Dayton Local Income Tax: What It Means for Your Paycheck (2026)
Calculator scope: ExactTakeHome currently calculates federal and Ohio state income tax. Local income taxes are not included in the calculator.
What is Dayton's Local Income Tax?
Dayton levies a municipal income tax on earned wages at 2.5% for residents. Flat municipal income tax on wages and compensation. According to https://www.daytonohio.gov/, the Dayton municipal income tax rate for residents is 2.5% as of 2026.
How Much Does Dayton's Local Tax Cost?
| Annual Salary | Estimated Local Tax (2.5%) | Monthly Local Tax |
|---|---|---|
| $40,000 | $1,000 | $83 |
| $60,000 | $1,500 | $125 |
| $75,000 | $1,875 | $156 |
| $100,000 | $2,500 | $208 |
| $150,000 | $3,750 | $313 |
Estimated using the municipal income tax rate.
These are estimates of the local tax component only. Your total paycheck deductions also include federal income tax, Social Security, Medicare, and Ohio state income tax.
Calculate Your Federal and State Taxes
ExactTakeHome currently calculates federal and Ohio state income tax for Dayton residents. To estimate your take-home pay excluding local tax, use the Ohio calculator and add the local tax amount from the table above for a full planning estimate.
Does Dayton's Local Tax Apply to Remote Workers?
Dayton municipal tax can depend on work location and residence. Remote workers should verify sourcing rules.
Frequently Asked Questions
2.5% municipal income tax for residents. Source: https://www.daytonohio.gov/.
Residents of Dayton and workers who earn wages from work performed in Dayton may owe local income tax. Rules vary by residence and work location — verify with https://www.daytonohio.gov/.
An estimated $1,875 per year ($156 per month) at the 2.5% rate. This is an estimate of the local component only.
No. ExactTakeHome currently calculates federal and Ohio state income tax. Local income taxes are not included in the calculator.
Use the Ohio calculator on ExactTakeHome for federal and state withholding, then subtract the estimated local tax from the table on this page for a planning estimate.