Reading tax guide
At a $75,000 salary, working in Reading costs an extra $2,700/year in local taxes compared to a Pennsylvania location with no local tax, bringing annual take-home down to $56,590.
Key tax highlights
Payroll
- Reading taxes residents and nonresidents at different rates, so your home address matters for the paycheck calculation.
- Both resident and commuter rates are withheld from each paycheck on top of Pennsylvania state tax.
Local taxes
- Reading applies a 3.6% / 1.3% local wage tax on earned income.
- Nonresidents working in Reading pay a reduced rate of 1.3%.
Salary examples
Take-home estimates including local tax as a separate line. At $75,000, the local tax adds $2,700 per year. Use the calculator above with your actual salary for a precise estimate.
| Salary | Federal | State | Local | FICA | Take-Home | Rate |
|---|---|---|---|---|---|---|
| $50,000 | $3,820 | $1,535 | $1,800 | $3,825 | $39,020 | 78.0% |
| $75,000 | $7,670 | $2,303 | $2,700 | $5,738 | $56,590 | 75.5% |
| $100,000 | $13,170 | $3,070 | $3,600 | $7,650 | $72,510 | 72.5% |
| $150,000 | $24,734 | $4,605 | $5,400 | $11,475 | $103,786 | 69.2% |
Resident and work caveats
- Reading local tax treatment can depend on whether you are taxed as a resident, a commuter, or both under local rules.
- Use the calculator as an estimate and verify edge cases when your home and work locations differ.
Other Pennsylvania city pages
| City | Local rate |
|---|---|
| Philadelphia | 3.74% |
| Pittsburgh | 1% |
| Allentown | 1.975% |
| Erie | 1.65% |
