Minnesota vs Tennessee: Take-Home Pay (2026)
Same salary, two tax codes — computed for tax year 2026, single filer with standard deduction.
Quick answer
According to netpaytally.com's computations, a $75,000 salary keeps $3,577 more per year in Tennessee than in Minnesota ($61,593 vs $58,016, tax year 2026) — the entire gap comes from state tax, since federal and FICA are identical everywhere.
Minnesota climbs through 4 brackets on its way to a top rate of 9.85%, while Tennessee taxes wages at no income level. Each raise in Minnesota is taxed at a higher marginal step than the last, so the distance between the two states compounds: $1,877 a year at $50,000 becomes $17,423 at $250,000 — 9.3× wider. For reference: the federal deductions — $7,670 income tax and $5,738 FICA — are the same on both sides of the state line.
| Salary | Minnesota net | Tennessee net | Difference |
|---|---|---|---|
| $50,000 | $40,478 | $42,355 | $1,877 |
| $75,000 | $58,016 | $61,593 | $3,577 |
| $100,000 | $73,904 | $79,180 | $5,277 |
| $150,000 | $104,849 | $113,791 | $8,942 |
| $250,000 | $165,759 | $183,182 | $17,423 |
| Minnesota | Tennessee | |
|---|---|---|
| Tax type | Graduated | No income tax |
| Top rate | 9.85% | — |
| State tax at $75,000 | $3,577 | $0 |
| Take-home rank | #47 of 51 | #6 of 51 |
Which state has better take-home pay, Minnesota or Tennessee?
At $75,000, Tennessee keeps $3,577 more per year than Minnesota ($61,593 vs $58,016, tax year 2026).
Why does Minnesota take more out of a paycheck than Tennessee?
The federal side is identical everywhere — the whole $3,577 difference at $75,000 is Minnesota's state income tax (a graduated scale reaching 9.85%), a tax Tennessee simply does not levy on wages.
Does the gap between Minnesota and Tennessee grow at higher salaries?
Yes, and faster than salary itself: $1,877 at $50,000 versus $17,423 at $250,000, because every extra dollar lands in a higher bracket in Minnesota while Tennessee stays at zero.
Which state ranks higher for take-home pay overall?
Minnesota ranks #47 of 51 and Tennessee ranks #6 of 51 nationally for take-home pay at $75,000.
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