10 Highest-Taxed States for Workers in 2026

This ranking uses the calculator's modeled withholding scope for a $100,000 single filer paid biweekly in every US jurisdiction. It ranks the ten lowest annual take-home estimates.

State	Annual take-home	Effective modeled tax rate	State withholding
Oregon	$71,163	28.8%	$8,017
California	$72,151	27.8%	$7,029
Hawaii	$73,020	27.0%	$6,160
Minnesota	$73,174	26.8%	$6,006
District of Columbia	$73,649	26.4%	$5,532
Delaware	$73,811	26.2%	$5,369
South Carolina	$73,836	26.2%	$5,344
Maine	$73,925	26.1%	$5,255
New York	$74,228	25.8%	$4,952
Illinois	$74,230	25.8%	$4,950

What “highest taxed” means for paychecks

State income tax rates and brackets determine a large share of paycheck differences, but FICA and federal withholding apply everywhere. A “high-tax state” for wage earners usually combines progressive state brackets with possible local wage taxes in major cities. Oregon, California, New York, Hawaii, and New Jersey frequently rank near the top for state income tax burden on middle and upper-middle wages.

The highest tax states research page ranks jurisdictions using engine-computed take-home pay at benchmark salaries. That approach measures actual withholding under 2026 tables rather than quoting statutory top marginal rates alone.

Local taxes amplify state burden

New York City, Philadelphia, and several Ohio cities levy wage taxes on top of state withholding. A worker earning $100,000 in New York City faces state plus city lines that do not appear on a statewide New York comparison table. Always model city pages when local tax applies.

Flat-tax states are not always “low tax”

Pennsylvania and Illinois use flat state rates but can still produce moderate total burdens because flat rates apply to most gross wages without large standard deductions in the withholding model. Compare flat states to no-income-tax states using the same salary — Illinois vs Texas is a common pairing.

Planning around high-tax locations

Remote workers may owe tax to both work and home states depending on convenience rules and reciprocity agreements. Remote work tax basics covers withholding when job location and residence differ. Moving from a high-tax state to a no-income-tax state can change annual take-home by thousands on the same salary — moving states tax impact walks through the paycheck side.

Low-tax alternatives

See no income tax states in 2026 and most tax-friendly states for the other end of the spectrum. Nine states do not tax wage income, which simplifies pay stubs and often improves net pay at the same gross salary.

Property and sales tax are separate

High state income tax states are not always highest for total tax burden — property tax rates in Texas and New Hampshire can offset wage tax advantages. This guide measures paycheck withholding only, not property or sales tax paid outside your pay stub.

Commuter and dual-state workers

Workers who commute from a low-tax state to a high-tax city — for example New Jersey to New York City — may face withholding in both jurisdictions depending on reciprocity and employer location rules. City pages model resident scenarios; commuters should verify work vs residence sourcing on actual stubs.

Retirement relocation

Retirees often focus on wage tax when still working part-time. Wage tax rankings shift when income comes from pensions or Social Security taxed differently by state. Wage-focused rankings like this guide apply to active employees with W-2 wages.

Using ExactTakeHome for your situation

Every example in this guide uses engine-computed withholding from official 2026 tax tables — IRS Publication 15-T for federal income tax and state employer withholding schedules where state income tax applies. Open the paycheck calculator, select your state, enter your annual salary or hourly equivalent, and adjust filing status, pay frequency, and pre-tax deductions to match your pay stub inputs.

Salary band pages at /salary/ provide quick benchmarks at common amounts. Hourly routes at /hourly/ convert hourly rates to annual gross using 2,080 full-time hours. City guides at /city-salary/ add local wage tax when your work city levies one. Compare pairs at /compare/ when evaluating two states side by side.

Figures here are estimates for planning — not tax advice. Payroll rounding, mid-year law changes, and employer-specific benefit elections can shift your actual stub by small amounts. Consult a qualified tax professional for filing decisions and complex multi-state situations.

Pay frequency reminder

Annual salary and hourly annual equivalents assume steady income across the year. Bonuses, commissions, and mid-year raises change withholding because payroll systems annualize current wages when applying tables. After a raise, expect a few paychecks at blended withholding until year-to-date wages fully reflect the new rate.

Semi-monthly pay (24 checks per year) and biweekly pay (26 checks) produce different per-check gross amounts for the same annual salary. Withholding tables account for frequency — always select your actual pay schedule in the calculator when comparing to your stub.

Frequently Asked Questions

Figures and methods are based on official-source data encoded in the calculator. Not tax advice. Review the methodology and consult a qualified professional for your situation.