Illinois vs. Texas
On a $75,000 salary, you keep about $3,568 more a year in Texas. Prices are 3% higher in Illinois, so after adjusting for cost of living Texas comes out ahead.
Last verified November 2, 2026.
| Illinois | Texas | |
|---|---|---|
| State income tax | Has a flat income tax of 4.95% on taxable income. | Does not tax wages, so there is no state income tax withheld from paychecks. |
| Minimum wage | $15.00 | $7.25 |
| Price level (U.S. = 100) | 100.0 | 97.1 |
| Employer cost on a $50,000 hire | $5,014 | $4,500 |
| SUTA wage base | $14,250 | $9,000 |
Take-home pay at the same salary
| Salary | Illinois take-home | Texas take-home | Difference |
|---|---|---|---|
| $50,000 | $40,025 | $42,355 | $2,330 more in Texas |
| $75,000 | $58,025 | $61,593 | $3,568 more in Texas |
| $100,000 | $74,375 | $79,180 | $4,805 more in Texas |
| $150,000 | $106,511 | $113,791 | $7,280 more in Texas |
Single filer, standard deduction, tax year 2026. Excludes local income taxes.
Adjusted for cost of living
Using BEA regional price parities, $58,025 in Illinois buys what $58,049 buys in an average-priced state, and $61,593 in Texas buys what $63,460 does. To keep the same buying power moving from Illinois to Texas, a $75,000 salary would need to be about $72,823 before the tax difference.
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Frequently asked questions
- Is Illinois or Texas better for take-home pay?
- On $75,000, you keep about $3,568 more a year in Texas. Adjusted for prices, Texas comes out ahead by $5,411.
- Which state is cheaper for employers, Illinois or Texas?
- Employer taxes and insurance on a $50,000 hire are about $5,014 in Illinois and $4,500 in Texas.