Iowa vs Maryland: Paycheck Calculator Comparison
VSDetailed comparison of tax rates, cost of living, and quality of life
📌 Maryland comes out ahead by approximately $2,085 annually at $75,000 income (5.75% compared to 8.53%). That said, Iowa pulls in residents attracted to DC proximity. The choice often comes down to whether climate or direct tax savings matters more to your situation.
When you're weighing Iowa against Maryland, taxes make a real difference in your paycheck. Iowa tops out at 8.53%, while Maryland reaches 5.75%. If you're pulling in $75,000, that spread works out to roughly $2,085 per year—though the tax number only tells part of the story.
🔑 Key Differences
- **State income tax**: Iowa at 8.53% vs Maryland at 5.75%
- **Annual savings** (on $75,000): Maryland saves you ~$2,085
- **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 | Iowa | Maryland |
|---|---|---|
| State Income Tax | 0.33% - 8.53% | 2% - 5.75% |
| 💰 On $40,000 Salary |
State Tax: $1,772
Take Home: $38,228
|
State Tax: $1,550
Take Home: $38,450
+$222
|
| 💰 On $60,000 Salary |
State Tax: $2,658
Take Home: $57,342
|
State Tax: $2,325
Take Home: $57,675
+$333
|
| 💰 On $100,000 Salary |
State Tax: $4,430
Take Home: $95,570
|
State Tax: $3,875
Take Home: $96,125
+$555
|
| Cost of Living | Iowa consistently ranks among America's most affordable states. Des Moines and Cedar Rapids offer genuine metropolitan amenities - professional sports, cultural institutions, quality restaurants - while maintaining housing costs 50-60% below expensive coastal markets. Quality homes in good neighborhoods typically sell for $200,000-300,000. Iowa City combines college town atmosphere with reasonable prices. Smaller cities throughout Iowa provide even greater value. Property taxes vary by locality but generally stay moderate. Groceries, utilities, and services all cost less than national averages. The affordability advantage means even moderate incomes support comfortable, middle-class lifestyles. | Maryland costs split dramatically by region. Montgomery and Howard counties near DC command extreme prices - median home values often exceed $500,000, with monthly rent for decent apartments running $2,000-2,500. Baltimore offers better value despite city challenges. Southern Maryland provides moderate costs with convenient DC access. Eastern Shore delivers genuine affordability. Property taxes run high statewide, particularly in counties with strong schools. The cost variation means identical six-figure salaries deliver vastly different lifestyles - Montgomery County requires substantially higher income for comfortable living than Baltimore or Southern Maryland, despite all paying the same state tax rates. |
Pros & Cons
Iowa
✓ Advantages
- Low cost of living statewide
- Extremely affordable housing
- Strong agriculture and insurance sectors
- Good education systems
- Friendly communities
⚠ Considerations
- Cold winters
- Limited metro areas
- Population decline in rural areas
- Lower average salaries
- Limited public transportation
Maryland
✓ Advantages
- Proximity to Washington DC job market
- Strong biotechnology and healthcare sectors
- Excellent education systems
- Access to both cities and beaches
- Diverse economy with government contracting
⚠ Considerations
- High state income tax (up to 5.75%) plus county taxes
- Very high cost of living near DC
- Traffic congestion in metro areas severe
- High property taxes in many counties
- Combined state and local taxes burden significant
Bottom Line
Maryland saves you roughly $2,085 annually at $75,000, which adds up over time. Iowa keeps drawing people despite the tax premium, largely due to DC proximity. You'll find families gravitating toward Maryland, while contractors often decide Iowa's advantages justify the cost.📢 Share This Comparison
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