Texas vs Ohio Taxes
Compare the total tax burden between Texas (no income tax) and Ohio (0% – 2.75%). Enter your income to see which state saves you more.
| Tax Component | Texas | Ohio |
|---|---|---|
| Federal tax | $13,170 | $13,170 |
| State tax | $0 | $2,313 |
| FICA | $7,650 | $7,650 |
| Total tax | $20,820 | $23,133 |
| Take-home | $79,180 | $76,867 |
| Effective rate | 20.82% | 23.13% |
| Annual Difference | $2,313 less | $2,313 more |
The $2,313 difference is primarily because Ohio has a progressive income tax with rates up to 2.75%, while Texas has no state income tax. At your income level, Ohio's marginal rate is 2.75%.
Why the difference
You'd pay $2,313/year ($193/month) more in Ohio vs Texas.
Tax structure
Texas has no state income tax, while Ohio uses progressive brackets up to 2.75%.
Effective rate at your income
At $100,000, Texas's effective state rate is 0.0% vs 2.3% in Ohio — a 2.3 percentage point gap.
Ohio local taxes
Most Ohio cities levy a municipal income tax (typically 1%-3%) on top of state tax.
Tip: While you save on income tax, Texas property taxes can be a large annual cost on a median-priced home. Factor in property tax when comparing total tax burden against income-tax states where property taxes may be lower.
Tip: Ohio's exemption of the first $26,050 of income means very low effective state rates for modest earners. However, municipal income taxes (Cleveland and Columbus, for example) can add significantly — these are separate from state tax.
Texas Total Tax
20.82% effective rate
Ohio Total Tax
23.13% effective rate
Annual savings
by living in Texas
Tax at Different Income Levels
| Income | Texas Total Tax | Ohio Total Tax | Annual Savings |
|---|---|---|---|
| $75,000 | $13,408 | $15,027 | +$1,619 |
| $100,000 | $20,820 | $23,133 | +$2,313 |
| $150,000 | $36,209 | $39,897 | +$3,688 |
| $200,000 | $51,073 | $56,136 | +$5,063 |
Based on single filer, standard deduction, 2026 tax year. Includes federal income tax, state income tax, and FICA.
Why the difference
You'd pay $2,313/year ($193/month) more in Ohio vs Texas.
Tax structure
Texas has no state income tax, while Ohio uses progressive brackets up to 2.75%.
Effective rate at your income
At $100,000, Texas's effective state rate is 0.0% vs 2.3% in Ohio — a 2.3 percentage point gap.
Ohio local taxes
Most Ohio cities levy a municipal income tax (typically 1%-3%) on top of state tax.
Tip: While you save on income tax, Texas property taxes can be a large annual cost on a median-priced home. Factor in property tax when comparing total tax burden against income-tax states where property taxes may be lower.
Tip: Ohio's exemption of the first $26,050 of income means very low effective state rates for modest earners. However, municipal income taxes (Cleveland and Columbus, for example) can add significantly — these are separate from state tax.
Understanding Each State
Texas
Texas has no state income tax, relying instead on property taxes (among the highest in the US, averaging about 1.6% of home value) and a 6.25% state sales tax plus local additions. For wage earners, the absence of income tax is a major advantage, but property owners face a significant ongoing cost.
Tip: While you save on income tax, Texas property taxes can be a large annual cost on a median-priced home. Factor in property tax when comparing total tax burden against income-tax states where property taxes may be lower.
Ohio
Ohio has been flattening its income tax over several years: income under $26,050 is exempt, and income above it is taxed at up to 2.75% for 2026. Some Ohio cities levy their own municipal income tax on top of this (typically 1%-3%).
Tip: Ohio's exemption of the first $26,050 of income means very low effective state rates for modest earners. However, municipal income taxes (Cleveland and Columbus, for example) can add significantly — these are separate from state tax.
Key Comparison Points
Income tax structure: Texas has no state income tax, while Ohio has a progressive income tax (0% – 2.75%).
Beyond income tax: State tax comparisons should also consider property tax rates, sales tax, and cost of living. A state with no income tax may have higher property or sales taxes that offset the savings.
SALT deduction cap: Under OBBBA, the 2026 federal SALT cap is $40,400, phasing out above $505,000 MAGI toward a $10,000 floor. This limits the federal tax benefit of living in a high-tax state, so the gross state tax difference remains close to the net difference for most earners — especially high earners inside the phaseout.
Frequently asked questions
Is it cheaper to live in Texas or Ohio?
Based on income tax alone, Texas has a lower tax burden. At $100K income, you'd save $2,313 annually in Texas compared to Ohio. However, total cost of living also depends on property taxes, sales taxes, and housing costs.
How much would I save moving from Ohio to Texas?
A single filer earning $100,000 would save approximately $2,313 per year in total taxes by living in Texas instead of Ohio. At $150,000 income, the savings change to $3,688 per year.
What is the income tax rate in Texas?
Texas has no state income tax.
What is the income tax rate in Ohio?
Ohio has a progressive income tax with rates of 0% – 2.75%.
Does Texas have income tax?
No, Texas does not levy a state income tax. Residents pay only federal income tax and FICA. However, Texas may have higher property taxes or sales taxes to compensate.
Sources
Related Calculators
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