138 – $418,961 | 10.3% | up to $7,192 |
| $418,962 – $698,274 | 11.3% | up to $31,560 |
| $698,275+ | 13.3% | highest bracket |
Source: PA Dept of Revenue · 2026. PA flat rate: 3.07%. No standard deduction. Local EIT not included.
💵 Common Wages — Pennsylvania After-Tax
Here's what various hourly wages look like after federal tax + Pennsylvania 3.07% flat tax + FICA (no SDI):
| Hourly Rate | Annual Gross | CA State Tax | Take-Home/yr | Take-Home/mo |
|---|---|---|---|---|
| $17/hr | $35,360 | ~$618 | ~$29,100 | ~$2,425 |
| $20/hr | $41,600 | ~$935 | ~$33,700 | ~$2,808 |
| $22/hr | $45,760 | ~$1,155 | ~$36,600 | ~$3,050 |
| $25/hr | $52,000 | ~$1,614 | ~$40,500 | ~$3,375 |
| $30/hr | $62,400 | ~$2,450 | ~$48,200 | ~$4,017 |
| $35/hr | $72,800 | ~$3,350 | ~$55,400 | ~$4,617 |
| $40/hr | $83,200 | ~$4,260 | ~$62,600 | ~$5,217 |
| $50/hr | $104,000 | ~$6,450 | ~$76,900 | ~$6,408 |
🏙️ Pennsylvania Major Cities — Wages & Cost of Living 2026
Here's a cost of living overview for major Pennsylvania cities:
📖 Pennsylvania Tax Guide for Workers 2026
Pennsylvania Flat 3.07% Income Tax
Pennsylvania has a flat income tax rate of 3.07% — one of the lowest flat rates in the country. There is no standard deduction in Pennsylvania; the 3.07% rate applies to all taxable compensation. Unlike many states, Pennsylvania has relatively few deductions available, making the calculation straightforward.
Pennsylvania Local Earned Income Tax (EIT)
Pennsylvania's most significant tax complexity is the local earned income tax (EIT). Nearly all PA municipalities charge an EIT ranging from 1% (most boroughs/townships) to 3.8% (Philadelphia). Pittsburgh charges 3%. These local taxes apply in addition to the state 3.07% rate and can result in combined state+local rates of 4–7%+ in major cities.
Pennsylvania vs. Neighboring States
Pennsylvania (3.07%) has a lower state income tax than neighbors New York (up to 10.9%), New Jersey (up to 10.75%), and Maryland (up to 5.75%). However, PA's local EIT taxes can narrow this gap significantly for city residents. At $52,000/year, PA workers outside Philadelphia take home approximately $40,500/year.
Pennsylvania Overtime Law
California has stricter overtime rules than federal law: overtime (1.5× rate) applies after 8 hours in a single day (not just 40 hours/week). Double time (2× rate) applies after 12 hours in a day or after 8 hours on the 7th consecutive day worked. This can significantly increase take-home for hourly workers who work long days.
California COLA & Living Wage
California has the highest cost of living of any U.S. state. The MIT Living Wage Calculator estimates a single adult in Los Angeles needs ~$30–35/hr to meet basic needs without government assistance. In San Francisco, the equivalent is closer to $38–42/hr. A $17/hr minimum wage, while the highest state minimum in the U.S., still falls short of a true living wage in California's major cities.
❓ Frequently Asked Questions
The Pennsylvania minimum wage is $7.25/hour — the federal minimum. Pennsylvania has not raised its minimum wage above the federal rate. Philadelphia has its own higher minimum of $15.00/hr. There is ongoing political debate about raising the PA minimum wage statewide.
Pennsylvania has a flat income tax rate of 3.07% on all taxable compensation — one of the lowest flat rates in the U.S. There is no standard deduction in Pennsylvania. Additionally, most PA municipalities charge a local earned income tax (EIT) from 1% to 3.8%.
Pennsylvania's local earned income tax (EIT) is charged by most municipalities in addition to the state 3.07%. Philadelphia charges 3.75% (city EIT), Pittsburgh charges 3%, and most townships/boroughs charge 1–2%. This means Philadelphia residents pay 3.07% + 3.75% = 6.82% total state+local income tax.
$25/hr (~$3,375/month after PA state taxes) is very comfortable in most PA cities. Pittsburgh, Harrisburg, Erie, and Lancaster all offer 1-bedrooms for $800–$1,200/month. In Philadelphia, it's more challenging at $1,500–$2,200+/month for a 1-bedroom. Pennsylvania is one of the most affordable states for $25/hr workers.
No — Pennsylvania has no mandatory state disability insurance (SDI). Unlike California (0.9% SDI) or New Jersey, there is no PA SDI deduction from paychecks. Workers seeking disability coverage should look into employer-provided short-term disability insurance or private policies.