Iowa charges 3.8% flat state income tax. Use the rsu tax calculator pre-loaded with Iowa rates.
Open RSU Tax Calculator →RSU vesting in Iowa triggers a flat 3.8% state income tax, treated as ordinary income just like your salary. Your employer typically sells shares at vesting to cover the combined federal, state, and FICA withholding, which can consume 35-50% of the vested shares depending on your income level. This calculator shows you exactly how many shares (or dollars) you keep after all Iowa tax layers are applied.
Iowa levies a flat 3.8% state income tax on all taxable income regardless of how much you earn. This makes tax planning straightforward: for every additional dollar you earn, 3.8 cents goes to Iowa. Iowa does not impose local income taxes, so the 3.8% flat rate is the only state-level income tax you owe.
The table below shows what you actually keep at five salary levels in Iowa, accounting for federal tax, FICA, and Iowa's flat 3.8% state tax.
See how Iowa compares to other Midwest states. Each link takes you to the rsu tax calculator landing page for that state.
For a comprehensive breakdown of Iowa’s tax structure, salary comparisons, cost-of-living analysis, and more, visit the full Iowa take-home pay page.