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Illinois Payroll Tax & Garnishment
What Employers Must Know

Moderate Complexity

California, New York, Hawaii, Pennsylvania, and Texas each play by different rules.

The rule.

State Income Tax Rate
4.95% flat
Additional Payroll Deductions
No
Wage Garnishment Limit
15% of gross or 45x fed min wage — whichever leaves more
Processing Fee Permitted
$12 per year administrative fee
Additional Agency
No
Key Notes
IL uses different garnishment calculation — 15% of gross wages, not 25% of disposable. Often more protective.

IL uses different garnishment calculation — 15% of gross wages, not 25% of disposable. Often more protective.

Last verified: June 2026.

What's in the Payroll Tax & Wage Garnishment workbook

What's in the workbook

Payroll Tax & Garnishment — every state covered. Visible items show the chapters; locked items reveal the structural depth.

  • State Reference
  • Compliance Checklist
  • Monthly Updates
  • 🔒Initial Assessment
  • 🔒Garnishment Processing
  • 🔒Recordkeeping
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Payroll Tax & Wage Garnishment — instant download, Excel + Google Sheets, free monthly updates for life.

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