Side-by-side tax comparison between Georgia (5.19% top rate, flat) and Kentucky (3.5% top rate, flat). See which state lets you keep more at every salary level, and how cost of living changes the picture.
Georgia uses a flat income tax (5.19% flat) while Kentucky has a flat system (3.5% flat). On a $100K salary, Georgia takes $5,190 in state and local taxes compared to Kentucky’s $3,500 \u2014 a difference of $1,690.
Both states use flat brackets, but Georgia’s top rate of 5.19% is higher than Kentucky’s 3.5%.
Kentucky also has local income taxes (estimated at $0/year on $100K), which Georgia does not.
Kentucky wins at 10 out of 10 salary levels tested. The advantage exists but is modest across the income spectrum.
| Salary | Georgia | Kentucky | Difference | Winner |
|---|---|---|---|---|
| $40K | $32,244 | $32,920 | +$676 | Kentucky |
| $50K | $39,760 | $40,605 | +$845 | Kentucky |
| $60K | $47,276 | $48,290 | +$1,014 | Kentucky |
| $75K | $57,645 | $58,913 | +$1,268 | Kentucky |
| $100K | $73,935 | $75,625 | +$1,690 | Kentucky |
| $120K | $86,967 | $88,995 | +$2,028 | Kentucky |
| $150K | $105,966 | $108,501 | +$2,535 | Kentucky |
| $200K | $138,507 | $141,887 | +$3,380 | Kentucky |
| $250K | $170,289 | $174,514 | +$4,225 | Kentucky |
| $300K | $199,759 | $204,829 | +$5,070 | Kentucky |
Take-home pay only tells part of the story. Georgia has a cost of living index of 93 while Kentucky is at 90 (national average = 100).
With similar costs of living (93 vs 90), the tax difference is the primary factor. What you see in raw take-home pay is essentially what you get in purchasing power: $79,500 in Georgia vs $84,028 in Kentucky.
For a single earner at $100K filing jointly, take-home becomes $79,520 in Georgia and $81,210 in Kentucky \u2014 a difference of $1,690. The gap remains similar regardless of filing status.
On paper, moving from Georgia to Kentucky would save $1,690/year on a $100K salary, or $8,450 over 5 years. But relocation involves real costs: moving expenses, potentially buying/selling a home, changing jobs, and adjusting to a new community.
At $1,690/year, the tax difference alone likely isn’t worth relocating for. Other factors — job market, lifestyle, family — should drive the decision. The tax savings are a nice bonus if you’re already considering the move for other reasons.