Iowa vs Washington: Paycheck Calculator Comparison
VSDetailed comparison of tax rates, cost of living, and quality of life
📌 Looking at 8.53% versus no income tax, the annual gap hits around $8,530 on $100,000 income. Washington makes the case through no income tax. While Washington offers straightforward tax savings, Iowa attracts talent willing to pay more for no income tax.
Looking at the numbers, Iowa's 8.53% rate versus Washington's no income tax means about $8,530 difference annually on $100,000. That's the kind of gap that gets people's attention, even if other factors ultimately drive the decision.
🔑 Key Differences
- **State income tax**: Iowa at 8.53% vs Washington at no income tax
- **Annual savings** (on $100,000): Washington saves you ~$8,530
- **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 | Washington |
|---|---|---|
| State Income Tax | 0.33% - 8.53% | No Income Tax Winner |
| 💰 On $40,000 Salary |
State Tax: $1,772
Take Home: $38,228
|
State Tax: $0
Take Home: $40,000
+$1,772
|
| 💰 On $60,000 Salary |
State Tax: $2,658
Take Home: $57,342
|
State Tax: $0
Take Home: $60,000
+$2,658
|
| 💰 On $100,000 Salary |
State Tax: $4,430
Take Home: $95,570
|
State Tax: $0
Take Home: $100,000
+$4,430
|
| 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. | Washington costs split dramatically. Seattle metro ranks among America's most expensive - median home prices often exceed $700,000-800,000 in desirable areas. Monthly rent for decent apartments runs $2,000-3,000. Sales tax reaches 10% in Seattle. Spokane and Eastern Washington offer substantially better value. Property taxes significant. The no-income-tax advantage creates benefit, though Seattle housing costs require six-figure incomes for comfortable family living. |
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
Washington
✓ Advantages
- No state income tax provides major advantage
- Strong technology and aerospace sectors
- Beautiful natural scenery and outdoor recreation
- No state estate or inheritance tax
- High minimum wage in many cities
⚠ Considerations
- Very high cost of living in Seattle area
- High sales tax (often 10%+ in Seattle)
- Rainy weather for much of the year
- Traffic congestion severe in metro areas
- Property taxes offset lack of income tax
Bottom Line
The numbers favor Washington by approximately $8,530 yearly for $100,000 earners. That said, Iowa continues attracting residents who value no income tax. Whether that tax difference outweighs Iowa's edge in {factor} comes down to your personal situation and priorities.📢 Share This Comparison
Help others make informed decisions about their paycheck