Guide · State tax · 2026
State income tax rates
Federal tax is the same in all fifty states. State tax is not — and the gap between the cheapest and most expensive state can exceed 13% of a paycheck. Here is the full map, plus the local taxes most comparisons miss.
Three structures, one paycheck
States tax wage income in one of three ways, and the structure matters more than the headline rate:
- No wage tax. Nine states do not tax wages at all. Revenue comes from property, sales and other taxes instead.
- Flat rate. One rate applies above a small exemption, so the effective rate is nearly constant regardless of income. Simple to model, hard to escape.
- Graduated. Multiple brackets, like the federal system. The effective rate climbs with income, sometimes steeply — California's top bracket is 13.3% including the mental health surcharge, the highest state rate in the country.
A state's top rate is a poor guide to what a middle-income worker pays. California's 13.3% only applies above $1 million of taxable income; at $75,000 the effective state rate is roughly 3.8%. Conversely a flat 5% state takes exactly 5% from everyone above its exemption. Always compare effective rates at your own income, not top marginal rates.
The nine states with no wage tax
Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming do not tax wage income. A few caveats are worth knowing before moving for the tax bill:
| State | What to know |
|---|---|
| Alaska | No wage tax and no state sales tax; property and resource revenue carry the budget. Highest per-capita state spending in some years. |
| Florida | No wage tax. Sales tax 6% state plus county surtax; property insurance costs are a real offset. |
| Nevada | No wage tax. Revenue leans heavily on gaming and sales tax, which makes it volatile in downturns. |
| New Hampshire | No wage tax. The state historically taxed interest and dividends only, and that tax has been phased out. |
| South Dakota | No wage tax, no corporate income tax. Sales tax applies broadly, including to many services. |
| Tennessee | No wage tax. The former investment income tax was repealed. |
| Texas | No wage tax, constitutionally constrained. Property tax rates are among the highest in the country. |
| Washington | No wage tax. A capital gains excise tax applies above a high threshold, and the state has a payroll-funded long-term care program. |
| Wyoming | No wage tax. Small population, mineral revenue dependence. |
Three states modeled down to the bracket
Most paycheck calculators stop at a single effective rate. Three states on this site are modeled from their published schedules, including the payroll programs that sit beside income tax:
| State | Brackets | Top rate | Standard deduction | Extra withholding |
|---|---|---|---|---|
| California | 9 (+1% surcharge) | 13.3% | $5,876 | SDI 1.3%, no wage cap |
| New York | 9 | 10.9% | $8,000 | SDI and PFL premiums; NYC tax on top |
| Texas | None | — | — | None |
All 51 jurisdictions
The table below lists every state and DC. The rate column is the approximate effective rate our calculator starts from for a typical wage earner — it is a planning convenience, not a statutory rate. California, New York and Texas use their real schedules and ignore this column entirely.
| State | Code | Wage income tax | Approx. rate | Basis |
|---|---|---|---|---|
| Alabama | AL | Taxes wages | 3.5% | Approximate |
| Alaska | AK | No wage tax | — | Statutory: none |
| Arizona | AZ | Taxes wages | 2.5% | Approximate |
| Arkansas | AR | Taxes wages | 3% | Approximate |
| California | CA | Taxes wages | — | Full schedule |
| Colorado | CO | Taxes wages | 4.4% | Approximate |
| Connecticut | CT | Taxes wages | 3.5% | Approximate |
| Delaware | DE | Taxes wages | 4% | Approximate |
| District of Columbia | DC | Taxes wages | 5.5% | Approximate |
| Florida | FL | No wage tax | — | Statutory: none |
| Georgia | GA | Taxes wages | 5% | Approximate |
| Hawaii | HI | Taxes wages | 6.5% | Approximate |
| Idaho | ID | Taxes wages | 5.3% | Approximate |
| Illinois | IL | Taxes wages | 4.95% | Approximate |
| Indiana | IN | Taxes wages | 3% | Approximate |
| Iowa | IA | Taxes wages | 3.8% | Approximate |
| Kansas | KS | Taxes wages | 5% | Approximate |
| Kentucky | KY | Taxes wages | 4% | Approximate |
| Louisiana | LA | Taxes wages | 3% | Approximate |
| Maine | ME | Taxes wages | 5.5% | Approximate |
| Maryland | MD | Taxes wages | 4.5% | Approximate |
| Massachusetts | MA | Taxes wages | 5% | Approximate |
| Michigan | MI | Taxes wages | 4.25% | Approximate |
| Minnesota | MN | Taxes wages | 6% | Approximate |
| Mississippi | MS | Taxes wages | 4% | Approximate |
| Missouri | MO | Taxes wages | 3% | Approximate |
| Montana | MT | Taxes wages | 5% | Approximate |
| Nebraska | NE | Taxes wages | 4% | Approximate |
| Nevada | NV | No wage tax | — | Statutory: none |
