Individual & Family FAQs

You can calculate your state income tax savings by using the tax calculator.

All Hawai‘i residents will see lower state income taxes due to larger standard deductions, wider tax brackets, and increased tax credits. Most wage earners will see an increase in their take-home pay. To see your income tax savings, use the tax calculator.

No, changes will be automatically applied when you file your 2024 state tax return in 2025.

If you claim the standard deduction, the new law will affect your 2024 tax return, which you file in 2025.

The new standard deductions for 2024 have doubled compared to the prior year. Here’s a breakdown of how they differ from last year’s amounts:

1. 2023 Standard Deduction Amounts:
   • $4,400 for joint filers
   • $3,212 for heads of household
   • $2,200 for single filers
2. 2024 Standard Deduction Amounts (New Law):
   • $8,800 for joint filers
   • $6,424 for heads of household
   • $4,400 for single filers
3. What’s more, the Standard Deduction will continue to increase through 2031. See new Standard Deductions.

To see the specific deduction that applies to your situation, use the tax calculator.

The brackets will be adjusted to widen income thresholds beginning in 2025, which means more income will be taxed at lower rates. View new tax bracket changes.

For most W-2 employees, yes. You should see more take-home pay starting in January 2025. This is because employers will be withholding less for taxes from your paycheck. However, the exact amount will vary depending on your income and individual circumstances. It’s important to remember that the withholding changes are designed to give you most of the benefit of the tax cut upfront, but your final tax liability will be determined when and how you file your tax return.

Yes, employers should update withholding in line with guidance from the Hawai‘i Department of Taxation.

The best way to check is to look at your pay stub. Starting in late January or early February 2025, you should see less state income tax being withheld compared to your 2024 pay stubs. If you don’t see a change by February, it’s a good idea to ask your employer or payroll department to confirm they’re using the updated withholding tables from the Hawai‘i State Department of Taxation.

You usually don’t have to file if your income is below the filing threshold. However, you should file a return if you qualify for refundable tax credits! These credits can give you money back even if you don’t owe any taxes. A few key refundable credits are:

• Earned Income Tax Credit (EITC)
• Food/Excise Tax Credit
• Child and Dependent Care Tax Credit

It’s worth checking your eligibility – you might be missing out on some extra cash!