Cost of Living, Taxes & Financial Comparison (2026)
New York is 5% cheaper to live in than New Jersey overall.
Income Tax
New: 6.85%
New: 6.37%
Property Tax
New: 1.72%
New: 2.49%
Median Home
New: $385,000
New: $435,000
COL Index
New: 117
New: 123
State Income Tax
Top marginal rate
Property Tax Rate
% of home value annually
Median Home Price
2026 estimate
Avg. Insurance Cost
Home insurance annually
Cost of Living Index
100 = national average
Effective Tax Burden
Income + property tax combined
New York taxes income at up to <strong>6.85%</strong>, while New Jersey's top rate is <strong>6.37%</strong>. On property taxes, New York charges 1.72% annually vs 2.49% in New Jersey. On a $385,000 home in New York, that's $6,622/year in property taxes vs $10,832/year on a median-priced home in New Jersey. Overall, New York has the lower combined tax burden.
The median home price in New York is $385,000 compared to $435,000 in New Jersey — a difference of $50,000 (13%). New York offers more affordable homeownership, with lower down payments and monthly mortgage payments. Factor in property tax rates: annual taxes on a median home are $6,622 in New York vs $10,832 in New Jersey.
New York's cost of living index is 117 and New Jersey's is 123 (national average = 100).New York is approximately 5% cheaper overall. Home insurance also varies: New York averages $1,440/year vs $1,440/year in New Jersey. Over 10 years, the cost of living difference could amount to tens of thousands of dollars in savings for residents of New York.
👴 Retirees
→ New York
New York has lower overall tax rates, better for fixed-income retirees.
👨👩👧 Families
→ New York
New York offers more affordable housing, which is critical for families needing space.
💼 High Earners
→ New Jersey
New Jersey has a lower top income tax rate, keeping more of high salaries in your pocket.
💻 Remote Workers
→ New York
New York's lower cost of living (index: 117) lets remote workers maximize purchasing power without sacrificing location.
New York has a lower cost of living index (117 vs 123). New York is approximately 5% cheaper overall.
New York has a 6.85% top income tax rate and 1.72% property tax rate. New Jersey has a 6.37% top income tax rate and 2.49% property tax rate. New York has the lower combined burden.
Median home price in New York is $385,000 vs $435,000 in New Jersey — a 13% difference of $50,000.
Both states have income taxes. New York has the lower overall tax burden, which matters on fixed retirement income.
New York's effective property tax rate is 1.72% vs 2.49% in New Jersey. New York has the lower rate.
New York's cost-of-living index is 117 (US = 100) vs 123 for New Jersey — a gap of 6 index points.
Small-business friendliness depends on income tax (6.85% vs 6.37%), corporate tax, sales tax, and licensing burden. Use the breakdown table on this page; for personalized analysis, consult a CPA.
Data is sourced from the U.S. Census Bureau (ACS), Tax Foundation, BLS OEWS wage tables, Zillow ZHVI, and Freddie Mac PMMS. Each value is timestamped and refreshed via our hourly ETL.
Live series (mortgage rates) refresh hourly. State-level tax tables refresh on each Tax Foundation release. Page caches revalidate every 24 hours via Next.js ISR.
No. This page provides an educational side-by-side using public data and standard formulas. It is not personalized tax, legal, or investment advice. Consult a licensed professional for material decisions.
State income tax shown is the top marginal rate from the Tax Foundation[1] and state DOR publications[3]. Effective rate on median income differs; the "effective tax burden" metric in the comparison table approximates income tax as (top marginal / 2) + property tax rate.
Property tax rate is the effective rate (taxes paid as % of owner-occupied home value)[1]. Actual millage rates vary by county and city; these are statewide averages.
Median home price is the Zillow Home Value Index (ZHVI) statewide typical home value[2].
Cost of Living Index is the BEA Regional Price Parity[4] normalized so 100 = national average.
Homeowners insurance averages are NAIC HO-3 annual premiums[5].
Macro figures (unemployment, real median household income) come from FRED[6] and the Census ACS[7].
"Who wins by group" (retirees, families, high earners, remote workers) is a simplified decision framework; personal circumstances vary.
Last reviewed is the maximum retrievedAt timestamp across the datasets this page consumes.
State data sourced from Tax Foundation[1], U.S. Census Bureau[7], Zillow Research[2], and state revenue agencies[3]. Last reviewed .