PaycheckForge research · updated 2026-09-05
The Raise Report 2026
People negotiate gross pay, but they live on net pay. A $10,000 raise never adds $10,000 to the bank account — and how much it does add depends on which jurisdiction you work in and where you already sit in the brackets. We ran the same raise through the same estimate engine in all 51 jurisdictions, at 4 base salaries.
Standard scenario: single filer, biweekly pay, 401(k) 0%, no pre-tax benefits, standard deduction, no local taxes, no credits. Every figure on this page is an estimate produced by the PaycheckForge engine, not payroll output and not tax advice.
The headline
A $10,000 raise is worth $930 more in one jurisdiction than another — before anyone moves house.
At a $100,000 base salary, the model estimates a $10,000 raise adds $7,035 a year of take-home pay in the 9 jurisdictions with no wage income tax — a keep rate of 70.35%. In California, the same raise on the same salary adds $6,105, a keep rate of 61.05%. The gap is $930, or 9.3 points of keep rate.
Per paycheck it is quieter and easier to miss: $270.58 more in each biweekly check at the top of the table, $234.81 at the bottom. Among jurisdictions that do tax wage income, North Dakota keeps the most of the raise at 68.40%.
Nothing here is a bracket myth: a raise never reduces take-home pay in this model. The estimated net gain is positive in all 204 modelled rows. What changes is how much of the raise survives.
The higher your base, the less of the raise you keep
The same $10,000 raise, the same jurisdiction, four different starting salaries. Because the raise lands on top of your existing income, it is taxed at your top marginal rate — so the identical raise is worth measurably less the higher you start.
| Base salary | Keep rate, no-income-tax states | Estimated gain | Median keep rate | Lowest keep rate |
|---|---|---|---|---|
| $50,000 | 80.35% | $8,035 | 75.91% | 71.60% (Oregon) |
| $75,000 | 70.35% | $7,035 | 65.80% | 61.47% (California) |
| $100,000 | 70.35% | $7,035 | 65.65% | 61.05% (California) |
| $150,000 | 68.35% | $6,835 | 63.65% | 58.45% (Oregon) |
Between a $50,000 base and a $150,000 base, the keep rate in a no-income-tax state falls by 12.0 points — the same raise delivers $1,200 less. The $75,000 and $100,000 rows match because both raises sit entirely inside the same federal bracket: it is the bracket you are in, not the salary itself, that sets the keep rate.
Every jurisdiction, every base salary
51 jurisdictionsKeep rate on a $10,000 raise at each base salary, ordered by the $100,000 column. Select a column heading to re-sort. The last two columns show what the raise is estimated to add at $100,000, per year and per biweekly check.
| Jurisdiction | $50,000 base | $75,000 base | $100,000 base | $150,000 base | Gain at $100,000 | Per check |
|---|---|---|---|---|---|---|
| Alaska | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| Florida | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| Nevada | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| New Hampshire | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| South Dakota | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| Tennessee | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| Texas | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| Washington | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| Wyoming | 80.35% | 70.35% | 70.35% | 68.35% | $7,035 | $270.58 |
| North Dakota | 80.35% | 68.40% | 68.40% | 66.40% | $6,840 | $263.08 |
| Arizona | 77.85% | 67.85% | 67.85% | 65.85% | $6,785 | $260.96 |
| Ohio | 77.60% | 67.60% | 67.60% | 65.60% | $6,760 | $260.00 |
| Indiana | 77.40% | 67.40% | 67.40% | 65.40% | $6,740 | $259.23 |
| Louisiana | 77.35% | 67.35% | 67.35% | 65.35% | $6,735 | $259.04 |
| Pennsylvania | 77.28% | 67.28% | 67.28% | 65.28% | $6,728 | $258.77 |
| Kentucky | 76.85% | 66.85% | 66.85% | 64.85% | $6,685 | $257.12 |
| Iowa | 76.55% | 66.55% | 66.55% | 64.55% | $6,655 | $255.96 |
