What the Richest 1% Pay in Taxes in Your State

Do the wealthy get away with not paying their fair share of taxes? Sens. Bernie Sanders and Elizabeth Warren have both proposed a wealth tax on the ultra-rich. Even multibillionaire Warren Buffett has said that wealthy Americans such as himself should be taxed at a higher rate.

Currently, the top federal income tax rate is 37% for 2019 returns. It applies to incomes of $510,301 and higher for single taxpayers and $612,351 and higher for couples filing jointly. But the top marginal tax rate has been much higher throughout U.S. history. It peaked at 94% in 1944 and 1945, according to the Tax Policy Center. The lowest it has been in recent history was 28% in the late 1980s under former President Ronald Reagan.

So, the wealthy have been taxed more in the past, but they’ve also been taxed less than they are now. Whether the rich pay their fair share of taxes is still up for debate, but they do pay a disproportionate share of taxes in the U.S. The top 1% of taxpayers — those who earn $515,371 or more — paid 38.47% of the total tax revenue collected in 2017, according to the latest figures from the IRS. That’s actually a greater share than what the bottom 90% of taxpayers paid in total, at 29.92%.

And that’s just the federal share of taxes. To find the total tax burden on the top 1%, GOBankingRates analyzed 2019 data from the Tax Foundation on federal and state income tax rates for single filers and married couples filing jointly. The average annual income of the top 1% was sourced from the Economic Policy Institute. GOBankingRates then calculated both the effective and marginal tax rates on the top 1% in every state using an in-house calculator. The study also found how much the top 1% spends on sales taxes by looking at information from the Bureau of Labor Statistics and the Missouri Economic Research and Information Center. Property tax was excluded due to the lack of consistent data for home values of the top 1% in every state.

Not surprisingly, GOBankingRates found that the tax burden on the top 1% varies greatly from state to state. However, in almost every state, at least 30% of the wealthiest taxpayers’ incomes go toward taxes. The study is ranked from lowest to highest average income of the top 1%. Take a look at this state-by-state breakdown of how much the rich pay in taxes.

Last updated: July 8, 2020

50. West Virginia

• Average income of the top 1%: $535,648
• Single filers:
  • Total income and sales taxes paid: $197,901
  • Tax burden: 36.95%
• Married couples filing jointly:
  • Total income and sales taxes paid: $167,769
  • Tax burden: 31.32%
• Income needed to make the top 1%: $258,078

49. Mississippi

• Average income of the top 1%: $580,461
• Single filers:
  • Total income and sales taxes paid: $209,941
  • Tax burden: 36.17%
• Married couples filing jointly:
  • Total income and sales taxes paid: $179,095
  • Tax burden: 30.85%
• Income needed to make the top 1%: $254,362

48. New Mexico

• Average income of the top 1%: $615,082
• Single filers:
  • Total income and sales taxes paid: $224,821
  • Tax burden: 36.55%
• Married couples filing jointly:
  • Total income and sales taxes paid: $193,166
  • Tax burden: 31.40%
• Income needed to make the top 1%: $255,429

47. Maine

• Average income of the top 1%: $655,870
• Single filers:
  • Total income and sales taxes paid: $255,733
  • Tax burden: 38.99%
• Married couples filing jointly:
  • Total income and sales taxes paid: $223,085
  • Tax burden: 34.01%
• Income needed to make the top 1%: $303,897

46. Kentucky

• Average income of the top 1%: $719,012
• Single filers:
  • Total income and sales taxes paid: $267,886
  • Tax burden: 37.26%
• Married couples filing jointly:
  • Total income and sales taxes paid: $235,914
  • Tax burden: 32.81%
• Income needed to make the top 1%: $274,818

45. Alabama

• Average income of the top 1%: $743,644
• Single filers:
  • Total income and sales taxes paid: $281,033
  • Tax burden: 37.79%
• Married couples filing jointly:
  • Total income and sales taxes paid: $249,021
  • Tax burden: 33.49%
• Income needed to make the top 1%: $297,564

44. South Carolina

• Average income of the top 1%: $761,185
• Single filers:
  • Total income and sales taxes paid: $301,827
  • Tax burden: 39.65%
• Married couples filing jointly:
  • Total income and sales taxes paid: $269,611
  • Tax burden: 35.42%
• Income needed to make the top 1%: $318,463

