Side-by-side tax comparison between Kentucky (4% top rate) and Mississippi (5% top rate).
| Salary | Kentucky | Mississippi | Difference | Winner |
|---|---|---|---|---|
| $50K | $40,048 | $40,423 | +$375 | Mississippi |
| $75K | $57,928 | $58,490 | +$563 | Mississippi |
| $100K | $74,390 | $75,140 | +$750 | Mississippi |
| $150K | $106,696 | $107,821 | +$1,125 | Mississippi |
| $200K | $140,103 | $141,603 | +$1,500 | Mississippi |
Mississippi offers higher take-home pay at every salary level. Mississippi's 5% top rate is more favorable than Kentucky's 4%. At $100K, the difference is $750/year — that’s $63/month.
However, cost of living matters. Kentucky has a cost index of 90 while Mississippi is at 83. With similar costs of living, the tax difference is the main factor.