What Moving States Does to Your Paycheck in 2026
Updated for tax year 2026 · 7 min read
What actually changes when you move
Roughly three quarters of your total tax bill is federal (income tax plus FICA) and completely unaffected by your address. The state layer is the only moving part: nine states tax no wage income at all, a growing group charges one flat rate, and the rest run graduated brackets that top out anywhere from 4% to over 13%.
A few states also take mandatory employee payroll deductions that behave like tax even though they fund insurance programs: California's SDI (1.3%, uncapped), Washington's WA Cares (0.58%), and Massachusetts PFML (0.46%) are the big ones. We include them in every comparison because your paycheck doesn't care what the deduction is called.
The same $85,000 salary in eight states (2026, single)
| State | State tax + payroll | Annual take-home | Monthly | vs. California |
|---|---|---|---|---|
| Texas | $0 | $68,628 | $5,719 | +$4,780 |
| Florida | $0 | $68,628 | $5,719 | +$4,780 |
| Washington | $493 | $68,135 | $5,678 | +$4,287 |
| Colorado | $3,032 | $65,596 | $5,466 | +$1,749 |
| Georgia | $3,789 | $64,839 | $5,403 | +$992 |
| New York | $3,993 | $64,635 | $5,386 | +$787 |
| Illinois | $4,063 | $64,565 | $5,380 | +$718 |
| California | $4,780 | $63,847 | $5,321 | — |
Every state links to its full calculator page, where you can rerun the comparison at your own salary and filing status.
Four things to check before you decide
1. Local taxes.State-level comparisons miss city and county income taxes. New York City adds up to 3.876% on top of New York State; Maryland counties add 2.25% to 3.2%; many Ohio and Pennsylvania municipalities add 1% to 3%. A "cheap" state address in the wrong city can erase the advantage.
2. How no-tax states fund themselves. Texas has no income tax and some of the highest property taxes in the country; Washington has a 6.5%+ sales tax and taxes capital gains; Tennessee leans on sales tax. The money comes from somewhere. Renters generally capture more of the no-income-tax benefit than homeowners.
3. Part-year and remote-work rules.Move mid-year and you file part-year returns in both states. Work remotely for an employer in a "convenience of the employer" state (New York is the famous one) and you can owe tax there even after leaving. The savings are real but the first year is paperwork.
4. Cost of living swamps tax at typical salaries. The $4,780 annual tax gap above is about $398 a month. A one-bedroom rent difference between the same pairs of cities is routinely two or three times that. Compute the tax number precisely, then weigh it against housing, not instead of it.
Moving and state tax FAQ
Which states have no income tax in 2026?+
Nine: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. Washington taxes high capital gains and New Hampshire taxed interest/dividends until recently, but none tax wages.
If I work remotely, which state taxes my paycheck?+
Usually the state where you physically work (your residence). Exceptions: states with convenience-of-the-employer rules (New York, Delaware, Nebraska, and a few others) can tax remote workers whose employer is based there, unless the remote arrangement is for the employer's necessity.
Do I pay taxes in two states if I move mid-year?+
You file part-year resident returns in both, each taxing the income you earned while living there. You don't pay double on the same dollars, but you do file twice that year.
How much do I actually save moving from California to Texas?+
At $85,000 single, about $4,780 a year in state tax and SDI. At $200,000+ the gap grows steeply because California's upper brackets reach 9.3% and beyond.