Illinois vs Texas Salary Comparison (2026)
Illinois levies a flat 4.95% state income tax. Texas charges $0. For a $150k earner, that's $7,400/year extra in Illinois. Cook County and the City of Chicago add property tax pressure that's competitive with Texas.
Where this salary lands you
Illinois flat rate hits middle and upper earners proportionally. Many former Chicago tech workers and finance professionals have relocated to Austin and Dallas for the combination of zero state tax and warmer weather.
Federal & FICA breakdown
State-comparison pages don’t lock in a single salary — use the live tool below to compare any income.
IL flat 4.95%; TX 0%. Linear savings as income scales.
Compare Texas to other states
| Line item | Texas | California |
|---|---|---|
| Gross | $150,000 | $150,000 |
| Federal income tax | $24,953 | $24,953 |
| State income tax | $0 | $9,032 |
| FICA | $11,475 | $11,475 |
| Take-home | $113,572 | $104,540 |
| Effective rate | 24.3% | 30.3% |
Texas keeps you $9,032 more per year on this salary versus California at the income-tax line. Cost of living, housing, and property taxes still need to be factored in separately.
Frequently asked questions
Does Texas truly save more than Illinois?
On the income-tax line: yes, at every income level. On total cost of living, the answer depends on housing, insurance, and personal lifestyle factors. Run our calculator and compare against your specific budget.
Are there any catches?
Yes — Texas property tax is higher than most states, and home/auto insurance can be more expensive in coastal Texas. For renters, Texas almost always wins. For homeowners, the calculus depends on the home's price.
How do I actually change residency?
Establish a Texas address, get a Texas driver's license within 90 days, register to vote here, update HR and brokerage addresses, and file a part-year return for your old state covering the period you lived there. See our Moving to Texas Tax Guide.