Side-by-side tax comparison between South Dakota (no income tax) and Utah (4.45% top rate, flat). 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 Utah uses a flat system with rates of 4.45% flat. On a $100K salary, this creates a state tax difference of $4,450/year that South Dakota residents simply don’t pay.
Utah’s flat 4.45% rate means the gap scales linearly with income. At $200K, you’d save $8,900 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 | South Dakota | Utah | Difference | Winner |
|---|---|---|---|---|
| $40K | $34,320 | $32,540 | −$1,780 | South Dakota |
| $50K | $42,355 | $40,130 | −$2,225 | South Dakota |
| $60K | $50,390 | $47,720 | −$2,670 | South Dakota |
| $75K | $61,538 | $58,200 | −$3,338 | South Dakota |
| $100K | $79,125 | $74,675 | −$4,450 | South Dakota |
| $120K | $93,195 | $87,855 | −$5,340 | South Dakota |
| $150K | $113,751 | $107,076 | −$6,675 | South Dakota |
| $200K | $148,887 | $139,987 | −$8,900 | South Dakota |
| $250K | $183,264 | $172,139 | −$11,125 | South Dakota |
| $300K | $215,329 | $201,979 | −$13,350 | South Dakota |
Take-home pay only tells part of the story. South Dakota has a cost of living index of 92 while Utah is at 99 (national average = 100).
The cost of living gap is moderate. After adjustment, $100K has purchasing power of $86,005 in South Dakota vs $75,429 in Utah. The take-home winner also wins on purchasing power.
For a single earner at $100K filing jointly, take-home becomes $84,710 in South Dakota and $80,260 in Utah \u2014 a difference of $4,450. The gap remains similar regardless of filing status.
On paper, moving from Utah to South Dakota would save $4,450/year on a $100K salary, or $22,250 over 5 years. But relocation involves real costs: moving expenses, potentially buying/selling a home, changing jobs, and adjusting to a new community.
The $4,450/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.