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HEAD-TO-HEAD TAX COMPARISON · 2026

COUNTRY A Wisconsin VS COUNTRY B Texas

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

OVERVIEW
Wisconsin imposes a progressive income tax ranging from 3.5% to 7.65% across four brackets; for single filers in 2026 the 7.65% top rate applies only to taxable income above $332,720. Texas has no state income tax; Article VIII, Section 24-a of the Texas Constitution (added in 2019) bars a tax on individuals' net income. A $100,000 earner saves $4,428 per year on income tax alone moving to Texas. Property taxes are close but favor Wisconsin: Wisconsin averages 1.32% while Texas averages 1.40%—making Wisconsin slightly lower. For a $100K income with $400K home, Wisconsin charges $9,708 total (income $4,428 + property $5,280) while Texas charges $5,600 (property only), saving $4,108 per year. Texas offsets its zero income tax with higher sales tax (8.19% average vs Wisconsin's 5.43%), but the sales tax difference doesn't come close to offsetting income tax savings.
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
Wisconsin
TAX RATE
3.5-7.65%
Progressive Tax (4 Brackets)

Top rate applies above $332,720 (single)

🤠
COUNTRY B
Texas
TAX RATE
0%
No Income Tax

Constitutional prohibition on income tax

TYPICAL ANNUAL DIFFERENCE
Moving from Texas → Wisconsin at $100,000 + $400K home
$4,108

That's $342/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
🧀 WI TAX
🤠 TX TAX
SAVINGS
10-YEAR
$50,000
$1,577
$0
$1,577
$15,770
$75,000
$2,944
$0
$2,944
$29,440
$100,000
$4,428
$0
$4,428
$44,280
$150,000
$7,309
$0
$7,309
$73,090
$250,000
$12,609
$0
$12,609
$126,090
$500,000
$29,774
$0
$29,774
$297,740
💡

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🧀

Wisconsin Pros & Cons

+ PROS
  • Four-season climate with beautiful fall foliage and true winters
  • No estate tax or inheritance tax (Wisconsin eliminated these)
  • Public universities including UW-Madison and UW-Milwaukee
  • Lower sales tax: 5.43% average vs Texas 8.19%
  • Milwaukee and Madison offer walkable urban cores with public transit
  • Property tax: 1.32% average (slightly lower than Texas's 1.40%)
− CONS
  • Top bracket (7.65%) applies above $332,720 of taxable income for single filers; the 5.3% bracket starts above $51,950
  • Progressive tax: single filers pay 4.4% on taxable income from $15,110 and 5.3% above $51,950
  • Cold winters: Average January low in Milwaukee is 16°F
  • Population stagnant: Wisconsin grew just 3.6% from 2010-2020 vs Texas 15.9%
🤠

Texas Pros & Cons

+ PROS
  • 0% state income tax (constitutional ban since 2019, Article VIII Section 24-a)
  • No estate tax or inheritance tax (Texas never had one)
  • Large metro job markets in Dallas-Fort Worth, Houston and Austin
  • Cost of living varies by city: compare Dallas, Austin or Houston with Milwaukee or Madison using current local data
− CONS
  • Property tax: 1.40% average (slightly higher than Wisconsin's 1.32%)
  • High sales tax: 8.19% average (TX 6.25% + local 1.94%); most groceries are exempt, restaurant meals are taxed
  • Hot summers: Dallas/Austin 100°F+ common June-September
  • Car-dependent: Minimal public transit outside downtown Dallas/Austin
  • Property insurance costs have been rising in many Texas markets
  • No state income tax to deduct federally — SALT cap ($40,400 for single and joint filers in 2026, rising 1% a year through 2029, under OBBBA) only benefits those with property taxes or other local taxes to deduct
FAQ

Frequently Asked Questions

How much will I save moving from Wisconsin to Texas?

At $100,000 income with a $400,000 home, a single filer saves about $4,108 per year moving to Texas ($342/month): $4,428 in Wisconsin income tax avoided, offset by about $320 more in Texas property tax. Over 10 years that is about $41,080. Texas's higher sales tax (8.19% vs 5.43% average) reduces the net saving further, by roughly $1,200-1,500 a year at $50,000 of taxable spending.

Does Texas really have no state income tax?

