Paycheck Calculator Denver (Colorado) Estimate Your Take-Home Pay

Estimate your net salary in Denver after federal taxes, Colorado's flat 4.4% state income tax, FICA, FAMLI paid leave premium, and Denver's Occupational Privilege Tax ($5.75/month).

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USA · CO · Denver

2026 estimate: federal brackets, CO 4.4% flat, FAMLI 0.44%, Denver OPT $5.75/mo, FICA.

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Enter yearly gross pay before any deductions.
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401(k), pre-tax health premiums, HSA (if applicable), etc.
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Optional. Leave empty for 2026 defaults ($16,100/$32,200).
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If you want to simulate extra tax withheld.
Applied if you earn $500+/month working in Denver.
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Colorado has no separate state deduction. Override only if needed.
Note: Denver OPT is included by default on this city page. Toggle off above if you live in Denver but work outside city limits.

Results

Estimated take-home
Effective tax rate
Gross income
Annual gross pay
Pre-tax deductions
401(k), pre-tax health, HSA, etc.
Taxable wages (after pre-tax)

Federal income tax (estimate)
Taxable: — · Std. deduction: —
Colorado state tax (4.4% flat)
Taxable: —
Social Security
6.2% up to —
Medicare
1.45% of wages
CO FAMLI (paid leave)
0.44% employee share
Denver OPT
$5.75/month flat

Total taxes & withholding
Estimated take-home
Shown per year
This is an estimate for planning purposes only.

Take-Home Pay in Denver: What the Numbers Actually Mean for Your Budget

Denver workers face a specific deduction stack — federal progressive brackets, Colorado's flat 4.4%, the FAMLI paid leave premium, FICA, and the city's own Occupational Privilege Tax. Understanding how these layers interact at Denver salary levels helps you budget realistically in a city where median rent runs $1,700+/month for a one-bedroom.

Every line item on a Denver paycheck

Item What it is 2026 rate / amount
Federal income tax Progressive tax on income above the standard deduction ($16,100 single / $32,200 married). Colorado's state tax starts from this same federal taxable income, so one deduction effectively reduces two tax bills. 10%–37%
Colorado state tax Flat 4.4% on federal taxable income. No separate state standard deduction. The simplicity is a planning advantage: every $1,000 in pre-tax contributions saves exactly $44 in CO tax, regardless of income level. 4.4% flat
Denver OPT Flat $5.75/month deducted from employees who perform work within Denver city limits and earn $500+/month. The employer also pays $4.00/month per taxable employee. Not income-proportional — same amount whether you earn $40K or $400K. $5.75/month ($69/year)
Social Security 6.2% on wages up to $184,500 (2026 cap). At Denver's median household income of ~$92K, virtually all earnings are subject. Maximum employee contribution: $11,439/year. 6.2% up to $184,500
Medicare 1.45% on all wages with no cap, plus 0.9% Additional Medicare Tax on wages over $200K (single) / $250K (married). Denver's tech sector salaries often cross the $200K threshold where this add-on kicks in. 1.45% (+0.9% above threshold)
CO FAMLI Paid family/medical leave insurance. 0.88% total, split 50/50: employee pays 0.44% on wages up to the $184,500 SS cap. This is a post-tax deduction — it does not reduce taxable income. 0.44% employee

Denver take-home formula

Conceptual (annual):
Take-home ≈ Gross − Pre-tax deductions − Federal tax − CO tax (4.4%) − SS − Medicare − FAMLI (0.44%) − Denver OPT ($69) − Extra withholdings
Denver adds only $69/year beyond what any other Colorado city levies. The real differentiator is cost of living, not the tax itself.

Denver OPT: small tax, common confusion

The Occupational Privilege Tax is Denver's only city-level payroll tax. It's flat — not proportional to income — which makes it regressive in percentage terms: $69/year is 0.09% of a $75K salary but 0.02% of a $300K salary.

  • Who pays: Any employee earning $500+ in a calendar month working within Denver city limits. Where you live doesn't matter — where you work does.
  • Remote workers: If you live in Denver but work remotely for a company in Colorado Springs, you typically don't owe Denver OPT. If you work remotely for a Denver-based company from your Denver home, you do.
  • Multiple employers: You pay OPT once. Submit Form TD269 to secondary employers to avoid double withholding.
  • Aurora eliminated its OPT as of January 2025. Glendale ($5/month) and Greenwood Village ($4/month) still levy their own.

