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State Income Tax in 2026: A Complete Guide for Every State

September 30, 2026

By Aqeel Waris · 7 min read

state income tax 2026

Forty-one states and Washington DC tax wage income in 2026. Nine states take nothing from your wages at all.

Rates run from a flat 2.50% in Arizona to a top rate of 13.30% in California. Fifteen states charge one flat rate, and 27 use graduated brackets.

This guide gives the 2026 rate for every state, plus the local city taxes and insurance deductions that most comparisons leave out. Every state name in the table links to a calculator for that state. Rate data is from the Tax Foundation’s 2026 state income tax figures.

State income tax rates 2026: all 50 states and DC

Click any state to calculate take-home pay there.

StateStructure2026 rateTop bracket (single)
Alabama3 brackets2.00% to 5.00%$3,000
AlaskaNo wage income taxNonen/a
ArizonaFlat2.50%n/a
Arkansas2 brackets2.00% to 3.90%$4,600
California10 brackets1.00% to 13.30%$1,000,000
ColoradoFlat4.40%n/a
Connecticut7 brackets2.00% to 6.99%$500,000
Delaware6 brackets2.20% to 6.60%$60,000
District of Columbia7 brackets4.00% to 10.75%$1,000,000
FloridaNo wage income taxNonen/a
GeorgiaFlat5.19%n/a
Hawaii12 brackets1.40% to 11.00%$325,000
IdahoFlat5.30%n/a
IllinoisFlat4.95%n/a
IndianaFlat2.95%n/a
IowaFlat3.80%n/a
Kansas2 brackets5.20% to 5.58%$23,000
KentuckyFlat3.50%n/a
LouisianaFlat3.00%n/a
Maine3 brackets5.80% to 7.15%$64,849
Maryland10 brackets2.00% to 6.50%$1,000,000
Massachusetts2 brackets5.00% to 9.00%$1,083,150
MichiganFlat4.25%n/a
Minnesota4 brackets5.35% to 9.85%$203,150
MississippiFlat4.00%n/a
Missouri7 brackets2.00% to 4.70%$9,436
Montana2 brackets4.70% to 5.65%$47,500
Nebraska3 brackets2.46% to 4.55%$24,760
NevadaNo wage income taxNonen/a
New HampshireNo wage income taxNonen/a
New Jersey8 brackets1.40% to 10.75%$1,000,000
New Mexico6 brackets1.50% to 5.90%$210,000
New York9 brackets3.90% to 10.90%$25,000,000
North CarolinaFlat3.99%n/a
North Dakota2 brackets1.95% to 2.50%$244,825
OhioFlat above threshold2.75%n/a
Oklahoma3 brackets2.50% to 4.50%$7,200
Oregon4 brackets4.75% to 9.90%$125,000
PennsylvaniaFlat3.07%n/a
Rhode Island3 brackets3.75% to 5.99%$186,450
South Carolina3 brackets0.00% to 6.00%$18,230
South DakotaNo wage income taxNonen/a
TennesseeNo wage income taxNonen/a
TexasNo wage income taxNonen/a
UtahFlat4.50%n/a
Vermont4 brackets3.35% to 8.75%$249,700
Virginia4 brackets2.00% to 5.75%$17,000
WashingtonNo wage income taxNonen/a
West Virginia5 brackets2.22% to 4.82%$60,000
Wisconsin4 brackets3.50% to 7.65%$332,720
WyomingNo wage income taxNonen/a

Top bracket threshold is the single-filer income at which the highest rate starts. Married filing jointly thresholds are usually higher.

The nine states with no income tax on wages

These states take nothing from your wages: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming.

Two points people get wrong about them.

First, you still pay federal income tax and FICA in all nine. Only the state portion disappears.

Second, Washington does tax capital gains above a threshold. It just does not tax wages, and it withholds paid family leave and long-term care premiums from your pay.

Our guide to states with no income tax covers what each one still takes from a paycheck.

The 15 flat tax states

A flat tax state charges one rate on all taxable income. Your rate does not rise as your income rises.

State2026 flat rate
Arizona2.50%
Ohio2.75% above an exempt threshold
Indiana2.95%
Louisiana3.00%
Pennsylvania3.07%
Kentucky3.50%
Iowa3.80%
North Carolina3.99%
Mississippi4.00%
Michigan4.25%
Colorado4.40%
Utah4.50%
Illinois4.95%
Idaho5.30%
Georgia5.19%

Flat does not always mean cheap. Idaho at 5.30% costs a middle earner more than several bracket states.

Pennsylvania has a quirk worth knowing. It does not exempt 401(k) contributions from state income tax, so you pay PA tax on money the federal government lets you defer.

The 27 states with graduated brackets

Bracket states work like the federal system. You pay a low rate on your first dollars and higher rates on later ones.

The headline rate is often misleading. California’s 13.30% only applies above $1,000,000 of taxable income.

StateTop rateApplies above (single)
California13.30%$1,000,000
New York10.90%$25,000,000
New Jersey10.75%$1,000,000
District of Columbia10.75%$1,000,000
Hawaii11.00%$325,000
Oregon9.90%$125,000
Minnesota9.85%$203,150
Massachusetts9.00%$1,083,150
Vermont8.75%$249,700
Wisconsin7.65%$332,720

Note how different the thresholds are. Oregon reaches its top rate at $125,000, while New York’s needs $25,000,000.

Oregon therefore costs a high earner far more than New York’s headline rate suggests.

Local city income taxes

Seventeen states allow local income taxes, affecting more than 23 million Americans, according to the Tax Foundation. Most state comparisons ignore them entirely.

