1Iowa
Lowest20.8%
Overall effective tax rate
- Net
- Federal
- State
- FICA
- Federal income tax
- $7,670
- State income tax
- $2,198
- Payroll tax (FICA)
- $5,738
- Total tax
- $15,606
- Net income (annual)
- $59,394
Tax year 2026 · state vs state
Iowa vs Montana Income Tax Comparison (2026)
On a $75,000 salary (single filer, 2026), you pay $678 less state income tax a year in Iowa than in Montana, which is about $57 a month. At $150,000 the gap is $2,066 in favor of Iowa.
Iowa: 3.8% flatMontana: up to 5.65%Updated October 10, 2026
Compare Iowa and Montana for your income
Estimate for education only, not tax advice. 2026 federal and state rules, standard deductions, no local taxes. How we calculate.
State comparison
Comparing 2 states, sorted by lowest overall tax rate.
2Montana
21.7%
Overall effective tax rate
- Net
- Federal
- State
- FICA
- Federal income tax
- $7,670
- State income tax
- $2,877
- Payroll tax (FICA)
- $5,738
- Total tax
- $16,284
- Net income (annual)
- $58,716
Advanced analysis (optional)
Choose which extra insights you would like to see.
💰 Monthly breakdown
Your take-home pay, spread across the year
Iowa
Monthly gross$6,250
Monthly tax$1,300
Monthly take-home$4,950
Montana
Monthly gross$6,250
Monthly tax$1,357
Monthly take-home$4,893
Estimates use 2026 federal and state rates, the standard deduction for your filing status and no local taxes. Rankings use state income tax only.
Iowa vs Montana: how the two systems differ
| Iowa | Montana | |
|---|---|---|
| Wage income tax | Flat 3.8% | Progressive, 2 brackets |
| Top rate | 3.8% | 5.65% |
| Lowest rate | 3.8% | 4.7% |
| Deductions and credits (single) | $16,100 standard deduction, $40 personal credit | $16,100 standard deduction |
State income tax and take-home pay at every salary
The same salary can leave you with different take-home pay depending on the state. This table applies each state’s 2026 rules to a single filer with no pre-tax contributions.
| Income | IA state tax | MT state tax | Difference | IA take-home | MT take-home |
|---|---|---|---|---|---|
| $30,000 | $488 | $653 | $165 less in Iowa | $25,797 | $25,632 |
| $40,000 | $868 | $1,123 | $255 less in Iowa | $33,452 | $33,197 |
| $50,000 | $1,248 | $1,593 | $345 less in Iowa | $41,107 | $40,762 |
| $60,000 | $1,628 | $2,063 | $435 less in Iowa | $48,762 | $48,327 |
| $75,000 | $2,198 | $2,877 | $678 less in Iowa | $59,394 | $58,716 |
| $100,000 | $3,148 | $4,289 | $1,141 less in Iowa | $76,032 | $74,891 |
| $150,000 | $5,048 | $7,114 | $2,066 less in Iowa | $108,743 | $106,677 |
| $250,000 | $8,848 | $12,764 | $3,916 less in Iowa | $174,334 | $170,418 |
Single filer, 2026, federal standard deduction. Take-home is after federal, state and payroll tax. No local taxes.
Married filing jointly
| Income | IA state tax | MT state tax | Difference | IA take-home | MT take-home |
|---|---|---|---|---|---|
| $75,000 | $1,546 | $2,012 | $465 less in Iowa | $63,076 | $62,611 |
| $100,000 | $2,496 | $3,187 | $690 less in Iowa | $82,214 | $81,523 |
| $150,000 | $4,396 | $5,753 | $1,357 less in Iowa | $118,789 | $117,432 |
| $250,000 | $8,196 | $11,403 | $3,207 less in Iowa | $189,272 | $186,065 |
Married filing jointly, 2026, federal standard deduction. Uses each state's joint brackets where they differ.
Does the lower-tax state change as income rises?
For a single filer, Iowa and Montana charge the same state income tax (nothing) up to roughly $17,500 of income. Above that, Iowa is the lower-tax state.
Rates side by side
Iowa (single filers)
| 3.8% | Over $0 |
Montana (single filers)
| 4.7% | Up to $47,500 |
| 5.65% | Over $47,500 |
Full details for each state: Iowa income tax calculator and Montana income tax calculator. Federal rates are on the 2026 federal tax brackets page.
Iowa vs Montana FAQ
Which has lower income tax, Iowa or Montana?+
Iowa is lower at $75,000: $2,198 of state income tax versus $2,877 in Montana. At $150,000 it is $5,048 in Iowa and $7,114 in Montana. For a single filer, Iowa and Montana charge the same state income tax (nothing) up to roughly $17,500 of income. Above that, Iowa is the lower-tax state.
How much more do I keep on $100,000 in Iowa versus Montana?+
A single filer keeping $76,032 a year in Iowa would keep $74,891 in Montana after federal, state and payroll tax. The difference is $1,141 a year, or $95 a month.
How do the Iowa and Montana income tax systems differ?+
Iowa uses a flat 3.8% rate; Montana uses progressive rates up to 5.65%. State deductions and exemptions also differ, which changes how much income is taxed.
Are local taxes included in this Iowa vs Montana comparison?+
No. It covers federal income tax, Social Security, Medicare and state income tax only. City, county, sales and property taxes are not included, and they can change the real cost of living in each state.
Should I move from Iowa to Montana to save on taxes?+
State income tax is one cost among many. Property and sales taxes, housing, insurance and wages also differ, and you may owe tax to both states in the year you move. Use this comparison as one input and confirm details with a tax professional.
Sources
- Tax Foundation: 2026 state individual income tax rates and brackets
- IRS: Tax inflation adjustments for tax year 2026
Last checked October 10, 2026. Confirm with your state tax agency before filing.
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Estimates for education only, not tax, legal or financial advice. Not a substitute for a tax professional or your state revenue department.