Denver vs. Colorado Springs: tax comparison at $92K (single)

  • Federal tax: identical ($8,584)
  • CO state tax: identical ($3,340)
  • FICA + FAMLI: identical ($7,456)
  • Denver OPT: $69 vs. $0
  • Total difference: $69/year ($5.75/month)
The tax gap between Denver and most other CO cities is negligible. Housing cost is where the real difference lives: Denver 1-BR averages ~$1,700/month vs. Colorado Springs at ~$1,300.

Denver salary scenarios: from entry-level to senior tech (2026, single filer, no pre-tax deductions)

These four income levels represent common Denver salary bands — from service-sector entry positions through senior tech roles. Denver OPT ($69/yr) is included in all scenarios.

Component $45,000 $75,000 $130,000 $210,000
Federal std. deduction $16,100 $16,100 $16,100 $16,100
Federal taxable income $28,900 $58,900 $113,900 $193,900
Federal income tax $3,228 $6,816 $16,524 $38,312
CO state tax (4.4%) $1,272 $2,592 $5,012 $8,532
Social Security $2,790 $4,650 $8,060 $11,439
Medicare $653 $1,088 $1,885 $3,135
FAMLI (0.44%) $198 $330 $572 $812
Denver OPT $69 $69 $69 $69
Total deductions $8,210 $15,545 $32,122 $62,299
Annual take-home $36,790 $59,455 $97,878 $147,701
Monthly take-home $3,066 $4,955 $8,157 $12,308
Effective total rate 18.2% 20.7% 24.7% 29.7%
$45K — Entry level

Monthly take-home of $3,066 leaves roughly $1,366/month after a typical Denver 1-BR rent ($1,700). That's tight for groceries, transport, and utilities (~$1,100/month combined). At this level, a $3,000 401(k) contribution saves ~$480 in taxes but reduces already-strained cash flow. The trade-off requires careful budgeting.

$75K — Mid-range

The sweet spot for Denver's cost of living. At $4,955/month take-home, spending 30% on housing ($1,487) is achievable even in mid-tier neighborhoods like Capitol Hill or Highlands. The 12→22% federal bracket jump happens around $66.5K taxable income — contributing to a 401(k) that keeps you below this threshold saves 10 cents on every marginal dollar federally.

$130K — Senior professional

At $8,157/month, Denver's housing market opens up comfortably. The 24% federal marginal rate applies to ~$8,200 of taxable income. Maxing a 401(k) ($23,500) would save ~$6,551 in combined federal + CO tax, dropping the effective rate from 24.7% to roughly 22.0%.

$210K — Senior tech / management

Crosses the $200K Additional Medicare Tax threshold: an extra 0.9% applies to $10,000 of wages ($90/year). Also exceeds the SS wage base ($184,500), so SS tax is capped at $11,439. The jump from $184.5K to $210K has a lower marginal payroll burden than mid-range income, but federal+state on the top slice is 36.4%.

Denver housing affordability vs. take-home: the 30% rule reality check

Financial guidance typically recommends spending no more than 30% of gross income on rent. But taxes reduce what you actually have. Here's how the 30% rule translates when applied to take-home pay instead of gross — a more realistic planning metric for Denver renters:

Gross salary Monthly take-home 30% of take-home Can afford
$55,000 $3,631 $1,089 Studio / roommate
$75,000 $4,955 $1,487 1-BR (affordable area)
$92,000 $6,002 $1,801 1-BR (avg. Denver)
$120,000 $7,502 $2,251 2-BR / premium 1-BR

Denver's median household income of ~$92K (Census 2023) lands a single filer at roughly $6,000/month take-home — just enough to afford the average 1-bedroom at $1,700 under the 30% take-home rule. Earners below $75K face a structural squeeze: they either spend 35%+ of take-home on rent or push into more affordable neighborhoods like Montbello, Westwood, or Far Northeast Denver, where 1-BR rents can drop below $1,300.

Denver profession salaries: what you actually keep (2026, single filer)

Typical Denver salary ranges by profession, with estimated annual take-home. All figures include Denver OPT and no pre-tax deductions:

Profession Typical salary Take-home Monthly net
Software Engineer (mid) $130,000 ~$97,878 $8,157
Registered Nurse $82,000 ~$64,572 $5,381
Teacher (DPS mid-career) $58,000 ~$46,688 $3,891
Accountant $72,000 ~$57,188 $4,766

A Denver teacher at $58K takes home $3,891/month — leaving $2,191 after a $1,700 1-BR rent. With $1,100+ in typical monthly expenses (transport, groceries, utilities, insurance), the remaining $1,091 covers discretionary spending and savings. A $5,000/year 401(k) contribution would reduce take-home by ~$350/month but save ~$1,320/year in combined taxes, building $50K+ in retirement savings over a decade.