| New Hampshire | NH | No wage tax | — | Statutory: none |
| New Jersey | NJ | Taxes wages | 4% | Approximate |
| New Mexico | NM | Taxes wages | 4.5% | Approximate |
| New York | NY | Taxes wages | — | Full schedule |
| North Carolina | NC | Taxes wages | 4% | Approximate |
| North Dakota | ND | Taxes wages | 2% | Approximate |
| Ohio | OH | Taxes wages | 2.8% | Approximate |
| Oklahoma | OK | Taxes wages | 3.5% | Approximate |
| Oregon | OR | Taxes wages | 7.5% | Approximate |
| Pennsylvania | PA | Taxes wages | 3.07% | Approximate |
| Rhode Island | RI | Taxes wages | 4% | Approximate |
| South Carolina | SC | Taxes wages | 4.5% | Approximate |
| South Dakota | SD | No wage tax | — | Statutory: none |
| Tennessee | TN | No wage tax | — | Statutory: none |
| Texas | TX | No wage tax | — | Statutory: none |
| Utah | UT | Taxes wages | 4.55% | Approximate |
| Vermont | VT | Taxes wages | 5.5% | Approximate |
| Virginia | VA | Taxes wages | 4.5% | Approximate |
| Washington | WA | No wage tax | — | Statutory: none |
| West Virginia | WV | Taxes wages | 4.5% | Approximate |
| Wisconsin | WI | Taxes wages | 4.5% | Approximate |
| Wyoming | WY | No wage tax | — | Statutory: none |
Figures are for 2026 and reflect wage income only. Investment income, retirement distributions and business income can be taxed differently in the same state.
Local taxes most comparisons miss
State tax is not always the last layer. A handful of jurisdictions add city or county tax on wages:
- New York City adds 3.078% to 3.876% on residents, on top of the state schedule. Yonkers residents pay a surcharge of roughly 16.75% of their state tax instead.
- Pennsylvania allows local earned income tax, typically around 1% to 3%, split between municipality and school district. Philadelphia's wage tax is higher still.
- Ohio, Indiana and Maryland levy county or municipal income taxes that vary by where you live, not where you work.
- Detroit taxes resident and non-resident wages at different rates — one of the few large cities outside the Northeast to do so.
Remote work and reciprocity
Wages are generally taxed where the work is physically performed. Three situations cover most of the confusion:
You live in one state and commute to another. A handful of neighboring state pairs have reciprocity agreements, letting you pay only your home state. Where no agreement exists, you file a nonresident return in the work state and claim a credit at home for tax paid there.
You work remotely for an out-of-state employer. Your home state taxes the wages. The employer's state generally cannot, unless you physically work there — though a few states aggressively assert the "convenience rule" and tax days you chose to work from home for an in-state employer.
You moved during the year. Most states require a part-year return, splitting income between residency periods. This is the situation most likely to produce an unexpected bill in April.
How to get a number you can trust
An approximation is fine for comparing states and useless for budgeting. Two steps fix that:
First, run your actual salary through the calculator. California, New York and Texas compute from their published brackets, including SDI and the New York premiums. Second, for any other state, replace the default rate with the effective rate from your last state return — that number already reflects your deductions and credits, which no generic table can anticipate.
Compare your salary across states Switch the state field and the take-home figure updates instantly. Open the calculatorFrequently asked questions
Which states have no income tax on wages?
Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming.
Which state has the highest income tax?
California, at 13.3% on taxable income above $1 million, which includes a 1% mental health services surcharge. New York City residents can face a higher combined state and city burden at more modest incomes.
Do I pay state tax where I live or where I work?
Generally where you perform the work. If you live in one state and work in another, a reciprocity agreement may let you pay only your home state; otherwise you file in both and claim a credit.
Is the rate in this table my actual state tax rate?
No. It is a starting approximation for a typical earner, used when a state's full schedule is not modeled. Your actual effective rate depends on your income, deductions and credits.
Sources
- California Franchise Tax Board — 2026 rate schedules
- New York State Department of Taxation and Finance — 2026 brackets and standard deduction
- Texas Constitution, article VIII, section 24
- Federation of Tax Administrators — state individual income tax structures
- IRS Publication 15 (2026), Circular E — federal layer applied on top of state tax
Educational information only, not tax advice. State law changes annually; confirm current rates with the relevant state revenue department.