ST. LOUIS – A six-figure salary is widely considered a standard of comfortable living in the Midwest, but after taxes, the amount that hits your bank account can vary significantly.
The Next Gen Business, a digital finance education platform, has shared a series of videos on TikTok addressing what a $100,000 salary looks like in several U.S. states after taxes. In some case, workers will take home tens of thousands less than their gross income.
For most taxpayers, SmartAsset’s Income Tax Calculator offers an idea into what taxes will look like based on your salary and home state. Many of these same variables are considered in Next Gen Business’s calculations.
In Missouri and Illinois, the two states of the St. Louis metropolitan area, what does a $100,000 salary look like after taxes? Here’s what Next Gen Business discovered…
Missouri
In Missouri, all taxpayers are responsible for federal income, FICA and state income taxes. That’s what is owed before accounting for any municipal income taxes.
Next Gen Business offered the following breakdown.
- Your hypothetical salary is $100,000.
- The federal tax owed is $15,009.
- The FICA tax owed is $7,650.
- The state income tax owed is $4,264.
- The combined taxes owed (federal, FICA and state income) is $26,923.
Your net income, salary minus the taxes owed, is $73,077.
Illinois
In Illinois, all taxpayers are responsible for federal income, FICA and state income taxes. That’s what is owed before accounting for any municipal income taxes.
Next Gen Business offered the following breakdown.
- Your hypothetical salary is $100,000.
- The federal tax owed is $14,261.
- The FICA tax owed is $7,650.
- The state income tax owed is $4,830.
- The combined taxes owed (federal, FICA and state income) is $26,741.
Your net income, salary minus the taxes owed, is $73,259.
For Missouri and Illinois, the total tax rate with federal, FIX and state income taxes considered on a $100,000 salary is around 27%.
The calculations are only based on those three taxes, however, and could differ from person-to-person based on deductions, dependents and exemptions.