Wednesday, September 9, 2026·2026 Edition
Best Midwest States for Take-Home Pay (2026)
Tax rates and take-home pay comparison for all Midwest US states.
#1 State
South Dakota
$79,125 take-home
States Ranked
12
Median: Michigan
Spread
$5,311
#1 vs #12 difference
Key Takeaways
This ranking covers 12 states, with South Dakota at the top ($79,125 take-home on $100K) and Minnesota at the bottom ($73,814). The spread between best and worst is $5,311/year.
The ranking is influenced by state income tax rates, tax structure (flat vs graduated), local taxes, and in cost-adjusted rankings, the cost of living index. States with no income tax generally rank highest for raw take-home pay, but cost adjustments can shuffle the order significantly.
Full Rankings
| # | State | Tax Rate | Type | Take-Home | Monthly | Eff. Rate | Cost Index | Cost-Adj. |
|---|---|---|---|---|---|---|---|---|
| 1 | South Dakota | 0% | None | $79,125 | $6,594 | 20.9% | 92 | $86,005 |
| 2 | North Dakota | 2.5% | Grad. | $78,434 | $6,536 | 21.6% | 92 | $85,255 |
| 3 | Ohio | 2.75% | Flat | $77,091 | $6,424 | 22.9% | 90 | $85,657 |
| 4 | Iowa | 3.8% | Flat | $75,937 | $6,328 | 24.1% | 89 | $85,322 |
| 5 | Missouri | 4.7% | Grad. | $75,389 | $6,282 | 24.6% | 89 | $84,706 |
| 6 | Nebraska | 4.55% | Grad. | $75,237 | $6,270 | 24.8% | 91 | $82,678 |
| 7 | Michigan | 4.25% | Flat | $75,122 | $6,260 | 24.9% | 91 | $82,551 |
| 8 | Wisconsin | 7.65% | Grad. | $74,641 | $6,220 | 25.4% | 93 | $80,259 |
| 9 | Indiana | 2.95% | Flat | $74,472 | $6,206 | 25.5% | 90 | $82,747 |
| 10 | Kansas | 5.58% | Grad. | $74,345 | $6,195 | 25.7% | 90 | $82,605 |
| 11 | Illinois | 4.95% | Flat | $74,316 | $6,193 | 25.7% | 93 | $79,910 |
| 12 | Minnesota | 9.85% | Grad. | $73,814 | $6,151 | 26.2% | 99 | $74,559 |
Pro Tip
Use the take-home calculator to model your specific salary and filing status. Rankings based on $100K may look different at your actual income level, especially in graduated-tax states.