State Income Tax Rates by State

State income tax is often the single biggest reason two people earning the same salary end up with very different take-home pay. Some states take nothing from your wages, others take a flat percentage, and others run their own set of progressive brackets on top of the federal ones. This page explains how the fifty states approach income tax so you know what to expect before you look up the exact figures for your state.

The three ways states tax income

Every state falls into one of three groups. The first group does not tax earned wages at all. The second applies a single flat rate to all taxable income, so everyone pays the same percentage regardless of how much they earn. The third uses progressive brackets, much like the federal system, where higher portions of income are taxed at higher rates. Knowing which group your state belongs to tells you most of what you need to know about how much it will take from your paycheck.

States with no income tax on wages

Nine states do not tax earned wage income: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. Living in one of these states means your paycheck keeps its full state share, though a couple of them apply narrow taxes elsewhere. Washington taxes certain high capital gains, and New Hampshire has finished phasing out its old tax on interest and dividend income. For most workers in these states, wages arrive with federal tax and FICA taken out but no state income tax at all.

Flat rate states

A growing number of states charge one flat rate on all taxable income. These systems are simple to predict: whatever you earn, the same percentage applies. Flat rates tend to sit in the low to middle single digits, which makes these states meaningfully cheaper than the higher progressive states for most earners.

Progressive states

The majority of states use progressive brackets. The rate you pay climbs as your income rises, and the top rate in the highest states can add a large amount to your total tax bill. Because these brackets differ from state to state, the only way to know your real figure is to look at the specific table for your state and filing status.

Why it matters for your paycheck

State tax can swing your annual take-home pay by thousands of dollars on an identical salary, which makes it a major factor when you compare job offers or think about relocating. To see the difference in real dollars between two states, use the tax comparison tool, or check the take-home breakdown for your salary on the relevant state page.

Frequently asked questions