Colorado's statewide sales tax is 2.9%, and once the population-weighted local average (4.99%) is added on, the combined rate works out to about 7.89% — roughly in the middle of the pack nationally (ranked #16 of 47 states + D.C. by combined rate).
Different state? Browse the full state list →
Colorado's statewide sales tax is 2.9%, and once the population-weighted local average (4.99%) is added on, the combined rate works out to about 7.89% — roughly in the middle of the pack nationally (ranked #16 of 47 states + D.C. by combined rate).
Local rates vary a lot within Colorado — some cities and counties add as little as nothing, while others stack on up to 9.1 percentage points, so the average rate above is a starting point, not a guarantee.
Like most states, Colorado allows employers to pay tipped workers a lower base cash wage under a federal or state "tip credit," as long as tips bring total pay up to at least the regular minimum wage — which is part of why tipping culture is taken seriously in the US service industry.
Common bill totals at typical US tipping percentages.
| Bill | 15% | 18% | 20% |
|---|---|---|---|
| $20.00 | $3.00 | $3.60 | $4.00 |
| $30.00 | $4.50 | $5.40 | $6.00 |
| $40.00 | $6.00 | $7.20 | $8.00 |
| $50.00 | $7.50 | $9.00 | $10.00 |
| $100.00 | $15.00 | $18.00 | $20.00 |
Colorado's statewide sales tax is 2.9%, and once the population-weighted local average (4.99%) is added on, the combined rate works out to about 7.89% — roughly in the middle of the pack nationally (ranked #16 of 47 states + D.C. by combined rate).
Like most states, Colorado allows employers to pay tipped workers a lower base cash wage under a federal or state "tip credit," as long as tips bring total pay up to at least the regular minimum wage — which is part of why tipping culture is taken seriously in the US service industry.
Because Colorado lets individual cities and counties add their own local sales tax on top of the 2.9% state rate — in some places that adds almost nothing, in others it adds up to 9.1 percentage points, so two receipts in the same state can show noticeably different totals.
No. This tool calculates the tip a customer leaves on a bill. A payroll or paycheck tip calculator is a different, employer-side tool for reporting tip income and calculating wages.