The Tax Brief real effective rates for 111+ countries — bi-weekly, free.
HEAD-TO-HEAD TAX COMPARISON · 2026

COUNTRY A Minnesota VS COUNTRY B Ohio

Side-by-side analysis of income tax, effective rates, and take-home pay for Minnesota and Ohio in 2026.

Daniel · CountryTaxCalc Updated June 2026 Tax Comparison 2026
Calculate your take-home → See all comparisons →
OVERVIEW
Minnesota and Ohio represent the starkest income tax contrast in the Midwest. Minnesota's progressive system peaks at 9.85% (3rd highest nationally), while Ohio's 2026 reform created a near-flat 2.75% rate above $26,050. On $100,000 income, Minnesota residents pay approximately $8,028 in state income tax versus Ohio's $2,024 — a $6,004 annual difference. Ohio also wins on property tax (MN 1.12% vs OH 1.59% — this is one area Ohio loses) but the income tax gap dominates. For high earners, the difference becomes extraordinary: at $300K, Minnesota's bill exceeds Ohio's by over $15,000/year.
Section 01

The Big Picture

Top-line rates and effective take-home for a typical earner — including income tax, social contributions, and applicable surcharges.

🌲
COUNTRY A
Minnesota
TAX RATE
5.35-9.85%
Progressive
9.85% top rate — 3rd-highest nationally
🌰
COUNTRY B
Ohio
TAX RATE
0-2.75%
Low Flat (2026)
0% up to $26,050, then 2.75% (2026 reform)
TYPICAL ANNUAL DIFFERENCE
Moving from Ohio → Minnesota at $100,000
$6,004
That's $500/month back in your pocket
Section 02

Tax Savings by Income Level

Net take-home after all income tax, social contributions, and surcharges — for a single employee with no dependents.
GROSS INCOME
🌲 MN TAX
🌰 OH TAX
SAVINGS
10-YEAR
$50,000
$2,757
$659
$2,098 (OH saves)
$20,980
$75,000
$4,799
$1,346
$3,453 (OH saves)
$34,530
$100,000
$8,028
$2,024
$6,004 (OH saves)
$60,040
$200,000
$15,498
$4,799
$10,699 (OH saves)
$106,990
$500,000
$44,498
$13,049
$31,449 (OH saves)
$314,490
💡

CountryTaxCalc.com is reader-supported. When you use our partner links, we may earn a commission at no cost to you. This helps us provide free tax calculators and comparison tools. Learn more about our affiliate partnerships

Talk to a Real CPA

Taxhub

★ 4.8 verified reviews  ·  3,758 reviews

Moving between states means a complex multi-state tax return. Taxhub matches you with a real CPA via video call — average cost $325. Rated 4.8★ by 3,700+ clients.

⚠ Not for simple single-state returns. Free filing is fine for straightforward W-2 situations.

Get Matched With a CPA →

Interested in reaching this audience? Advertise on CountryTaxCalc →

🌲

Minnesota Pros & Cons

+ PROS
  • Top-ranked schools: Minnesota consistently ranks #1-5 for K-12 education nationally
  • Fortune 500 hub: Target, UnitedHealth, 3M, Best Buy, General Mills HQ in Twin Cities
  • Excellent public services: Strong infrastructure, transit, parks, libraries
  • Lower property tax than Ohio: MN 1.12% vs OH 1.59% — saves $1,880/year on $400K home
  • Mayo Clinic ecosystem: World-class healthcare and biomedical research hub
− CONS
  • Very high income tax: $8,028 on $100K vs OH $2,024 — costs $6,004 more per year
  • 9.85% top rate: 3rd-highest nationally, hitting single filers at $183K+
  • Taxes Social Security: One of only 12 states taxing SS income (partial exemption only)
  • Extreme winters: Minneapolis -9°F average January wind chill
  • High overall tax burden: Minnesota ranks among top-8 total tax burden states
🌰

