Massachusetts vs Rhode Island: Tax & Cost Comparison

2026

Side-by-side Massachusetts vs Rhode Island comparison: state income tax, sales tax, property tax, cost of living, and minimum wage for 2026. New England small-state pair — MA's 9% top (with Fair Share surtax above $1M) against RI's 5.99% top, both with elevated property taxes.

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 Massachusetts Rhode Island
State income tax (top rate) 5.00% (flat) 5.99% (progressive)
State sales tax 6.25% 7.00%
Avg. effective property tax 1.14% 1.38%
Minimum wage (2026) $15.00/hr $16.00/hr
State Disability Insurance (SDI) No Yes (1.3%)
Paid Family Leave Yes Yes
Median home price (Q4 2025) $590,000 $460,000
Foreclosure type mixed non-judicial
BEA Regional Price Parity (2024) 110.7 100.5
Median household income (2024) $99,860 $80,650
Median 2-bedroom rent (Q4 2025) $2,480/mo $1,860/mo

Worked example: $75,000 single filer, 2026

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

  • Massachusetts: estimated state income tax ≈ $2,625, plus federal income tax (≈ $7,300 at 22% marginal), FICA $5,738, sales tax 6.25% on consumption.
  • Rhode Island: estimated state income tax ≈ $3,145, plus federal $7,300, FICA $5,738, sales tax 7.00% on consumption.

Property tax depends entirely on home value. On a $400,000 home: Massachusetts ≈ $$4,560/year; Rhode Island ≈ $$5,520/year.

Combined annual state burden (income + property on $400K + 6% of $50K consumption sales tax) — Massachusetts: ~$10,310; Rhode Island: ~$12,165.

Why this comparison? New England small-state pair — MA's 9% top (with Fair Share surtax above $1M) against RI's 5.99% top, both with elevated property taxes.

Frequently asked questions

Which is cheaper to live in: Massachusetts or Rhode Island?

By BEA Regional Price Parity (2024), Massachusetts has a cost-of-living index of 110.7 and Rhode Island is 100.5 (US average = 100). Median household income: Massachusetts $99,860, Rhode Island $80,650. Median 2-bedroom rent: Massachusetts $2,480/mo, Rhode Island $1,860/mo. Rhode Island is the lower-cost state by this measure.

Does Massachusetts or Rhode Island have lower income tax in 2026?

Massachusetts has a top income-tax rate of 5.00%; Rhode Island has 5.99%. Massachusetts is lower at the top bracket.

What about property taxes in Massachusetts vs Rhode Island?

Massachusetts's average effective property tax rate is 1.14% (e.g., $4,560/year on a $400,000 home). Rhode Island's rate is 1.38% ($5,520/year on $400K). Massachusetts has the lower property tax burden.

Where is the minimum wage higher: Massachusetts or Rhode Island?

Massachusetts's 2026 minimum wage is $15.00/hour; Rhode Island's is $15.00/hour. Both have the same minimum wage.