| Arkansas | 76.45% | 66.45% | 66.45% | 64.45% | $6,645 | $255.58 |
| North Carolina | 76.36% | 66.36% | 66.36% | 64.36% | $6,636 | $255.23 |
| Mississippi | 76.35% | 66.35% | 66.35% | 64.35% | $6,635 | $255.19 |
| Michigan | 76.10% | 66.10% | 66.10% | 64.10% | $6,610 | $254.23 |
| Colorado | 75.95% | 65.95% | 65.95% | 63.95% | $6,595 | $253.65 |
| Oklahoma | 75.85% | 65.85% | 65.85% | 63.85% | $6,585 | $253.27 |
| Utah | 75.85% | 65.85% | 65.85% | 63.85% | $6,585 | $253.27 |
| Nebraska | 75.80% | 65.80% | 65.80% | 63.80% | $6,580 | $253.08 |
| Missouri | 75.65% | 65.65% | 65.65% | 63.65% | $6,565 | $252.50 |
| Rhode Island | 76.60% | 66.60% | 65.60% | 63.60% | $6,560 | $252.31 |
| West Virginia | 75.91% | 65.53% | 65.53% | 63.53% | $6,553 | $252.04 |
| Maryland | 75.60% | 65.60% | 65.51% | 63.01% | $6,551 | $251.98 |
| New Mexico | 75.65% | 65.60% | 65.45% | 63.45% | $6,545 | $251.73 |
| Illinois | 75.40% | 65.40% | 65.40% | 63.40% | $6,540 | $251.54 |
| Alabama | 75.35% | 65.35% | 65.35% | 63.35% | $6,535 | $251.35 |
| Massachusetts | 75.35% | 65.35% | 65.35% | 63.35% | $6,535 | $251.35 |
| Georgia | 75.16% | 65.16% | 65.16% | 63.16% | $6,516 | $250.62 |
| Idaho | 75.05% | 65.05% | 65.05% | 63.05% | $6,505 | $250.19 |
| Wisconsin | 75.95% | 65.05% | 65.05% | 63.05% | $6,505 | $250.19 |
| Connecticut | 75.85% | 64.85% | 64.85% | 62.35% | $6,485 | $249.42 |
| Kansas | 74.77% | 64.77% | 64.77% | 62.77% | $6,477 | $249.12 |
| Montana | 75.65% | 64.70% | 64.70% | 62.70% | $6,470 | $248.85 |
| Virginia | 74.60% | 64.60% | 64.60% | 62.60% | $6,460 | $248.46 |
| New York | 74.95% | 64.95% | 64.45% | 62.45% | $6,445 | $247.88 |
| South Carolina | 74.35% | 64.35% | 64.35% | 62.35% | $6,435 | $247.50 |
| New Jersey | 74.82% | 64.06% | 63.98% | 61.98% | $6,398 | $246.08 |
| Delaware | 74.80% | 63.75% | 63.75% | 61.75% | $6,375 | $245.19 |
| Vermont | 77.00% | 63.75% | 63.75% | 60.75% | $6,375 | $245.19 |
| Minnesota | 73.55% | 63.55% | 63.55% | 60.50% | $6,355 | $244.42 |
| Maine | 73.60% | 63.34% | 63.20% | 61.20% | $6,320 | $243.08 |
| Hawaii | 72.89% | 62.75% | 62.75% | 60.45% | $6,275 | $241.35 |
| Washington DC | 74.16% | 62.07% | 61.85% | 59.85% | $6,185 | $237.88 |
| Oregon | 71.60% | 61.60% | 61.60% | 58.45% | $6,160 | $236.92 |
| California | 74.35% | 61.47% | 61.05% | 59.05% | $6,105 | $234.81 |
Where a raise survives best at $100,000
Top ten by estimated keep rate. The leaders are the jurisdictions that levy no income tax on wages, so only federal income tax and FICA reduce the raise.
Where the most of it is withheld
Bottom ten by estimated keep rate at the same base salary. A lower keep rate is not a verdict on a jurisdiction — state taxes also fund services this model does not price.
Who takes the missing $2,965
The marginal cost of the $10,000 raise at a $100,000 base, split by component. Federal income tax and employee FICA are identical everywhere in this scenario; the state column is the only thing that moves.
| Jurisdiction | Federal income tax | Employee FICA | State income tax | Kept |
|---|---|---|---|---|
| Alaska | $2,200 | $765 | $0 | $7,035 |
| North Dakota | $2,200 | $765 | $195 | $6,840 |
| Missouri | $2,200 | $765 | $470 | $6,565 |
| California | $2,200 | $765 | $930 | $6,105 |
Your own numbers
See what a raise does to your check
This report uses one standard scenario so the jurisdictions stay comparable. Your filing status, 401(k) rate, pre-tax benefits and pay frequency all move the answer.
After the raise
Check the withholding on the new salary
A raise changes what should come out of each check. The W-4 tool compares per-check withholding with the estimated annual liability so the year-end gap is visible before it arrives.
Methodology and limitations
- Scenario: single filer, biweekly pay, 401(k) 0%, no pre-tax benefits, standard deduction, no local taxes, no credits. The same assumptions apply to every row, so differences between jurisdictions come only from tax rules.
