Compare Iowa vs Pennsylvania Paychecks
VSDetailed comparison of tax rates, cost of living, and quality of life
📌 Breaking down 8.53% versus 3.07% shows roughly $4,641 difference yearly for $85,000 professionals. Pennsylvania offsets higher taxes with stability. The choice increasingly depends on whether commute times or direct savings matters more to individual circumstances.
Iowa and Pennsylvania differ notably on income tax: 8.53% versus 3.07%. The practical impact at $85,000 runs about $4,641 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 Pennsylvania at 3.07%
- **Annual savings** (on $85,000): Pennsylvania saves you ~$4,641
- **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 | Pennsylvania |
|---|---|---|
| State Income Tax | 0.33% - 8.53% | 3.07% |
| 💰 On $40,000 Salary |
State Tax: $1,772
Take Home: $38,228
|
State Tax: $1,228
Take Home: $38,772
+$544
|
| 💰 On $60,000 Salary |
State Tax: $2,658
Take Home: $57,342
|
State Tax: $1,842
Take Home: $58,158
+$816
|
| 💰 On $100,000 Salary |
State Tax: $4,430
Take Home: $95,570
|
State Tax: $3,070
Take Home: $96,930
+$1,360
|
| 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. | Pennsylvania costs split dramatically. Philadelphia housing demands substantial income - median prices often exceed $300,000-400,000 in desirable areas. Pittsburgh offers better value despite renaissance. Suburbs surrounding major cities command premium pricing. Smaller cities like Allentown, Erie, and Scranton provide genuine affordability. Central Pennsylvania delivers excellent value. Property taxes run high statewide. No sales tax on clothing and groceries helps families. Overall, costs vary from expensive (Philadelphia) to affordable (central PA). |
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
Pennsylvania
✓ Advantages
- Flat 3.07% state income tax is simple and predictable
- No state tax on retirement income benefits retirees
- Strong healthcare and education sectors provide stable employment
- Pittsburgh offers urban amenities at reasonable costs
- Historical cities with cultural attractions
⚠ Considerations
- Philadelphia imposes additional 3.79% city wage tax
- Property taxes can be high in some areas
- Cold winters with significant heating costs
- Some infrastructure challenges in older cities
- Sales tax at 6% plus 1-2% in some localities
Bottom Line
Bottom line: Pennsylvania saves you about $4,641 annually at $85,000 on taxes alone. Iowa maintains appeal through stability, 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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