Side-by-side tax comparison between Pennsylvania (3.07% top rate, flat) and South Dakota (no income tax). See which state lets you keep more at every salary level, and how cost of living changes the picture.
South Dakota has no state income tax, while Pennsylvania uses a flat system with rates of 3.07% flat + local. On a $100K salary, this creates a state tax difference of $3,070/year that South Dakota residents simply don’t pay.
Pennsylvania’s flat 3.07% rate means the gap scales linearly with income. At $200K, you’d save $6,140 by being in South Dakota instead.
South Dakota wins at 10 out of 10 salary levels tested. The advantage is consistent and significant across the income spectrum.
| Salary | Pennsylvania | South Dakota | Difference | Winner |
|---|---|---|---|---|
| $40K | $33,092 | $34,320 | +$1,228 | South Dakota |
| $50K | $40,820 | $42,355 | +$1,535 | South Dakota |
| $60K | $48,548 | $50,390 | +$1,842 | South Dakota |
| $75K | $59,235 | $61,538 | +$2,303 | South Dakota |
| $100K | $76,055 | $79,125 | +$3,070 | South Dakota |
| $120K | $89,511 | $93,195 | +$3,684 | South Dakota |
| $150K | $109,146 | $113,751 | +$4,605 | South Dakota |
| $200K | $142,747 | $148,887 | +$6,140 | South Dakota |
| $250K | $175,589 | $183,264 | +$7,675 | South Dakota |
| $300K | $206,119 | $215,329 | +$9,210 | South Dakota |
Take-home pay only tells part of the story. Pennsylvania has a cost of living index of 98 while South Dakota is at 92 (national average = 100).
The cost of living gap is moderate. After adjustment, $100K has purchasing power of $77,607 in Pennsylvania vs $86,005 in South Dakota. The take-home winner also wins on purchasing power.
For a single earner at $100K filing jointly, take-home becomes $81,640 in Pennsylvania and $84,710 in South Dakota \u2014 a difference of $3,070. The gap remains similar regardless of filing status.
On paper, moving from Pennsylvania to South Dakota would save $3,070/year on a $100K salary, or $15,350 over 5 years. But relocation involves real costs: moving expenses, potentially buying/selling a home, changing jobs, and adjusting to a new community.
The $3,070/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.