Only 3 States Have Higher Taxes Than New York, Study Finds

If you think you'd take home a bigger paycheck living somewhere else, you're probably right. New York effectively takes a 13.72 percent cut from the typical household, the fourth-highest rate in the nation, according to a WalletHub study published Tuesday.

The median U.S. household living in New York would pay $7,648 in taxes in a given year, the personal finance website found. Only three states tax their residents more: Illinois, Connecticut and Nebraska. The median New York household has an even higher bill of $9,759.

WalletHub evaluated state and local tax rates in the 50 states and the District of Columbia to determine how much the typical American household would pay. The ranking accounts for income taxes, real estate taxes, sales and excise taxes and vehicle property taxes.

New York's real estate tax ranks 42nd on the list, meaning those taxes are higher here than in over 80 percent of the U.S. The state's income tax is similarly high, ranking 40th out of 51 entries.

New York does even worse on the ranking when you consider how expensive it is to live here. The state's tax rate is actually the second-highest on the list when cost of living is factored in, WalletHub found.

Smokers get hit especially hard in New York. The state's cigarette taxes are tied with Connecticut's for the highest in the U.S. New York City's minimum price for a pack of cigarettes will rise in June to $13, the highest in the nation.

New York drivers also get taxed more than most of the U.S. The state gas tax is the nation's fifth-highest, ranking below only Pennsylvania, California, Washington and Hawaii. New York doesn't have a vehicle property tax, though, lightening the burden a bit.

Here's the WalletHub's full breakdown of where each state's effective tax rate ranks, going from lowest to highest. Learn more by viewing the full study.

1. Alaska
2. Delaware
3. Montana
4. Nevada
5. Wyoming
6. Tennessee
7. Idaho
8. California
9. Florida
10. South Carolina
11. Oregon
12. Utah
13. Colorado
14. Alabama
15. Arizona
16. South Dakota
17. North Dakota
18. District of Columbia
19. New Hampshire
20. Hawaii
21. West Virginia
22. Louisiana
23. Georgia
24. North Carolina
25. Oklahoma
26. New Mexico
27. Virginia
28. Texas
29. Vermont
30. Missouri
31. Minnesota
32. Massachusetts
33. Washington
34. Maine
35. Indiana
36. Maryland
37. Kentucky
38. Mississippi
39. Arkansas
40. Kansas
41. Pennsylvania
42. Michigan
43. New Jersey
44. Iowa
45. Ohio
46. Wisconsin
47. Rhode Island
48. New York
49. Nebraska
50. Connecticut
51. Illinois

(Lead image: Photo by RomanR/Shutterstock)