Side-by-side tax comparison between Massachusetts (5% top rate, flat) and New Hampshire (no income tax). See which state lets you keep more at every salary level, and how cost of living changes the picture.
New Hampshire has no state income tax, while Massachusetts uses a flat system with rates of 5% flat + 4% surtax >$1M. On a $100K salary, this creates a state tax difference of $5,000/year that New Hampshire residents simply don’t pay.
Massachusetts’s flat 5% rate means the gap scales linearly with income. At $200K, you’d save $10,000 by being in New Hampshire instead.
New Hampshire wins at 10 out of 10 salary levels tested. The advantage is consistent and significant across the income spectrum.
| Salary | Massachusetts | New Hampshire | Difference | Winner |
|---|---|---|---|---|
| $40K | $32,320 | $34,320 | +$2,000 | New Hampshire |
| $50K | $39,855 | $42,355 | +$2,500 | New Hampshire |
| $60K | $47,390 | $50,390 | +$3,000 | New Hampshire |
| $75K | $57,788 | $61,538 | +$3,750 | New Hampshire |
| $100K | $74,125 | $79,125 | +$5,000 | New Hampshire |
| $120K | $87,195 | $93,195 | +$6,000 | New Hampshire |
| $150K | $106,251 | $113,751 | +$7,500 | New Hampshire |
| $200K | $138,887 | $148,887 | +$10,000 | New Hampshire |
| $250K | $170,764 | $183,264 | +$12,500 | New Hampshire |
| $300K | $200,329 | $215,329 | +$15,000 | New Hampshire |
Take-home pay only tells part of the story. Massachusetts has a cost of living index of 118 while New Hampshire is at 108 (national average = 100).
The cost of living gap is moderate. After adjustment, $100K has purchasing power of $62,818 in Massachusetts vs $73,264 in New Hampshire. The take-home winner also wins on purchasing power.
For a single earner at $100K filing jointly, take-home becomes $79,710 in Massachusetts and $84,710 in New Hampshire \u2014 a difference of $5,000. The gap remains similar regardless of filing status.
On paper, moving from Massachusetts to New Hampshire would save $5,000/year on a $100K salary, or $25,000 over 5 years. But relocation involves real costs: moving expenses, potentially buying/selling a home, changing jobs, and adjusting to a new community.
The $5,000/year savings is meaningful but probably not enough to justify a move on its own. However, combined with other factors like career growth, lifestyle preferences, or family proximity, it could tip the scale.