New York vs Pennsylvania: Tax & Cost Comparison

2026

Side-by-side New York vs Pennsylvania comparison: state income tax, sales tax, property tax, cost of living, and minimum wage for 2026. PA suburbs of NYC and Philadelphia draw cross-border commuters — comparing NY's 10.9% top against PA's 3.07% flat + local Earned 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 New York Pennsylvania
State income tax (top rate) 10.90% (progressive) 3.07% (flat)
State sales tax 4.00% 6.00%
Avg. effective property tax 1.62% 1.53%
Minimum wage (2026) $17.00/hr $7.25/hr
State Disability Insurance (SDI) Yes (0.5%) No
Paid Family Leave Yes No
Median home price (Q4 2025) $470,000 $270,000
Foreclosure type judicial judicial
BEA Regional Price Parity (2024) 113.8 95.3
Median household income (2024) $81,600 $73,170
Median 2-bedroom rent (Q4 2025) $2,350/mo $1,450/mo

Worked example: $75,000 single filer, 2026

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

  • New York: estimated state income tax ≈ $5,723, plus federal income tax (≈ $7,300 at 22% marginal), FICA $5,738, sales tax 4.00% on consumption.
  • Pennsylvania: estimated state income tax ≈ $1,612, plus federal $7,300, FICA $5,738, sales tax 6.00% on consumption.

Property tax depends entirely on home value. On a $400,000 home: New York ≈ $$6,480/year; Pennsylvania ≈ $$6,120/year.

Combined annual state burden (income + property on $400K + 6% of $50K consumption sales tax) — New York: ~$14,203; Pennsylvania: ~$10,732.

Why this comparison? PA suburbs of NYC and Philadelphia draw cross-border commuters — comparing NY's 10.9% top against PA's 3.07% flat + local Earned Income Tax.

Frequently asked questions

Which is cheaper to live in: New York or Pennsylvania?

By BEA Regional Price Parity (2024), New York has a cost-of-living index of 113.8 and Pennsylvania is 95.3 (US average = 100). Median household income: New York $81,600, Pennsylvania $73,170. Median 2-bedroom rent: New York $2,350/mo, Pennsylvania $1,450/mo. Pennsylvania is the lower-cost state by this measure.

Does New York or Pennsylvania have lower income tax in 2026?

Pennsylvania has a top income-tax rate of 3.07%; New York has 10.90%. Pennsylvania is lower at the top bracket.

What about property taxes in New York vs Pennsylvania?

New York's average effective property tax rate is 1.62% (e.g., $6,480/year on a $400,000 home). Pennsylvania's rate is 1.53% ($6,120/year on $400K). Pennsylvania has the lower property tax burden.

Where is the minimum wage higher: New York or Pennsylvania?

New York's 2026 minimum wage is $16.50/hour; Pennsylvania's is $7.25/hour. New York is higher.