43. Iowa

• Average income of the top 1%: $788,419
• Single filers:
  • Total income and sales taxes paid: $324,726
  • Tax burden: 41.19%
• Married couples filing jointly:
  • Total income and sales taxes paid: $292,323
  • Tax burden: 37.08%
• Income needed to make the top 1%: $331,572

42. Hawaii

• Average income of the top 1%: $797,001
• Single filers:
  • Total income and sales taxes paid: $345,741
  • Tax burden: 43.38%
• Married couples filing jointly:
  • Total income and sales taxes paid: $307,415
  • Tax burden: 38.57%
• Income needed to make the top 1%: $310,566

Find Out: How Much You Need To Be In the Top 5% in Every State

41. Indiana

• Average income of the top 1%: $804,275
• Single filers:
  • Total income and sales taxes paid: $290,508
  • Tax burden: 36.12%
• Married couples filing jointly:
  • Total income and sales taxes paid: $258,753
  • Tax burden: 32.17%
• Income needed to make the top 1%: $316,756

40. Louisiana

• Average income of the top 1%: $814,386
• Single filers:
  • Total income and sales taxes paid: $318,246
  • Tax burden: 39.08%
• Married couples filing jointly:
  • Total income and sales taxes paid: $284,903
  • Tax burden: 34.98%
• Income needed to make the top 1%: $318,393

39. Vermont

• Average income of the top 1%: $816,579
• Single filers:
  • Total income and sales taxes paid: $336,217
  • Tax burden: 41.17%
• Married couples filing jointly:
  • Total income and sales taxes paid: $301,784
  • Tax burden: 36.96%
• Income needed to make the top 1%: $321,969

38. Idaho

• Average income of the top 1%: $829,268
• Single filers:
  • Total income and sales taxes paid: $329,845
  • Tax burden: 39.78%
• Married couples filing jointly:
  • Total income and sales taxes paid: $297,372
  • Tax burden: 35.86%
• Income needed to make the top 1%: $314,532

37. Montana

• Average income of the top 1%: $855,976
• Single filers:
  • Total income and sales taxes paid: $334,819
  • Tax burden: 39.12%
• Married couples filing jointly:
  • Total income and sales taxes paid: $302,615
  • Tax burden: 35.35%
• Income needed to make the top 1%: $321,849

36. Ohio

• Average income of the top 1%: $858,965
• Single filers:
  • Total income and sales taxes paid: $325,232
  • Tax burden: 37.86%
• Married couples filing jointly:
  • Total income and sales taxes paid: $293,260
  • Tax burden: 34.14%
• Income needed to make the top 1%: $334,979

Learn More: 5 Common Reasons You Might Owe Taxes This Year

35. Arkansas

• Average income of the top 1%: $864,772
• Single filers:
  • Total income and sales taxes paid: $347,058
  • Tax burden: 40.13%
• Married couples filing jointly:
  • Total income and sales taxes paid: $314,855
  • Tax burden: 36.41%
• Income needed to make the top 1%: $255,050

34. Delaware

• Average income of the top 1%: $869,461
• Single filers:
  • Total income and sales taxes paid: $337,737
  • Tax burden: 38.84%
• Married couples filing jointly:
  • Total income and sales taxes paid: $305,571
  • Tax burden: 35.14%
• Income needed to make the top 1%: $340,770

33. Arizona

• Average income of the top 1%: $882,657
• Single filers:
  • Total income and sales taxes paid: $334,508
  • Tax burden: 37.90%
• Married couples filing jointly:
  • Total income and sales taxes paid: $301,445
  • Tax burden: 34.15%
• Income needed to make the top 1%: $331,074

32. North Carolina

• Average income of the top 1%: $902,972
• Single filers:
  • Total income and sales taxes paid: $348,488
  • Tax burden: 38.59%
• Married couples filing jointly:
  • Total income and sales taxes paid: $316,486
  • Tax burden: 35.05%
• Income needed to make the top 1%: $343,066

