Arkansas and Mississippi at a glance
Arkansas and Mississippi share a border, but a paycheck does not travel across it unchanged. A $60,000 salary leaves $30,996 a year after taxes and the four basics in Arkansas and $30,557 in Mississippi.
Arkansas comes out ahead by $439 a year ($37 a month). The calculation starts from the same gross pay in both states, subtracts federal tax, Social Security and Medicare, then each state's own income tax, and then the population-weighted cost of a one-bedroom rental, groceries, home energy and gasoline across 3,049,391 people in 75 counties in Arkansas and 2,946,779 people in 82 counties in Mississippi.
Taxes: what each paycheck loses
Federal income tax ($5,072) and FICA ($4,590) on $60,000 are the same on both sides of the border. State income tax takes $2,132 in Arkansas and $1,835 in Mississippi, which leaves take-home pay of $48,207 and $48,504.
At $100,000
At $100,000 take-home pay is $75,209 in Arkansas and $75,306 in Mississippi, a difference of $97. The gap does not widen much with income because the two states tax at similar rates.
Living costs
One-bedroom rent averages $873 a month in Arkansas and $928 in Mississippi, so Arkansas is $55 a month cheaper for housing. Food costs $3,436 a year in both, because the USDA Thrifty Food Plan is a national figure; home energy $1,944 and $2,028, and gasoline $1,354 and $1,342. Together the basics cost $17,211 a year in Arkansas and $17,947 in Mississippi.
What the Census adds
Median household income is $60,773 in Arkansas and $56,447 in Mississippi. Homeowners pay a median of $1,040 a year in property tax in Arkansas and $1,215 in Mississippi. Commuters travel 22.5 minutes each way on average in Arkansas and 25.6 in Mississippi.
Method
Taxes use the 2025 rules for a single filer with wage income only and the standard deduction. Housing and living costs are county figures from HUD (one-bedroom Fair Market Rent), the USDA Thrifty Food Plan and state energy prices from the Energy Information Administration, averaged across each state's counties and weighted by population, so large counties count more. Local income taxes are not included. Counties differ widely inside every state, so use the county pages for a specific place.