TakeHomeTax

States With Graduated Income Tax (2026)

States that tax higher income at higher rates. See how brackets affect your take-home pay at every salary level.

#1 State
North Dakota
$77,858 take-home
States Ranked
27
Median: Connecticut
Spread
$7,378
#1 vs #27 difference

Key Takeaways

Graduated (progressive) income tax states charge higher rates on higher income. This means lower earners pay less as a percentage, but high earners can face steep marginal rates. Currently 27 states use graduated brackets.

Among graduated-tax states, North Dakota provides the highest take-home pay on $100K at $77,858, while California takes the most at $70,480. The top marginal rates in these states range from 1.95% to 13.3%.

Full Rankings

#StateTax RateTypeTake-HomeMonthlyEff. RateCost IndexCost-Adj.
1North Dakota1.95%Grad.$77,858$6,48822.1%92$84,628
2Arkansas3.9%Grad.$76,590$6,38323.4%86$89,058
3Louisiana4.25%Grad.$76,363$6,36423.6%91$83,915
4Nebraska4.55%Grad.$76,168$6,34723.8%91$83,701
5Oklahoma4.75%Grad.$76,038$6,33624.0%87$87,399
6Mississippi5%Grad.$75,875$6,32324.1%83$91,416
7West Virginia5.12%Grad.$75,797$6,31624.2%83$91,322
8Montana5.65%Grad.$75,453$6,28824.5%97$77,786
9Kansas5.7%Grad.$75,420$6,28524.6%90$83,800
10Virginia5.75%Grad.$75,388$6,28224.6%103$73,192
11New Mexico5.9%Grad.$75,290$6,27424.7%91$82,736
12Rhode Island5.99%Grad.$75,232$6,26924.8%105$71,649
13South Carolina6.4%Grad.$74,965$6,24725.0%92$81,484
14Connecticut6.99%Grad.$74,582$6,21525.4%111$67,191
15Missouri4.8%Grad.$74,505$6,20925.5%89$83,713
16Maine7.15%Grad.$74,478$6,20625.5%98$75,997
17Alabama5%Grad.$74,375$6,19825.6%88$84,517
18Wisconsin7.65%Grad.$74,153$6,17925.8%93$79,734
19Maryland5.75%Grad.$73,888$6,15726.1%112$65,971
20Vermont8.75%Grad.$73,438$6,12026.6%105$69,940
21Delaware6.6%Grad.$73,335$6,11126.7%102$71,897
22Minnesota9.85%Grad.$72,723$6,06027.3%99$73,457
23New Jersey10.75%Grad.$72,138$6,01127.9%115$62,728
24Hawaii11%Grad.$71,975$5,99828.0%192$37,487
25Oregon9.9%Grad.$71,190$5,93328.8%110$64,718
26New York10.9%Grad.$70,540$5,87829.5%125$56,432
27California13.3%Grad.$70,480$5,87329.5%142$49,634
Pro Tip
In graduated states, your marginal rate matters most for raises and bonuses. A $10K raise in a state with a 9%+ top bracket costs you $900+ in additional state tax — compared to $0 in a no-tax state.

Related Rankings

9 States With No Income TaxStates With Flat Income Tax RatesStates With Local Income TaxStates With the Highest Take-Home PayStates With the Lowest Take-Home PayHighest Effective Tax Rate States
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