31. Oregon

• Average income of the top 1%: $908,898
• Single filers:
  • Total income and sales taxes paid: $384,165
  • Tax burden: 42.27%
• Married couples filing jointly:
  • Total income and sales taxes paid: $350,221
  • Tax burden: 38.53%
• Income needed to make the top 1%: $358,937

30. Alaska

• Average income of the top 1%: $910,059
• Single filers:
  • Total income and sales taxes paid: $299,623
  • Tax burden: 32.92%
• Married couples filing jointly:
  • Total income and sales taxes paid: $268,262
  • Tax burden: 29.48%
• Income needed to make the top 1%: $400,017

29. Michigan

• Average income of the top 1%: $917,701
• Single filers:
  • Total income and sales taxes paid: $344,330
  • Tax burden: 37.52%
• Married couples filing jointly:
  • Total income and sales taxes paid: $312,449
  • Tax burden: 34.05%
• Income needed to make the top 1%: $328,649

28. Rhode Island

• Average income of the top 1%: $928,204
• Single filers:
  • Total income and sales taxes paid: $365,307
  • Tax burden: 39.36%
• Married couples filing jointly:
  • Total income and sales taxes paid: $333,214
  • Tax burden: 35.90%
• Income needed to make the top 1%: $346,657

27. Oklahoma

• Average income of the top 1%: $932,520
• Single filers:
  • Total income and sales taxes paid: $359,662
  • Tax burden: 38.57%
• Married couples filing jointly:
  • Total income and sales taxes paid: $327,523
  • Tax burden: 35.12%
• Income needed to make the top 1%: $333,139

26. Missouri

• Average income of the top 1%: $944,804
• Single filers:
  • Total income and sales taxes paid: $368,117
  • Tax burden: 38.96%
• Married couples filing jointly:
  • Total income and sales taxes paid: $336,096
  • Tax burden: 35.57%
• Income needed to make the top 1%: $326,839

25. Nebraska

• Average income of the top 1%: $945,869
• Single filers:
  • Total income and sales taxes paid: $380,272
  • Tax burden: 40.20%
• Married couples filing jointly:
  • Total income and sales taxes paid: $347,165
  • Tax burden: 36.70%
• Income needed to make the top 1%: $363,310

Find Out: What Can I Write Off on My Taxes?

24. Tennessee

• Average income of the top 1%: $947,021
• Single filers:
  • Total income and sales taxes paid: $338,610
  • Tax burden: 35.76%
• Married couples filing jointly:
  • Total income and sales taxes paid: $307,005
  • Tax burden: 32.42%
• Income needed to make the top 1%: $332,913

23. Wisconsin

• Average income of the top 1%: $964,358
• Single filers:
  • Total income and sales taxes paid: $391,900
  • Tax burden: 40.64%
• Married couples filing jointly:
  • Total income and sales taxes paid: $358,308
  • Tax burden: 37.16%
• Income needed to make the top 1%: $349,905

22. Georgia

• Average income of the top 1%: $995,576
• Single filers:
  • Total income and sales taxes paid: $392,335
  • Tax burden: 39.41%
• Married couples filing jointly:
  • Total income and sales taxes paid: $360,209
  • Tax burden: 36.18%
• Income needed to make the top 1%: $371,811

21. Kansas

• Average income of the top 1%: $1,034,676
• Single filers:
  • Total income and sales taxes paid: $409,258
  • Tax burden: 39.55%
• Married couples filing jointly:
  • Total income and sales taxes paid: $376,666
  • Tax burden: 36.40%
• Income needed to make the top 1%: $375,344

Read: 20 Things To Know About the New Tax Deadline

20. Utah

• Average income of the top 1%: $1,057,066
• Single filers:
  • Total income and sales taxes paid: $410,782
  • Tax burden: 38.86%
• Married couples filing jointly:
  • Total income and sales taxes paid: $378,816
  • Tax burden: 35.84%
• Income needed to make the top 1%: $374,467

19. North Dakota

• Average income of the top 1%: $1,080,845
• Single filers:
  • Total income and sales taxes paid: $396,093
  • Tax burden: 36.65%
• Married couples filing jointly:
  • Total income and sales taxes paid: $363,823
  • Tax burden: 33.66%
• Income needed to make the top 1%: $445,415

