Bottom line: Yes - moving from New York to New Jersey lowers your state income tax. On a $75,000 salary you would keep about $869 more per year.
| Salary (single) | New York tax | New Jersey tax | Difference |
|---|---|---|---|
| $50,000 | $2,145 | $1,270 | Save $875 |
| $75,000 | $3,520 | $2,651 | Save $869 |
| $100,000 | $4,952 | $4,244 | Save $708 |
| $150,000 | $7,952 | $7,429 | Save $523 |
| $250,000 | $14,178 | $13,799 | Save $379 |
New York: New York has a top rate of 10.9%. New York City residents pay an additional city income tax of 3.078% to 3.876%.
New Jersey: New Jersey does not have a standard deduction but offers personal exemptions. It has high property taxes, making SALT deductions significant.
Your state income tax is set by where you are a resident, not where your employer is. To stop paying New York tax you must genuinely establish residency in New Jersey - register to vote, change your driver's license and car registration, move your primary home, and spend more than half the year there. High-tax states like New York audit departing high earners, so keep records of your move date.
In the year you move you typically file a part-year resident return in both states: New York taxes income earned while you lived there, New Jersey taxes the rest. Remote workers should note that a handful of states tax income sourced to the state even for non-residents - check before assuming a clean break.
New Jersey has a graduated state income tax, with a top rate of 10.75%.
On a $75,000 single-filer salary, the state income tax difference is about $869/year (in your favor). Use the calculator for your exact income.
Once you establish residency in New Jersey and break New York residency, new income is taxed by New Jersey. New York can still tax income earned while you were a resident - file a part-year return for the move year.
New York tax calculator · New Jersey tax calculator · Paycheck calculator
Estimates use 2026 state brackets and the standard deduction for a single filer; they exclude local taxes, credits and federal tax. Verify with a tax professional before relocating.