Yes. Texas has no personal income tax. Article VIII, Section 24-a of the Texas Constitution, added by a 2019 amendment, provides that the legislature may not impose a tax on the net incomes of individuals. Texas therefore has no tax on wages, investment income, capital gains or retirement distributions.

How do property taxes compare between Wisconsin and Texas?

Wisconsin and Texas have nearly identical property tax rates. Wisconsin averages 1.32% while Texas averages 1.40%—Wisconsin is actually slightly lower. On a $400,000 home: WI = $5,280/year, TX = $5,600/year—Texas costs $320/year more. This near-parity means Texas's slightly higher property tax barely offsets its zero income tax advantage. You eliminate state income tax while paying only marginally higher property tax.

Is Texas's high sales tax a deal-breaker?

Texas's 8.19% average sales tax (6.25% state + 1.94% local) is higher than Wisconsin's 5.43%. Both states exempt most groceries, but restaurant meals and other taxable goods bear the higher Texas rate. For a household spending $50,000/year on taxable goods, you pay about $1,380 more in sales tax in Texas. Income tax savings ($4,428 at $100K) are larger than that difference, leaving roughly $3,048 before the higher Texas property tax.

What is Wisconsin's income tax rate?

Wisconsin has a progressive income tax with four brackets: 3.5%, 4.4%, 5.3% and 7.65%. For single filers in 2026 the brackets are 3.5% up to $15,110 of taxable income, 4.4% up to $51,950, 5.3% up to $332,720 and 7.65% above that. A $100,000 earner (single, wages only) pays an effective rate of about 4.4%, or $4,428 in annual state income tax.

Are people moving from Wisconsin to Texas for taxes?

Some do, particularly remote workers and retirees who can choose where to live, but we have not found an official count we can cite, so we do not quote one. For a single filer the income tax difference alone is about $1,577 at $50,000, $4,428 at $100,000 and $7,309 at $150,000 a year; weigh that against Texas's higher sales and property taxes, housing costs and climate.

Is Dallas or Austin cheaper than Milwaukee or Madison?

It depends on the cities and neighborhoods. Housing, rent and everyday costs change quickly and vary widely within each metro, so compare current local data for the specific places you are considering rather than relying on a single percentage. On taxes alone, a $100K single earner with a $400K home saves roughly $4,108 a year in Texas before sales tax differences.

Can I keep my Wisconsin salary and move to Texas?

If you are a remote worker, yes. Your employer pays the same gross salary regardless of where you live, and once you genuinely change your domicile to Texas you no longer owe Wisconsin resident income tax (3.5%-7.65%). On $100,000 a single filer saves about $4,428/year; on $150,000, about $7,309. Verify that your employer allows out-of-state remote work first.

Do I need to change residency completely to avoid Wisconsin tax?

Yes. Wisconsin taxes you as a resident while you remain domiciled there. To establish Texas domicile, move your primary home to Texas, get a Texas driver's license, register to vote in Texas, sell or rent out your Wisconsin home, and update your financial accounts to a Texas address. Wisconsin looks at all the facts, so keep records of where you spend your time and avoid keeping significant ties to Wisconsin that could support a continued-residency claim.

What are the downsides of moving to Texas?

Higher sales tax (8.19% average), hot summers, a more car-dependent lifestyle outside downtown cores, rising property insurance costs in many areas, and the loss of Wisconsin's four seasons. You may also miss Wisconsin's fall foliage, snow sports and walkable city cores. Whether the tax savings outweigh these trade-offs depends on your income and priorities.

Is Wisconsin or Texas better for retirees?

Texas is generally better for retirees on taxes. Wisconsin exempts Social Security benefits but taxes most pension and IRA/401(k) distributions, with only limited exclusions; Texas has no income tax on any retirement income. Texas has slightly higher property tax than Wisconsin (1.40% vs 1.32% average effective rates), costing roughly $300-400/year more on a typical retiree home, a minor offset. Neither state has a state estate tax. Main trade-off: Texas summer heat versus Wisconsin's seasonal climate.

What's the job market difference between Wisconsin and Texas?

It differs by metro and occupation. Texas has large labor markets in Dallas-Fort Worth, Houston, Austin and San Antonio, and Wisconsin's are centered on Milwaukee and Madison. Compare current salaries for your own occupation and remember that housing and other living costs vary by city. On state income tax alone, a single filer saves about $4,428 on a $100,000 salary.