18. Pennsylvania

• Average income of the top 1%: $1,100,962
• Single filers:
  • Total income and sales taxes paid: $408,169
  • Tax burden: 37.07%
• Married couples filing jointly:
  • Total income and sales taxes paid: $376,433
  • Tax burden: 34.19%
• Income needed to make the top 1%: $388,593

17. Virginia

• Average income of the top 1%: $1,109,984
• Single filers:
  • Total income and sales taxes paid: $440,250
  • Tax burden: 39.66%
• Married couples filing jointly:
  • Total income and sales taxes paid: $408,187
  • Tax burden: 36.77%
• Income needed to make the top 1%: $425,144

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16. South Dakota

• Average income of the top 1%: $1,130,048
• Single filers:
  • Total income and sales taxes paid: $385,273
  • Tax burden: 34.09%
• Married couples filing jointly:
  • Total income and sales taxes paid: $353,912
  • Tax burden: 31.32%
• Income needed to make the top 1%: $407,406

15. New Hampshire

• Average income of the top 1%: $1,134,101
• Single filers:
  • Total income and sales taxes paid: $436,186
  • Tax burden: 38.46%
• Married couples filing jointly:
  • Total income and sales taxes paid: $404,214
  • Tax burden: 35.64%
• Income needed to make the top 1%: $405,286

14. Maryland

• Average income of the top 1%: $1,135,718
• Single filers:
  • Total income and sales taxes paid: $452,083
  • Tax burden: 39.81%
• Married couples filing jointly:
  • Total income and sales taxes paid: $419,458
  • Tax burden: 36.93%
• Income needed to make the top 1%: $445,783

13. Minnesota

• Average income of the top 1%: $1,185,581
• Single filers:
  • Total income and sales taxes paid: $518,411
  • Tax burden: 43.73%
• Married couples filing jointly:
  • Total income and sales taxes paid: $482,919
  • Tax burden: 40.73%
• Income needed to make the top 1%: $443,118

Check Out: 18 Medical Expenses You Can Deduct From Your Taxes

12. Colorado

• Average income of the top 1%: $1,261,053
• Single filers:
  • Total income and sales taxes paid: $493,452
  • Tax burden: 39.13%
• Married couples filing jointly:
  • Total income and sales taxes paid: $461,526
  • Tax burden: 36.60%
• Income needed to make the top 1%: $458,576

11. Texas

• Average income of the top 1%: $1,343,897
• Single filers:
  • Total income and sales taxes paid: $465,868
  • Tax burden: 34.67%
• Married couples filing jointly:
  • Total income and sales taxes paid: $434,507
  • Tax burden: 32.33%
• Income needed to make the top 1%: $440,758

10. Nevada

• Average income of the top 1%: $1,354,780
• Single filers:
  • Total income and sales taxes paid: $470,996
  • Tax burden: 34.77%
• Married couples filing jointly:
  • Total income and sales taxes paid: $439,635
  • Tax burden: 32.45%
• Income needed to make the top 1%: $341,335

9. Washington

• Average income of the top 1%: $1,383,223
• Single filers:
  • Total income and sales taxes paid: $483,327
  • Tax burden: 34.94%
• Married couples filing jointly:
  • Total income and sales taxes paid: $451,966
  • Tax burden: 32.67%
• Income needed to make the top 1%: $451,395

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8. Illinois

• Average income of the top 1%: $1,412,024
• Single filers:
  • Total income and sales taxes paid: $561,576
  • Tax burden: 39.77%
• Married couples filing jointly:
  • Total income and sales taxes paid: $529,611
  • Tax burden: 37.51%
• Income needed to make the top 1%: $456,377

7. Florida

• Average income of the top 1%: $1,543,124
• Single filers:
  • Total income and sales taxes paid: $538,935
  • Tax burden: 34.92%
• Married couples filing jointly:
  • Total income and sales taxes paid: $507,574
  • Tax burden: 32.89%
• Income needed to make the top 1%: $417,587

6. New Jersey

• Average income of the top 1%: $1,581,829
• Single filers:
  • Total income and sales taxes paid: $680,304
  • Tax burden: 43.01%
• Married couples filing jointly:
  • Total income and sales taxes paid: $645,934
  • Tax burden: 40.83%
• Income needed to make the top 1%: $588,575

5. California

• Average income of the top 1%: $1,693,094
• Single filers:
  • Total income and sales taxes paid: $798,797
  • Tax burden: 47.18%
• Married couples filing jointly:
  • Total income and sales taxes paid: $751,034
  • Tax burden: 44.36%
• Income needed to make the top 1%: $514,694

See: What Is a Tax Deduction and How Do Tax Deductions Work?

