Taxes

South Carolina Income Tax Explained (2026)

South Carolina's income tax tops out at 6%, but that rate starts under $18,000, so most workers pay near it. How it works on a paycheck. Free SC calculator inside.

By FinanceTool Editorial Team · Published June 13, 2026 · 6 min read

The Charleston, South Carolina waterfront at golden hour with Rainbow Row and church steeples.

South Carolina's income tax tops out at 6%, but here is the catch: that top rate starts at just $17,830 of taxable income, so most full-time workers pay close to 6% on their last dollars.

The 0% and 3% bands below that barely matter once you earn a normal salary, which makes South Carolina feel close to a flat 6% for typical earners. Here is how it works on your paycheck. See your exact take-home with the free South Carolina paycheck calculator.

How South Carolina's income tax works

South Carolina starts from your federal taxable income and applies three brackets: 0% on the first $3,560, 3% up to $17,830, and 6% above that. The top rate was trimmed from 6.2% to 6% for 2025. Because the 6% band starts low, a middle-income worker's marginal rate is 6% on most income. There is no local income tax.

Because South Carolina begins from federal taxable income, your federal standard deduction and pre-tax contributions already reduce the base before the state rate applies.

Taxable incomeRate
$0 – $3,5600%
$3,560 – $17,8303%
Over $17,8306%

Your take-home on a $65,000 salary in South Carolina

Here is how a $65,000 salary breaks down for a single filer, using 2025 federal and FICA figures alongside South Carolina's graduated rates from 0% to 6%.

ItemAnnual
Federal income tax$5,246
FICA (Social Security + Medicare)$4,973
South Carolina income tax$2,358
Take-home pay$52,424
Percent of gross kept80.7%

On a $65,000 salary a single filer owes about $2,358 in South Carolina income tax, an effective rate near 3.6%, and keeps roughly $52,424, or 80.7% of gross. In fast-growing areas like Greenville, Columbia, and the Charleston coast, that take-home generally goes further than in higher-cost neighboring states. Compare with North Carolina.

A 6% top rate that arrives early

South Carolina's quirk is that its top 6% rate kicks in at under $18,000 of taxable income, so the graduated structure behaves nearly like a flat 6% for full-time workers. The state has been gradually lowering that top rate over recent years.

South Carolina does not tax Social Security and gives a generous retirement-income deduction (larger at 65 and older), so retirees typically pay well below the 6% that applies to wages.

How to keep more of your South Carolina paycheck

Because South Carolina starts from federal taxable income, a traditional 401(k) and HSA reduce your South Carolina and federal taxable income at the same time (and the HSA also skips FICA), the most effective lever on your take-home.

Frequently asked questions

Sources & methodology: The South Carolina Department of Revenue and the Tax Foundation. Figures use 2025 state rules with 2025 federal and FICA amounts.