Ohio's graduated income tax structure starts with a $26,050 full exemption, the first $26,050 of income is taxed at 0%. This zero-bracket makes Ohio significantly more favorable for lower and middle earners than neighboring states. Illinois taxes every dollar at a flat 4.95% with no exemption; a $40,000 earner in Illinois pays $1,980 in state tax while an Ohio resident at the same income pays only $384.
| Annual Salary | Ohio State Tax | Ohio Eff. Rate | IL State Tax (4.95%) | OH Saves vs IL |
|---|---|---|---|---|
| $30,000 | $109 | 0.4% | $1,485 | $1,376/yr |
| $40,000 | $384 | 1.0% | $1,980 | $1,596/yr |
| $65,000 | $1,071 | 1.6% | $3,218 | $2,147/yr |
| $85,000 | $1,621 | 1.9% | $4,208 | $2,587/yr |
| $120,000 | $3,134 | 2.6% | $5,940 | $2,806/yr |
| $150,000 | $3,784 | 2.5% | $7,425 | $3,641/yr |
Ohio tax applied to gross wages. Federal brackets, FICA, and city taxes are identical for both states and excluded from this comparison.
Ohio is one of the few states where nearly every city and municipality levies its own income tax. Unlike Maryland where the local rate is well-documented and statewide, Ohio has hundreds of different local rates, meaning this calculator shows only a partial picture. Residents of Columbus, Cleveland, or Cincinnati will see an additional 1.8%–2.5% withheld from every paycheck that is not captured in the estimate above.
Ohio cities generally tax based on where you work, not where you live, though many cities also tax residents. Workers commuting into Columbus from a suburb may owe Columbus city tax at 2.5% with a partial credit back to their home city.
| City | City Tax Rate | Annual City Tax ($65K) | Monthly City Tax | Combined OH+City Rate* |
|---|---|---|---|---|
| Columbus | 2.50% | $1,625 | $135 | 4.1% |
| Cleveland | 2.50% | $1,625 | $135 | 4.1% |
| Toledo | 2.50% | $1,625 | $135 | 4.1% |
| Akron | 2.50% | $1,625 | $135 | 4.1% |
| Dayton | 2.25% | $1,463 | $122 | 3.9% |
| Cincinnati | 1.80% | $1,170 | $98 | 3.4% |
*Combined OH+City effective rate at $65,000 (Ohio effective 1.65% + city rate). City tax applied to gross wages. School district taxes (0.25%–2%) are additional and also excluded from this calculator.
Researches and verifies the formulas, methodology, and source data behind each calculator on CalculatorFlux. All tools are built and checked against the cited references before publication.