4. Wyoming

• Average income of the top 1%: $1,900,659
• Single filers:
  • Total income and sales taxes paid: $669,610
  • Tax burden: 35.23%
• Married couples filing jointly:
  • Total income and sales taxes paid: $638,249
  • Tax burden: 33.58%
• Income needed to make the top 1%: $405,596

3. Massachusetts

• Average income of the top 1%: $1,904,805
• Single filers:
  • Total income and sales taxes paid: $769,639
  • Tax burden: 40.41%
• Married couples filing jointly:
  • Total income and sales taxes paid: $737,661
  • Tax burden: 38.73%
• Income needed to make the top 1%: $582,774

2. New York

• Average income of the top 1%: $2,202,480
• Single filers:
  • Total income and sales taxes paid: $958,503
  • Tax burden: 43.52%
• Married couples filing jointly:
  • Total income and sales taxes paid: $903,928
  • Tax burden: 41.04%
• Income needed to make the top 1%: $550,174

1. Connecticut

• Average income of the top 1%: $2,522,806
• Single filers:
  • Total income and sales taxes paid: $1,074,605
  • Tax burden: 42.60%
• Married couples filing jointly:
  • Total income and sales taxes paid: $1,038,991
  • Tax burden: 41.18%
• Income needed to make the top 1%: $700,800

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Methodology: To find the tax burden on the richest 1% in every state, GOBankingRates used the “Income Inequality in the United States” study from the Economic Policy Institute to source the average annual income of the top 1% in every state. GOBankingRates then sourced both the federal and state tax brackets for 2019 from the Tax Foundation. GOBankingRates used an in-house income tax calculator to find both the effective and marginal tax rates on the average income of the top 1% in every state. These calculations were done for taxpayers filing as a single person and for a married couple filing jointly. GOBankingRates then used the 2018 Consumer Expenditure Survey by income decile from the Bureau of Labor Statistics to find the annual expenditure for the top 10% income decile (minus shelter and healthcare) and the Cost of Living Data series from the Missouri Economic Research and Information Center to find the annual expenditure of the top 10% in each state. The annual expenditure of each state was then multiplied by each state’s average combined sales tax (the state rate plus the average local rate) to give the total dollars spent on sales tax for each state. To figure out the total tax burden, GOBankingRates combined the total spent on federal and state income taxes plus the total spent on sales tax annually divided by average income. Property tax was not included due to the lack of consistent data for home values of the top 1% in every state. The standard deduction was used when calculating income tax rates. All data used to conduct this study was compiled and verified on Jan. 24, 2020, and is subject to change.

About the Author

Cameron Huddleston

Cameron Huddleston is an award-winning journalist with more than 18 years of experience writing about personal finance. Her work has appeared in Kiplinger’s Personal Finance, Business Insider, Chicago Tribune, Fortune, MSN, USA Today and many more print and online publications. She also is the author of Mom and Dad, We Need to Talk: How to Have Essential Conversations With Your Parents About Their Finances.

U.S. News & World Report named her one of the top personal finance experts to follow on Twitter, and AOL Daily Finance named her one of the top 20 personal finance influencers to follow on Twitter. She has appeared on CNBC, CNN, MSNBC and “Fox & Friends” and has been a guest on ABC News Radio, Wall Street Journal Radio, NPR, WTOP in Washington, D.C., KGO in San Francisco and other personal finance radio shows nationwide. She also has been interviewed and quoted as an expert in The New York Times, Chicago Tribune, Forbes, MarketWatch and more.

She has an MA in economic journalism from American University and BA in journalism and Russian studies from Washington & Lee University.

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