StateJurisdictionsNotable
Pennsylvania2,961Philadelphia: 3.928% resident, 3.498% non-resident
Ohio774Columbus, Cleveland, Cincinnati and hundreds more
Kentucky218Louisville at 2.20%
Indiana91 countiesEvery county levies one
Iowa297School district surcharges
Maryland24Every county plus Baltimore City
Michigan22Detroit and around two dozen cities
New York4New York City and Yonkers

If you live in one of these places, your real state and local rate is higher than any national comparison shows.

A Philadelphia resident pays 3.07% to Pennsylvania plus 3.928% to the city, which is nearly 7% before federal tax.

State insurance deductions on top of income tax

A few states take employee-paid insurance premiums straight from your pay. These sit separately from income tax.

State2026 employee rateWage cap
California SDI1.30%None, all wages
Rhode Island TDI1.10%$100,000
Hawaii TDIUp to 0.50%Capped at $7.50 per week
New York PFL0.432%Maximum $411.91 a year
New Jersey TDI0.19%$171,000

California is the one to watch. Its 1.30% applies to every dollar you earn with no cap, per the California EDD. On a $200,000 salary that is $2,600 a year on top of income tax.

Washington, Massachusetts, Colorado, Connecticut, Oregon and several other states run paid family and medical leave programs with their own employee contributions.

What this actually means for take-home pay

Rates are abstract. Here is the same salary in two states, calculated in full.

A single filer earning $75,000, paid every two weeks, with no pre-tax deductions.

LineCaliforniaTexas
Gross per paycheck$2,884.62$2,884.62
Federal income tax$295.00$295.00
Social Security$178.85$178.85
Medicare$41.83$41.83
State income tax$107.23$0.00
State disability (CA SDI)$37.50$0.00
Take-home per paycheck$2,224.21$2,368.94
Take-home per year$57,829.65$61,592.50

The gap is $3,762.85 a year, or $144.73 in every paycheck.

These come from our own calculation engine, tested against ADP and SmartAsset across ten cases in five states. Compare any two states on the paycheck calculator by state page, or see the full breakdown for $75,000 after taxes.

Working across state lines

Reciprocity agreements

Some neighbouring states agree that you pay income tax only where you live, not where you work.

You file a form with your employer so they withhold for your home state instead. Without an agreement, you may file two returns and claim a credit.

Common pairs include Pennsylvania with New Jersey, Illinois with Iowa, and Maryland with Virginia and DC.

Remote work

Generally the state where you physically sit is the state that taxes you, not the state your employer is registered in.

A few states apply a convenience of the employer rule, which can tax you where the employer sits even when you never go there.

If you moved states mid-year, you will usually file a part-year return in both. Tell payroll the day you move, not at year end.

How to compare states before you move

  1. Run your actual salary through a calculator for both states, not a rate comparison
  2. Check whether either city levies a local income tax
  3. Check for state disability or paid leave deductions, which do not appear in rate tables
  4. Look at property tax and sales tax, which are often higher where income tax is zero
  5. Factor in housing cost, which usually dwarfs the tax difference

The tax saving from a no-tax state is real but rarely the biggest number in the decision.

Frequently asked questions

How many states have no income tax in 2026?

Nine states take no income tax from wages: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming. Washington does tax capital gains above a threshold, but not wage income. You still pay federal income tax and FICA in all nine.

Which state has the highest income tax rate in 2026?

California has the highest top rate at 13.30%, though that applies only to taxable income above $1,000,000. New Jersey and Washington DC follow at 10.75%, and New York reaches 10.90%. Most Californians pay far less than the headline rate.

What is a flat tax state?

A flat tax state charges one rate on all taxable income, with no brackets. Fifteen states use a flat rate in 2026, ranging from Arizona at 2.50% to Georgia at 5.19%. Your rate does not rise as your income rises, unlike the federal system.

Which states have local city income taxes?

Seventeen states allow them. Pennsylvania has the most with 2,961 jurisdictions, followed by Ohio with 774. New York City, Philadelphia, Detroit, Louisville and every Maryland county levy local income tax on top of the state rate.

Does moving to a no-tax state save money?

On take-home pay, yes. A single filer on $75,000 keeps about $3,762 more a year in Texas than in California. Whether you come out ahead overall depends on property tax, sales tax and cost of living, which are often higher in states with no income tax.

Which state taxes me if I work remotely?

Usually the state where you physically work, not where your employer is based. A handful of states apply a convenience of the employer rule, which can tax you where the employer sits. Check both states’ rules, because you may need to file two returns.

What is state disability insurance on my paycheck?

It is a separate employee deduction in a few states, on top of income tax. California withholds 1.3% of all wages with no cap in 2026. New York withholds 0.432% for Paid Family Leave, capped at $411.91 a year. New Jersey, Rhode Island and Hawaii have their own programs.

What is a state reciprocity agreement?

It is a deal between two states letting you pay income tax only where you live, not where you work. You file a form with your employer so they withhold for your home state. Without one, you may need to file in both states and claim a credit.

The short version

Work out your own figure on the paycheck calculator, or read how your paycheck is calculated and FICA taxes explained for the parts that apply in every state.

These figures are estimates for informational purposes and are not tax advice. Actual withholding depends on your employer’s payroll system, your year-to-date wages and your specific W-4. Federal rates come from IRS Rev. Proc. 2025-32 and the SSA 2026 announcement; state rates come from each state’s own withholding guide, with the source and verification date published on every state page. Read the methodology, or see who maintains this data.