Hawaii tax notes
- Top rate 11% above $200k. Lowest property tax rate in the nation at 0.28% effective. General Excise Tax replaces sales tax (4-4.5%, applies to services as well as goods).
Sample tax numbers for Hawaii
Quick orientation — use the full calculator for your actual situation.
Tax moves that matter most for Hawaii
If you have any pass-through business income (S-Corp, partnership, multi-member LLC), Hawaii allows the PTET election that effectively bypasses the federal $10,000 SALT cap on the state income tax portion. Typical savings for high earners: $2k-$15k/year.
At net SE income above ~$80k-$100k, electing S-Corp typically saves $5k-$15k/yr in self-employment tax — the math is largely federal but affects Hawaii state tax via PTET (if applicable).
If you have 1099 income, Solo 401(k) lets you contribute up to $70,000/yr (2025) — far more than SEP-IRA in most cases. Reduces both federal and Hawaii state income tax.
Run your Hawaii numbers
Open the full optimizer with Hawaii pre-selected to see your specific tax picture.
Open the full calculator