Denver-specific mistakes and edge cases

1. Assuming Denver has a city income tax

Denver does not levy a percentage-based city income tax. The OPT is flat ($5.75/month). People relocating from cities like New York City (3.876%+) or Philadelphia (3.75%) sometimes overestimate Denver's local tax burden. The reality: Denver's local tax impact is $69/year vs. thousands in cities with proportional municipal taxes.

2. Overlooking FAMLI as a new paycheck line item

FAMLI premiums started in 2023, and benefits launched in 2024. At $92K salary, the employee share is $405/year ($34/month). It doesn't reduce your taxable income (it's post-tax), and FAMLI benefits received are reported on IRS Form 1099-G. If you receive FAMLI benefits, you may owe federal tax on them.

3. Miscounting the OPT when switching employers in Denver

The $5.75/month employee OPT is owed only once, even with multiple Denver employers. If you switch jobs mid-year, submit Form TD269 to your secondary employer to prevent double withholding. Both employers still owe the $4.00/month business OPT independently.

4. Using the 2024 temporary 4.25% CO rate instead of the current 4.4%

Colorado's TABOR-triggered excess revenue refund dropped the effective rate to 4.25% for the 2024 tax year only. The rate reverted to 4.4% for 2025 and remains at 4.4% for 2026. On a $92K salary, this difference is ~$118/year — not massive, but it skews estimates if the wrong rate is used.

5. Forgetting the state income tax add-back when itemizing

If you itemize deductions on your federal return and claim a SALT deduction for Colorado income tax paid, Colorado requires you to add that amount back to your state taxable income. Denver homeowners who itemize for mortgage interest and property tax often miss this add-back, underestimating CO tax by $200–$1,000+.

FAQ

Does working from home in Denver trigger the OPT?
Yes, if you perform work within Denver city limits — including from a home office — and earn $500+ in a month, the Denver OPT applies. It's based on where work is physically performed, not where the employer is located. If you live in Denver but exclusively work at a client site in Lakewood, Denver OPT would not apply.
How does Denver compare to Austin or Phoenix for net take-home?
At $92K single: Denver take-home is ~$72,000/year. Austin (Texas, no state tax) yields ~$75,700 — about $3,700 more. Phoenix (Arizona, 2.5% flat state tax) yields ~$73,600. The gap narrows when you factor cost of living: Denver's rent and property costs are comparable to Austin's, but lower than many Phoenix suburbs for equivalent neighborhoods. The net lifestyle difference is often smaller than the headline tax savings suggest.
I earn over $200K in Denver. What extra taxes apply?
Above $200K (single), an additional 0.9% Medicare tax applies on wages exceeding that threshold. At $220K, that's $180/year extra. You also hit the 32% federal marginal bracket around $201K of taxable income. Social Security caps at $184,500 — so above that level, your marginal payroll rate actually drops by 6.2%, partially offsetting the Medicare add-on. Total marginal rate above $200K in Denver: ~37.85% (32% federal + 4.4% CO + 1.45% Medicare).
Is there sales tax on top of income tax in Denver?
Yes, but sales tax is separate from payroll withholding. Denver's combined sales tax rate (state + county + city + special districts) is approximately 8.81%. This affects your purchasing power but isn't reflected in the take-home pay calculator. On $3,000/month in taxable spending, that's ~$264/month in sales tax — a meaningful hidden cost when budgeting.
Should I max out my 401(k) in Denver?
At $92K single in Denver, each dollar in a traditional 401(k) saves 22% federal + 4.4% CO = 26.4 cents in current taxes. Maxing at $23,500 saves ~$6,204/year in taxes and builds significant retirement wealth. The trade-off: your take-home drops by ~$17,296/year ($1,441/month). Whether that's sustainable depends on your rent, debt, and emergency fund status. A common middle ground: contribute enough to capture any employer match, then increase gradually.
Disclaimer: Estimates only, not tax advice. For official rules, see the IRS 2026 adjustments, CO Department of Revenue, and Denver Finance Department.