Ohio Pros & Cons

+ PROS
  • Very low income tax post-2026 reform: 2.75% saves $6,004/year vs Minnesota on $100K
  • Affordable housing: Columbus $300K, Cleveland $200K vs Minneapolis $400K+
  • Three major metros: Diverse economy across Columbus, Cleveland, Cincinnati
  • Great Lakes access: Lake Erie waterfront in Cleveland and Toledo
  • No Social Security tax: Ohio exempts SS from state income tax
− CONS
  • Higher property tax: 1.59% vs MN 1.12% — $1,880 more/year on a $400K home
  • Municipal income taxes: Columbus 2.5%, Cleveland 2.0%, Akron 2.5% add local burden
  • Weaker school rankings: Ohio ranks below Minnesota in K-12 national assessments
  • Fewer Fortune 500 HQs than Minneapolis-St. Paul metro
  • Rust Belt legacy: Northern Ohio cities face infrastructure and population challenges
FAQ

Frequently Asked Questions

How much does Minnesota's income tax actually cost vs Ohio in 2026?

The gap is enormous at most income levels. At $50,000: Minnesota costs $2,757 vs Ohio $659 — $2,098 more. At $100,000: Minnesota costs $8,028 vs Ohio $2,024 — $6,004 more. At $200,000: Minnesota costs $15,498 vs Ohio $4,799 — $10,699 more. At $500,000: Minnesota costs $44,498 vs Ohio $13,049 — $31,449 more. Ohio's 2026 reform (0% up to $26,050, then 2.75%) makes it one of the lowest income tax states with an income tax, creating a dramatic contrast with Minnesota's progressive 5.35-9.85% system.

Why is Minnesota's income tax so high compared to Ohio?

Minnesota has historically chosen a Nordic-style social contract: high taxes fund excellent public services (top-ranked schools, healthcare, infrastructure). The 9.85% top rate (3rd highest nationally) was established partly to fund these services and partly to tax wealth progressively. Ohio's 2026 tax reform took the opposite philosophy: dramatically simplifying and cutting rates to stimulate economic growth and reduce outmigration. The two states reflect genuinely different political philosophies about the role of state government.

Does Minnesota's better public services justify the higher taxes?

For families with children, potentially yes. Minnesota ranks top-5 for K-12 education, which saves private school costs or home value premiums in good school districts. Minnesota also has excellent healthcare infrastructure and lower violent crime than many metros. However, the $6,004/year income tax premium on $100K income is very real. Over 20 years, that's $120,000 in extra taxes — enough to fund significant private education or investments. The 'services trade-off' works best for families with school-age children who use public systems heavily.

Minneapolis vs Columbus: which city is growing faster?

Columbus, Ohio is actually growing faster by percentage — it's consistently one of the fastest-growing Midwest metros, buoyed by Ohio State University, a diversifying tech sector (Intel's $20B fab campus in New Albany), and affordable housing. Minneapolis-St. Paul is larger and more established, with stronger corporate anchors. Columbus's population grew ~10% from 2015-2025 vs Minneapolis ~7%. Columbus's combination of Ohio's low 2026 tax reform, Intel investment, and affordable housing is making it an increasingly compelling Midwest alternative.

Minnesota vs Ohio: which state is better for high earners?

Ohio is dramatically better for high earners purely on taxes. A single filer earning $500,000 pays $44,498 in Minnesota state income tax vs $13,049 in Ohio — a $31,449/year difference. At that income, Ohio's advantage compounds: $314,490 over 10 years (pre-investment). Minnesota high earners also face the 9.85% rate on the majority of their income. Many Minnesota high earners with location flexibility relocate to no-income-tax states (FL, TX, WA) rather than Ohio, but Ohio is significantly more competitive than Minnesota at every income level above $30,000.
From the brief
CY0%dividends, 60-day rule
PT20%flat rate, tech workers
GB39%non-dom regime gone
The Tax Brief · Subscribe free

More like this, every two weeks.

Verified rates, real after-tax figures, plain English. Free.

Bi-weekly. No spam. Unsubscribe in one click.