New York → New Jersey
How much could you save by moving from New York (4% – 10.9%) to New Jersey (1.4% – 10.75%)? See the full tax comparison below.
Tax Savings by Income Level
| Income | New York Total Tax | New Jersey Total Tax | Annual Savings |
|---|---|---|---|
| $75,000 | $16,939 | $15,468 | Save $1,471 |
| $100,000 | $25,828 | $24,339 | Save $1,489 |
| $150,000 | $44,396 | $42,967 | Save $1,429 |
| $200,000 | $61,865 | $60,496 | Save $1,369 |
Based on single filer, standard deduction, 2025 tax year. Includes federal income tax, state income tax, and FICA.
Why the difference
You'd save $1,489/year ($124/month) in New Jersey vs New York.
Tax structure
New York uses progressive brackets up to 10.9%, while New Jersey uses progressive brackets up to 10.8%.
Effective rate at your income
At $100,000, New Jersey's effective state rate is 3.2% vs 4.7% in New York — a 1.5 percentage point gap.
New York local taxes
New York City residents pay an additional 3.1-3.9% city income tax on top of state tax.
Tip: If you work in NYC, the city income tax significantly increases your burden. Living outside the city (e.g., New Jersey, Connecticut, or Westchester) can save 3-4% on city tax, but commuter taxes and higher property taxes may partially offset the savings.
Tip: New Jersey's combination of high income tax and nation-leading property taxes creates a substantial tax burden. If you work in NYC, note that NJ residents receive a credit for taxes paid to NY, but the NJ/NYC tax interaction can be complex — ensure proper credit on your NJ return.
Calculate your exact savings →
Enter your income, filing status, and home value for a personalized New York → New Jersey comparison.
Understanding Each State
New York
New York's state income tax has progressive brackets reaching 10.9%. New York City residents pay an additional city income tax of 3.078-3.876%, making the combined state+city marginal rate up to 14.776% — the highest combined rate in the nation. The Yonkers surcharge adds another 16.75% of state tax for Yonkers residents.
Tip: If you work in NYC, the city income tax significantly increases your burden. Living outside the city (e.g., New Jersey, Connecticut, or Westchester) can save 3-4% on city tax, but commuter taxes and higher property taxes may partially offset the savings.
New Jersey
New Jersey has progressive income tax brackets reaching 10.75% on income over $1 million. Combined with property taxes that are the highest in the US (average 2.23% of home value), New Jersey has one of the heaviest overall tax burdens nationally. However, NJ does not tax Social Security benefits.
Tip: New Jersey's combination of high income tax and nation-leading property taxes creates a substantial tax burden. If you work in NYC, note that NJ residents receive a credit for taxes paid to NY, but the NJ/NYC tax interaction can be complex — ensure proper credit on your NJ return.
Related Resources
Frequently asked questions
How much can I save moving from New York to New Jersey?
At $100,000 income (single filer), you could save $1,488.9 per year in combined taxes by moving from New York to New Jersey. The actual savings depend on your income, filing status, and whether you own property.
Do I have to file taxes in New York if I move to New Jersey?
If you move mid-year, you may need to file a part-year resident return in New York and a part-year or full-year return in New Jersey. Establish your new domicile (driver's license, voter registration, etc.) to clearly document the move date.
What taxes should I compare besides income tax?
Beyond state income tax, compare property tax rates, sales tax, and any special taxes (e.g., estate tax, capital gains surtax). States with no income tax often have higher property or sales taxes that partially offset the savings.