Property Tax Calculator: Annual Tax From Assessed Value
Work out the annual property tax on a home from its assessed value and the local property tax rate — the single biggest recurring cost of homeownership after the mortgage.
Adjust the inputs and select Calculate for a full breakdown.
Compare Common Scenarios
How the numbers shift across typical situations for this calculator:
| Scenario | Annual property tax | Assessed value net of tax |
|---|---|---|
| 1.5% of $400k | 6,000 | 394,000 |
| 0.9% of $250k | 2,250 | 247,750 |
| 2.4% of $600k | 14,400 | 585,600 |
| 3.1% of $850k | 26,350 | 823,650 |
How This Calculator Works
Enter the assessed value and the effective property tax rate. The calculator multiplies the two to give the annual tax bill, with the value net of tax shown alongside. For a true effective rate, fold any homestead exemptions, caps, or special assessments into the rate you enter.
The Formula
Percentage of an Amount
Amount is the base value, Percentage is the rate applied to it
Worked Example
A home assessed at $400,000 in a jurisdiction with a 1.5% effective property tax rate owes $6,000 a year — $500 a month escrowed alongside the mortgage. Rates vary widely; the same home would owe twice that in a 3% county.
Key Insight
Property tax follows the assessment, not the purchase price. A reassessment after a sale or a market rally can lift the tax bill by hundreds a month without any change to the home — which is why homeowners watch the tax notice as closely as they watch their interest rate.
Frequently Asked Questions
How is property tax calculated?
Multiply the assessed value by the local effective tax rate. A 1.5% rate on a $400,000 assessment is $6,000 a year, usually paid in installments or through an escrow account.
Is assessed value the same as market value?
Often no. Many jurisdictions assess at a fraction of market value, or freeze assessments under a homestead cap. Use the assessed value from your tax notice, not the listing price.
What is a millage rate?
It is the property tax rate expressed in tenths of a percent — one mill is $1 of tax per $1,000 of assessed value. Multiply the millage by 0.1 to convert to a percentage rate.
Are exemptions handled here?
Indirectly. Homestead, senior, or veteran exemptions reduce the effective rate. Use the effective rate from your tax notice rather than the headline jurisdictional rate.
Why did my tax bill go up?
Either the assessment rose, the rate rose, or both. A sale and a market reset often trigger a reassessment; some jurisdictions cap year-over-year increases on owner-occupied homes.
Related Calculators
Methodology & Review
Property tax is the assessed value multiplied by the effective tax rate. The calculator models a single flat rate; multi-band millage, exemptions, homestead caps, and special assessments are not separated out — fold them into the effective rate.
Written by Ugo Candido · Last updated May 17, 2026.