Georgia vs Illinois: Tax Impact on Your Salary
VSDetailed comparison of tax rates, cost of living, and quality of life
📌 The 5.75% versus 4.95% comparison nets approximately $480 annually for $60,000 professionals. Illinois stays relevant through Chicago access. Migration patterns reflect young professionals choosing Illinois, culture seekers selecting Georgia based on total value rather than taxes alone.
The tax picture between Georgia and Illinois breaks down like this: 5.75% versus 4.95%. For someone making $60,000, we're talking about $480 in annual difference. That's significant, but it's worth looking at what else each state brings to the table.
🔑 Key Differences
- **State income tax**: Georgia at 5.75% vs Illinois at 4.95%
- **Annual savings** (on $60,000): Illinois saves you ~$480
- **Tax system**: Both use progressive brackets
- **Deductions**: Standard federal deductions apply, state variations exist
- **Local taxes**: Check your specific county/city as rates vary within states
Tax Comparison
| Tax Type | Georgia | Illinois |
|---|---|---|
| State Income Tax | 1% - 5.75% | 4.95% |
| 💰 On $40,000 Salary |
State Tax: $1,350
Take Home: $38,650
+$630
|
State Tax: $1,980
Take Home: $38,020
|
| 💰 On $60,000 Salary |
State Tax: $2,025
Take Home: $57,975
+$945
|
State Tax: $2,970
Take Home: $57,030
|
| 💰 On $100,000 Salary |
State Tax: $3,375
Take Home: $96,625
+$1,575
|
State Tax: $4,950
Take Home: $95,050
|
| Cost of Living | Georgia offers solid value in most areas. Atlanta's housing costs have increased with economic growth but remain well below major coastal cities. Quality homes in good Atlanta suburbs often sell for $300,000-400,000 - prices that would require $600,000+ in expensive metros. Savannah, Augusta, and Macon provide even better affordability. Property taxes stay moderate, though increasing in desirable areas. Groceries and services cost less than national averages. Atlanta traffic can be severe, but lower housing costs often allow living closer to work than in sprawling, expensive metros. Overall, your income stretches considerably further than in northeastern or western high-cost states. | Illinois costs split dramatically between Chicago and downstate. Chicago proper commands high prices - rent for decent apartments often runs $1,500-2,500, with home prices in desirable neighborhoods exceeding $400,000. Suburbs provide more moderate housing but property taxes can reach $8,000-12,000 annually even for modest homes. Downstate cities like Springfield, Champaign, and Rockford offer genuine Midwest affordability with housing costs 40-60% below Chicago levels. Sales tax reaches 10.25% in Chicago, among the nation's highest. Utilities cost more during brutal winters. The cost division means identical salaries deliver vastly different lifestyles depending on location within Illinois. |
Pros & Cons
Georgia
✓ Advantages
- Moderate state income tax topping at 5.75%
- Atlanta offers major city amenities at reasonable costs
- Strong job market in logistics, tech, and entertainment
- Mild climate with lower heating/cooling costs than extremes
- Growing economy attracting companies and workers
⚠ Considerations
- Atlanta traffic congestion can be severe
- Sales tax reaches 8-9% in metro Atlanta
- Property taxes increasing in desirable areas
- Hot humid summers
- Public transportation limited outside MARTA coverage
Illinois
✓ Advantages
- Flat 4.95% state income tax is simple and predictable
- Strong job market in Chicago across multiple industries
- Central US location provides excellent transportation access
- Downstate areas offer affordable cost of living
- Major universities and research institutions
⚠ Considerations
- Property taxes among highest nationally, especially near Chicago
- State faces significant financial challenges
- Sales tax reaches 10.25% in Chicago
- Cold winters with substantial heating costs
- Chicago's high costs offset lower expenses elsewhere
Bottom Line
Bottom line: Illinois saves you about $480 annually at $60,000 on taxes alone. Georgia maintains appeal through Chicago access, attracting people willing to pay more for what it offers. The choice often comes down to {factor} versus direct financial savings.📢 Share This Comparison
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