Compare monthly net pay between two US states. See how moving affects your take-home income after state income tax.
Moving from one US state to another can change your take-home pay by hundreds of dollars a month — even if your hourly wage or salary stays identical. The driver is almost always state income tax, with cost of living as the crucial second factor. This guide explains how to compare two states fairly, the data behind the numbers, and the mistakes that make people move for nothing. Use the calculator below to model any pair.
Federal income tax and FICA (7.65%) are the same everywhere, but state income tax ranges from zero to double digits. A worker earning $70,000 keeps far more in a no-tax state than an identical earner in a high-graduated-tax state, before a single dollar of cost-of-living difference. That gap is the reason "where you live" can matter as much as "what you earn."
Eight states charge no state income tax on wages: Alaska, Florida, Nevada, South Dakota, Tennessee, Texas, Washington, and Wyoming (New Hampshire taxes only dividends and interest, not wages). At the same gross pay, a worker in these states nets $200–$800/month more than in a high-tax state like California, New York, or Hawaii. That is why the Texas and Florida guides are among the most-read.
A second group uses a single flat rate for everyone — examples include Illinois (4.95%), Colorado (4.4%), and Pennsylvania (3.07%). Flat taxes are easy to estimate: the same percent comes off every dollar of taxable income. They are gentler than graduated systems for high earners but offer no relief at the bottom. The Tax Guide details each model.
The remaining states use graduated brackets — California (1%–13.3%), New York (4%–10.9%), and others — where only the top slice of income is taxed at the highest rate. A $70,000 earner in California pays a marginal rate near 9.3% on the last slice but an effective rate well below that. The take-home hit is real but smaller than the top rate suggests. See the California guide for the brackets.
| State (tax model) | Est. monthly net |
|---|---|
| Texas (no tax) | ~$4,650 |
| Washington (no tax, but has payroll tax) | ~$4,550 |
| California (graduated) | ~$4,350 |
The difference between Texas and California here is roughly $300/month, or $3,600/year, at identical gross pay. Model your own case with the Net Pay Calculator.
A no-tax state is not automatically richer if its rent is high. Hawaii and coastal California combine high tax (or high cost) with expensive housing, while Texas and many Plains states pair no tax with cheap housing. The truest metric is take-home ÷ cost-of-living index. Our Cost of Living Comparison ranks every state on this basis, and the State-by-State Wage Comparison shows nominal pay leaders.
Remote roles let you earn a high-wage-state salary while living in a low-cost, low-tax state — but multi-state tax rules apply. If you live in one state and your employer is in another, you may owe tax in both, though many neighbors have reciprocity agreements. The State Comparison Calculator models residency scenarios, and each state guide links the revenue department's form.
A move pays off when the after-tax, after-housing surplus beats your current state by a margin worth the disruption. A $10,000 nominal raise to a 30% pricier, higher-tax city can net less. Rank options by real income, not headline salary, using the two comparison blogs above plus the calculator.
Enter your gross annual or hourly pay, pick two states, and the tool estimates monthly net in each after federal tax, FICA, and each state's tax model. It isolates the state-tax effect so you can see exactly what relocation is worth. For a fuller budget, add the MoveCostCalc.com moving and recurring-cost estimate.
Service members and many military spouses can keep a home-state residency for tax purposes even when stationed elsewhere, avoiding a second state's tax. This can make a "no-tax home state" valuable regardless of duty station. If you or a spouse serve, confirm the rules with your finance office before assuming the new state's tax applies.
Bonuses and vested equity are taxed by your state of residence, not the state that issued them. A no-tax resident who receives a California-earned bonus still pays no state tax on it; a graduated-tax resident pays their rate. When comparing offers across states, include expected bonus and equity in the take-home model, not just base salary.
Commuter couples living in one state and working in another face resident and non-resident filings, though many neighbors have reciprocity. The combined household take-home depends on both states' rules, not each paycheck alone. The State Comparison Calculator models single earners; for households, run each spouse separately and add the results.
Because traditional 401(k) and IRA withdrawals are taxed by your state of residence in retirement, not where earned, workers in graduated-tax states who plan to retire in a no-tax state may never pay state tax on that deferred income. This makes traditional contributions especially attractive for those expecting to relocate. The 401(k) guide covers the mechanics.
College students and seasonal workers often split the year between states, which can create part-year residency and partial tax obligations in each. Most states prorate liability to the time actually spent there, but the filing rules differ. If you study in one state and earn in another over the summer, check both state guides before assuming you owe nothing.
Workers who temporarily overpay a non-resident state can claim a refund or a credit against their resident state return. Reciprocity agreements between neighbors prevent double taxation in the first place. The State Comparison Calculator models the net; your resident state's revenue department publishes the exact form to reclaim withheld tax.
Tax law distinguishes domicile (your permanent home) from residence (where you currently live). You can have one domicile and several residences, and only domicile binds you permanently. Remote workers who keep a no-tax domicile while living elsewhere often preserve that advantage — but intent matters, so document it. Each state guide explains local domicile rules.
A few cities levy their own wage taxes on top of the state — Philadelphia and some Ohio cities are examples. These can shave another 1–3% off take-home and are easy to miss in a state-level comparison. When modeling a move, check the destination city's earnings tax, not just the state rate, for a true net figure.
If a promotion requires relocating, run the offer through the calculator before accepting. A 10% raise to a higher-tax, higher-cost state can net less than your current role. Compare the new net against your old net using both the comparison tool and the Cost of Living guide so the move is a real step up.
The take-home difference between states is real but must be weighed against cost of living. Always model net, not gross, and use the calculator before signing a lease in a new state. Pair it with the Cost of Living and Wage Comparison guides, and check your state guide for the local tax department's forms.
Related: Hourly to Salary · 2026 Tax Guide · 50 State Wage Guides. Figures are 2026 estimates for guidance only.
Select two states and click "Compare States" to see your monthly net pay difference.