Arkansas cut its top income tax rate to 3.7% in May 2026, retroactive to January 1, and employers moved to new withholding tables at the end of May. The formula is short: subtract a $2,470 standard deduction, apply the brackets, then take $29 off per exemption on your AR4EC.
2026 tax year, verified Sources
Estimated take-home this week
$935.71
from $1,153.85 gross. You keep 81%.
2026 tax year, rules last verified November 12, 2026. An estimate, not tax advice. How we calculate
Each extra dollar you earn loses about 23¢ to taxes, but across all your pay the average is 19¢. A raise never lowers your take-home: only the dollars above a bracket line pay the higher rate.
| Annual pay | Effective | Marginal |
|---|---|---|
| $15,000 | 8.5% | 10.7% |
| $30,000 | 14.5% | 23.4% |
| $45,000 | 17.4% | 23.4% |
| $60,000 | 18.9% | 23.4% |
| $75,000 | 20.9% | 33.4% |
| $90,000 | 23.0% | 33.4% |
| $105,000 | 24.8% | 33.4% |
| $120,000 | 25.8% | 33.4% |
| $135,000 | 26.9% | 35.4% |
| $150,000 | 27.7% | 35.4% |
Your take-home changes during the year as wage caps and thresholds are reached.
Same pay, W-4 and benefits; each state’s default withholding answers, no local taxes. Take-home per week:
Arkansas uses an annualized formula. Your employer multiplies this paycheck by the number of paychecks in the year and subtracts the $2,470 standard deduction. Below $100,001, that net income is rounded to the middle of its $100 range (for example $23,054 becomes $23,050).
The tax comes from the bracket table below, rounded to whole dollars. Each exemption on your AR4EC (you, your spouse or head of household status, and each dependent) then takes $29 off the yearly tax, and the result is divided by your number of paychecks.
Above $94,700, the table phases out the benefit of the lower brackets in $100 steps, so higher earners pay close to a flat 3.7% on everything above the standard deduction.
Workers with low income can check Line 5 on the AR4EC to use the Department’s low-income tax tables, which withhold less. This calculator uses the standard formula, so for those workers it may show slightly more withholding than their paycheck.
| Net taxable income from | Rate | Then subtract |
|---|---|---|
| $0 | 0% | — |
| $5,600 | 2% | $111.98 |
| $11,200 | 3% | $223.97 |
| $16,000 | 3.4% | $287.97 |
| $26,400 | 3.7% | $367.16 |
| $94,701 and up | 3.7% | $369.90, falling $10 per $100 to $79.90 at $97,601+ |
Before the revision, the top rate was 3.9% (subtract $419.96). Lower brackets did not change.
Single filer, standard W-4, no benefits, paid weekly, default AR4EC answers. Arkansas takes $27.63 of this check (2.8% of gross).
| Line | Per week | Per year |
|---|---|---|
| Gross pay | $1,000.00 | $52,000.00 |
| Federal income tax | −$78.08 | −$4,060.16 |
| Social Security | −$62.00 | −$3,224.00 |
| Medicare | −$14.50 | −$754.00 |
| Arkansas income tax | −$27.63 | −$1,455.45 |
| Take-home pay | $817.79 | $42,506.39 |
Single filer, standard W-4, no benefits, no local tax. Per-week amounts; annual totals account for the Social Security wage cap.
| Salary | Gross / week | Federal | FICA | Arkansas | Take-home / week | Per year |
|---|---|---|---|---|---|---|
| $30,000 | $576.92 | $27.31 | $44.14 | $11.98 | $493.49 | $25,661 |
| $40,000 | $769.23 | $50.38 | $58.84 | $19.10 | $640.91 | $33,319 |
| $50,000 | $961.54 | $73.46 | $73.56 | $26.21 | $788.31 | $40,975 |
| $60,000 | $1,153.85 | $96.54 | $88.27 | $33.33 | $935.71 | $48,632 |
| $75,000 | $1,442.31 | $147.50 | $110.33 | $44.00 | $1,140.48 | $59,268 |
| $100,000 | $1,923.08 | $253.27 | $147.11 | $67.12 | $1,455.58 | $75,623 |
| $150,000 | $2,884.62 | $475.65 | $220.68 | $102.88 | $2,085.41 | $108,326 |
Married filing jointly with two children on $100,000: $1,648.23 a week ($85,641 a year).
None. No Arkansas city or county taxes wages. Some Texarkana, Arkansas residents qualify for an exemption from Arkansas income tax and file Form AR4EC-TX with their employer.
None. Arkansas has no state disability, paid family leave or employee unemployment deduction. State unemployment tax is paid by employers.
With one exemption, $27.63 a week under the current table.
The Department’s own example: $2,127 a month and 2 exemptions. $25,524 a year − $2,470 = $23,054, looked up at $23,050. 3.4% of that minus $287.97 is $495.73, rounded to $496. Minus 2 × $29 = $438 a year, or $36.50 a month.
The legislature cut the top rate to 3.7%, and employers switched to the revised tables posted May 29, 2026. Because the cut is retroactive to January 1, the extra withheld before then comes back on your 2026 return.
Employers withhold a flat 3.7% of a bonus or commission. For lower earners that can be more than they’ll owe; the difference is refunded when they file.
Arkansas rules for the 2026 tax year, last verified November 12, 2026. Federal sources are on the methodology page.
Every state page has its own withholding formula, local taxes, payroll programs and worked examples. Compare all states.