Iowa vs Missouri Take-Home Pay Showdown
VSDetailed comparison of tax rates, cost of living, and quality of life
📌 The spread between 5.40% and 8.53% means roughly $2,348 per year at $75,000. Iowa maintains pull through central location. families have shown preference for Missouri, though small business owners often prioritize Iowa's advantages in climate.
Iowa and Missouri differ notably on income tax: 8.53% versus 5.40%. The practical impact at $75,000 runs about $2,348 per year. Most people considering a move look at this alongside cost of living, job market, and lifestyle factors.
🔑 Key Differences
- **State income tax**: Iowa at 8.53% vs Missouri at 5.40%
- **Annual savings** (on $75,000): Missouri saves you ~$2,348
- **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 | Missouri |
|---|---|---|
| State Income Tax | 0.33% - 8.53% | 1.5% - 5.4% |
| 💰 On $40,000 Salary |
State Tax: $1,772
Take Home: $38,228
|
State Tax: $1,380
Take Home: $38,620
+$392
|
| 💰 On $60,000 Salary |
State Tax: $2,658
Take Home: $57,342
|
State Tax: $2,070
Take Home: $57,930
+$588
|
| 💰 On $100,000 Salary |
State Tax: $4,430
Take Home: $95,570
|
State Tax: $3,450
Take Home: $96,550
+$980
|
| 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. | Missouri consistently ranks among America's most affordable states. St. Louis and Kansas City offer genuine metropolitan amenities - professional sports, cultural institutions, diverse dining - while maintaining housing costs 40-50% below expensive coastal markets. Quality homes in good neighborhoods typically sell for $200,000-300,000. Springfield, Columbia, and smaller cities provide even better value. Property taxes stay moderate statewide. Groceries, utilities, and services all cost substantially less than national averages. The dramatic affordability means moderate salaries support comfortable middle-class lifestyles that would require much higher incomes in expensive states. |
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
Missouri
✓ Advantages
- Moderate state income tax (max 5.3%)
- Very affordable cost of living
- Affordable housing throughout most areas
- Central location with good access
- No state tax on Social Security benefits
⚠ Considerations
- Some cities have additional local taxes
- Hot humid summers
- Some areas face economic challenges
- Sales tax varies widely by locality
- Limited public transportation
Bottom Line
Missouri's 5.40% versus Iowa's 8.53% translates to roughly $2,348 advantage at $75,000. Iowa stays relevant by offering central location. The decision often hinges on whether {factor} or direct tax savings carries more weight in your situation.📢 Share This Comparison
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