Iowa and Minnesota at a glance
Iowa and Minnesota share a border, but a paycheck does not travel across it unchanged. A $60,000 salary leaves $30,585 a year after taxes and the four basics in Iowa and $26,046 in Minnesota.
Iowa comes out ahead by $4,540 a year ($378 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 3,210,507 people in 99 counties in Iowa and 5,739,445 people in 87 counties in Minnesota.
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 $2,240 in Iowa and $2,591 in Minnesota, which leaves take-home pay of $48,099 and $47,747.
At $100,000
At $100,000 take-home pay is $75,141 in Iowa and $73,590 in Minnesota, a difference of $1,551. The gap widens with income because graduated state brackets take a growing share.
Living costs
One-bedroom rent averages $902 a month in Iowa and $1,231 in Minnesota, so Iowa is $329 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 $1,811 and $2,041, and gasoline $1,445 and $1,458. Together the basics cost $17,513 a year in Iowa and $21,702 in Minnesota.
What the Census adds
Median household income is $75,059 in Iowa and $89,062 in Minnesota. Homeowners pay a median of $2,897 a year in property tax in Iowa and $3,357 in Minnesota. Commuters travel 19.8 minutes each way on average in Iowa and 22.7 in Minnesota.
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.