- Two runs per cell: for each base salary and jurisdiction we run the PaycheckForge take-home model once at the base salary and once at the base salary plus $10,000, then subtract. Nothing on this page is typed in by hand.
- Keep rate: estimated annual net gain ÷ $10,000. The marginal cost columns are the same subtraction applied to federal income tax, employee FICA and state income tax separately.
- Base salaries: $50,000, $75,000, $100,000, $150,000. Four points show the bracket effect without implying a continuous curve we did not compute; all four stay below the Social Security wage base and the Additional Medicare withholding threshold, so employee FICA on the raise is flat across the whole matrix.
- Engine: version 2026.2.1, tax year 2026. Federal parameters, FICA and every state rule are the ones published on the methodology page and in the open rule pack. Sources: IRS Revenue Procedure 2025-32; Social Security Administration 2026 COLA fact sheet; Tax Foundation state income-tax tables; IRS Revenue Procedure 2025-32, section 4.26 (QBI); IRS Form 8995 instructions (QBI income base).
- Withholding vs liability: the model estimates annual tax liability and spreads it evenly across pay periods. Annual tax liability is estimated and spread evenly across pay periods; employer withholding tables can differ.
What this report excludes
- Local income tax is modeled for RESIDENTS of: all 24 Maryland local jurisdictions (23 counties + Baltimore City, including the graduated Anne Arundel and Frederick rates), all 92 Indiana counties, New York City and Yonkers (16.75% resident surcharge on state tax). Every other local income tax is still excluded — including Ohio municipal and school-district taxes, Pennsylvania EIT/LST, Kentucky, Michigan, Missouri, Alabama, Oregon and Colorado local taxes. Work-location (commuter) liability is not modeled anywhere: selecting a county or city applies the resident rate only, and the Yonkers non-resident earnings tax is not modeled. Maryland and Indiana rates are the authorities’ published 2026 figures; the New York City schedule and Yonkers surcharge are the most recent published New York figures (tax year 2025), as New York had not issued 2026 forms when checked.
- State disability and payroll taxes such as CA SDI, NJ and WA Cares are excluded.
- The retirement field models a traditional 401(k): PA employee contributions remain in the state tax base, while NJ excludes them. Other retirement plan types are not modeled.
- Credit-style exemptions are not modeled unless documented by the calculator.
- Employer cost: employer FICA and FUTA use the published federal rates under the stated assumptions; state unemployment and workers’ compensation are taken from the rate and wage base you enter, and FUTA credit-reduction states are not modelled.
- Head of household uses 2026 federal HoH brackets and the $24,150 standard deduction. State-specific HoH deductions and exemptions are used only where explicitly modeled (currently Mississippi); every other state falls back to single-filer brackets/deduction for HoH, which overstates the real state tax owed by HoH filers there.
- The federal Child Tax Credit is modeled ($2,200 per qualifying child under 17 for 2026, phased out above $200,000 single/HoH or $400,000 MFJ AGI) as a direct, non-refundable-style reduction of federal tax liability. The Earned Income Tax Credit and all other federal and state credits are NOT modeled — filers who qualify for the EITC or other credits will owe substantially less than shown.
- Traditional 401(k) deferrals are capped at the 2026 §402(g) annual limit ($24,500); a requested contribution above that is capped in the model and flagged. Negative gross pay is clamped to $0, and combined pre-tax deductions (retirement + §125) are capped at gross pay — either case is flagged rather than shown as a negative or misleading result.
- The 1099-vs-W2 tool models the federal §199A Qualified Business Income deduction (20% of qualified business income, capped by taxable income) at or below the 2026 taxable-income-before-QBI threshold ($201,750 single/HoH; $403,500 MFJ; IRS Rev. Proc. 2025-32 section 4.26). Above that threshold, the model applies $0 QBI deduction because SSTB and W-2-wage/UBIA phase-in rules are not supported; this may overstate tax and is not a finding of ineligibility. Capital gains, loss carryforwards and the eligibility-dependent $400 minimum deduction for 2026 are not modeled. Business expenses and self-employed benefits must be considered separately.
It is also not a relocation, negotiation, tax, legal or financial recommendation. A higher keep rate does not make a jurisdiction better to live or work in.
Data and reuse
Open data
Download the full matrix
204 rows — one per base salary and jurisdiction — with net before and after, the gain, keep rate, marginal rate and the federal, FICA and state cost of the raise.
Citation
Cite the report
PaycheckForge. “The Raise Report 2026.” Engine 2026.2.1. Updated 2026-09-05. https://paycheckforge.com/research/raise-report-2026/
The dataset and the PaycheckForge analysis in this report are available under CC BY 4.0; the underlying IRS, SSA and Tax Foundation parameters retain their own source terms.
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