Utah vs Virginia: Tax Impact on Your Salary
VSDetailed comparison of tax rates, cost of living, and quality of life
📌 Utah comes out ahead by approximately $675 annually at $75,000 income (4.85% compared to 5.75%). That said, Virginia pulls in residents attracted to DC proximity. The choice often comes down to whether cultural amenities or direct tax savings matters more to your situation.
Looking at the numbers, Utah's 4.85% rate versus Virginia's 5.75% means about $675 difference annually on $75,000. That's the kind of gap that gets people's attention, even if other factors ultimately drive the decision.
🔑 Key Differences
- **State income tax**: Utah at 4.85% vs Virginia at 5.75%
- **Annual savings** (on $75,000): Utah saves you ~$675
- **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 | Utah | Virginia |
|---|---|---|
| State Income Tax | 4.85% | 2% - 5.75% |
| 💰 On $40,000 Salary |
State Tax: $1,940
Take Home: $38,060
|
State Tax: $1,550
Take Home: $38,450
+$390
|
| 💰 On $60,000 Salary |
State Tax: $2,910
Take Home: $57,090
|
State Tax: $2,325
Take Home: $57,675
+$585
|
| 💰 On $100,000 Salary |
State Tax: $4,850
Take Home: $95,150
|
State Tax: $3,875
Take Home: $96,125
+$975
|
| Cost of Living | Utah costs have increased substantially. Salt Lake City and surrounding areas command prices approaching expensive metros - median home prices often exceed $450,000-500,000. Provo-Orem follows similar trajectory. Smaller Utah cities offer better value. Property taxes stay moderate. Sales tax reaches 7-8%. The affordability advantage Utah once offered has compressed significantly as technology sector drives population growth and housing demand. | Virginia costs split dramatically. Northern Virginia near DC commands extreme prices - median home values often exceed $600,000-700,000 in desirable areas. Richmond offers substantially better value. Virginia Beach moderate. Southwestern Virginia delivers genuine affordability. Property taxes vary but generally moderate. The cost division means identical salaries deliver vastly different lifestyles depending on location. |
Pros & Cons
Utah
✓ Advantages
- Flat 4.65% income tax is simple and predictable
- Strong growing technology sector
- Beautiful outdoor recreation and skiing
- Lower unemployment rates
- Young educated workforce
⚠ Considerations
- Rising housing costs especially in Salt Lake area
- Air quality issues in winter months
- Limited public transportation
- Sales tax can be high
- Some areas face water scarcity
Virginia
✓ Advantages
- Moderate state income tax (max 5.75%)
- Strong job market especially in Northern Virginia
- Proximity to Washington DC without DC taxes
- Good quality of life and education systems
- Diverse economy with stable government contracting
⚠ Considerations
- Northern Virginia has very high cost of living
- Traffic congestion severe in DC metro area
- Property taxes can be high in some counties
- Sales tax at 5.3% plus local additions
- Car property tax in most localities
Bottom Line
Utah delivers measurable tax benefits—approximately $675 at $75,000. Virginia attracts talent despite higher rates, primarily through DC proximity. active families demographics cluster in Utah, while contractors sectors find Virginia's strengths worth the premium.📢 Share This Comparison
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