Hitting six figures used to feel like you’d made it, but geography now humbles your paycheck. In some states, $100K vanishes so quickly that it barely covers a comfortable lifestyle. According to USAFacts, the tax bite alone makes that impressive salary look much smaller on paper. So, check out the states where $100K stretches the least.
Hawaii
Want to live where tourists vacation? Hawaii charges for the privilege. Income taxes reach 11% at the top, though $100K single filers pay less than that rate. Factor in living expenses that dwarf most states, and suddenly that salary feels modest. Life in paradise comes with one of the steepest bills in the country.
California
California doesn’t mess around with taxes. Residents paid an average of $3,734.82 in state income taxes in 2022, and the top rate reached a staggering 13.3%. If you’re earning $100K, expect to take home between $70,000 and $73,000 after everything’s deducted.
New York
Six-figure earners in New York City face a double tax burden. Not only do residents pay up to 3.876% in city income tax, but they also owe 6.85% to the state. Subsequently, a $100,000 salary shrinks to $68,000–$73,000 in net income, based on specific deductions.
Oregon
No sales tax sounds great until you see Oregon’s income taxes. A $100K earner takes home approximately $70,264, thanks to rates that climb to 9.9% beyond $125,000. While effective rates differ at lower income levels, the trade-off between no sales tax and higher income taxes isn’t favorable.
Minnesota
Minnesota’s tax policies create substantial impacts on paychecks. The state implements a progressive tax system, meaning higher earners face steeper rates. Although the top marginal rate hits 9.85% for individuals earning over $193,240, workers bringing in $100,000 still experience notable withholdings from their income.
Connecticut
High income doesn’t equal high savings in Connecticut. Despite ranking among the nation’s wealthiest states, residents paid an average of $2,745 in state income taxes in 2022. Between the 6.99% top rate and hefty property taxes, paychecks take a serious hit before reaching your bank account.
New Jersey
New Jersey weighs on you twice. First, with America’s highest property taxes. Then, there are some of the steepest income tax rates for upper-middle-class earners. Make over $1 million and you’ll face the brutal 10.75% top rate. Homeowners and workers both feel the pain here.
Vermont
Earning good money in Vermont means paying substantial taxes. The state’s progressive system reaches 8.75% on income over $229,550, affecting both middle and high earners. Even with its small population, Vermont collects these revenues to maintain comprehensive social programs throughout the state.
Illinois
Unlike most states, Illinois taxes everyone at 4.95%—no progressive brackets here. Whether you are a high earner or middle-class, you pay the same rate. The real problem? Property taxes rank among America’s highest. Combined, they turn that $100K salary into considerably less take-home pay after deductions.
Massachusetts
Massachusetts tax rates depend on your earnings. Most residents pay 5% in state income tax. But once you cross the million-dollar mark, that jumps to 9%. In 2022, the average tax bill hit $3,475 per person, money the state pours into its prestigious educational institutions.
