How the calculator works
New Yorkers pay up to four layers of tax on wages: federal income tax, Social Security and Medicare, New York State income tax and, for city residents, NYC income tax. Two small state payroll deductions come on top: Paid Family Leave and disability insurance. The calculator applies each one to your salary for 2026, then sets three rent targets against what is left.
- Pre-tax deductions. Your 401(k) contribution (up to the $24,500 limit for 2026) and pre-tax health premiums come off income tax wages. Health premiums paid through an employer cafeteria plan usually also come off Social Security and Medicare wages; 401(k) contributions don’t.
- Federal tax. Subtract the 2026 standard deduction ($16,100 single, $32,200 married filing jointly, $24,150 head of household) and apply the 10%–37% brackets.
- FICA. 6.2% Social Security on wages up to $184,500 per worker, 1.45% Medicare on all wages, plus 0.9% on wages over $200,000 ($250,000 married filing jointly).
- New York State. Subtract the NYS standard deduction ($8,000 single, $16,050 joint, $11,200 head of household) and apply the 2026 rates of 3.9% to 10.9%. Above $107,650 of income, NY gradually takes back the benefit of its lower brackets, which we model too.
- NYC. Residents pay 3.078%–3.876% on the same taxable income, minus the NYC school tax credits.
- PFL and SDI. 0.432% of wages for Paid Family Leave, capped at $411.91 a year, and 0.5% for disability, capped at 60 cents a week.
At a glance
- NYC tax rates
- 3.078%–3.876%
- NYS rates, 2026
- 3.9%–10.9%
- lowest five cut 0.1 point
- Social Security wage base, 2026
- $184,500
- Paid Family Leave, 2026
- 0.432%, max $411.91
Worked example
A single NYC resident earns $95,000, puts 5% ($4,750) in a 401(k) and pays $150 a month ($1,800 a year) in pre-tax health premiums. That leaves $88,450 of income for tax purposes.
| Item | Per year |
|---|---|
| Federal income tax (on $72,350) | $10,629 |
| Social Security | $5,778 |
| Medicare | $1,351 |
| NY State income tax (on $80,450) | $4,179 |
| NYC income tax, after $240 of school tax credits | $2,753 |
| Paid Family Leave + disability | $442 |
| 401(k) + health premiums | $6,550 |
| Take-home pay | $63,317 ($5,276 a month) |
Thirty percent of $5,276 is $1,583 a month. A landlord using the 40x rule would approve rent of up to $95,000 ÷ 40 = $2,375. If this renter also pays $300 a month on a student loan, the 50/30/20 ceiling is 50% of take-home minus debts, or $2,338. Rent at the 40x maximum would eat 45% of take-home pay, which leaves little room for savings.
Choosing your rent target
- 30% of take-home is a conservative target that leaves room for savings, utilities and transit.
- 40x gross is what many NYC landlords require on an application. It is a screening practice, not a law. See our 40x rule guide.
- The 50/30/20 split puts all needs, including rent and minimum debt payments, in half of take-home. We show that half minus your debts as a hard ceiling for rent.
Next steps
Price the move itself with the NYC move-in cost calculator. If you fall short of 40x, the guarantor income calculator shows what a guarantor needs to earn. If your income is lower, check affordable lotteries with the Housing Connect income checker.