Maryland vs Virginia: Tax & Cost Comparison

2026

Side-by-side Maryland vs Virginia comparison: state income tax, sales tax, property tax, cost of living, and minimum wage for 2026. DC-suburb cross-border choice — MD's 5.75% top + Montgomery County 3.2% local against VA's 5.75% top + no local income tax.

Written and reviewed by Konstantin Iakovlev · Methodology · Updated

Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.

Tax / Cost Factor Maryland Virginia
State income tax (top rate) 6.50% (progressive) 5.75% (progressive)
State sales tax 6.00% 4.30%
Avg. effective property tax 0.99% 0.82%
Minimum wage (2026) $15.00/hr $12.77/hr
State Disability Insurance (SDI) No No
Paid Family Leave Yes No
Median home price (Q4 2025) $425,000 $410,000
Foreclosure type non-judicial non-judicial
BEA Regional Price Parity (2024) 110.3 102
Median household income (2024) $96,130 $89,930
Median 2-bedroom rent (Q4 2025) $1,880/mo $1,810/mo

Worked example: $75,000 single filer, 2026

For a single filer earning $75,000 in 2026, the rough state-tax burden comparison:

  • Maryland: estimated state income tax ≈ $3,413, plus federal income tax (≈ $7,300 at 22% marginal), FICA $5,738, sales tax 6.00% on consumption.
  • Virginia: estimated state income tax ≈ $3,019, plus federal $7,300, FICA $5,738, sales tax 4.30% on consumption.

Property tax depends entirely on home value. On a $400,000 home: Maryland ≈ $$3,960/year; Virginia ≈ $$3,280/year.

Combined annual state burden (income + property on $400K + 6% of $50K consumption sales tax) — Maryland: ~$10,373; Virginia: ~$8,449.

Why this comparison? DC-suburb cross-border choice — MD's 5.75% top + Montgomery County 3.2% local against VA's 5.75% top + no local income tax.

Frequently asked questions

Which is cheaper to live in: Maryland or Virginia?

By BEA Regional Price Parity (2024), Maryland has a cost-of-living index of 110.3 and Virginia is 102 (US average = 100). Median household income: Maryland $96,130, Virginia $89,930. Median 2-bedroom rent: Maryland $1,880/mo, Virginia $1,810/mo. Virginia is the lower-cost state by this measure.

Does Maryland or Virginia have lower income tax in 2026?

Virginia has a top income-tax rate of 5.75%; Maryland has 6.50%. Virginia is lower at the top bracket.

What about property taxes in Maryland vs Virginia?

Maryland's average effective property tax rate is 0.99% (e.g., $3,960/year on a $400,000 home). Virginia's rate is 0.82% ($3,280/year on $400K). Virginia has the lower property tax burden.

Where is the minimum wage higher: Maryland or Virginia?

Maryland's 2026 minimum wage is $15.00/hour; Virginia's is $12.41/hour. Maryland is higher.