Stock Option Tax Calculator for New Jersey

Stock option exercises in New Jersey are subject to up to 10.75% state income tax on top of federal tax. For NSOs, the spread at exercise is ordinary income subject to both federal and New Jersey state tax plus FICA. For ISOs, while there is no regular tax at exercise, the spread counts for AMT purposes and for New Jersey state tax calculations. This calculator helps you plan the optimal time and amount to exercise given New Jersey's tax rates.

New Jersey uses a graduated income tax with brackets ranging from 1.4-10.75%. Lower income is taxed at lower rates, with the 10.75% top rate applying only to income in the highest bracket. This progressive structure means your effective state tax rate is always lower than the top marginal rate. New Jersey does not have local income taxes, so the state graduated rate is the total state-level income tax burden.

The table below shows what you actually keep at five salary levels in New Jersey, accounting for federal tax, FICA, and New Jersey's graduated (1.4-10.75%) state tax.

See how New Jersey compares to other Northeast states. Each link takes you to the stock option tax calculator landing page for that state.

For a comprehensive breakdown of New Jersey’s tax structure, salary comparisons, cost-of-living analysis, and more, visit the full New Jersey take-home pay page.