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    aman14u's Avatar
    aman14u Posts: 1, Reputation: 1
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    #1

    Feb 6, 2008, 07:24 PM
    Difference in taxes to decide living in NJ and NY
    I will be working in Manhattan, NY and my salary would be around 65k/yr.
    Anyway,I think I would have to pay NY state taxes.But I want to know how much more money I would end up paying NYC taxes if I will be living in NYC rather than living in NJ.

    Thanks in Advance!
    ebaines's Avatar
    ebaines Posts: 12,131, Reputation: 1307
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    #2

    Feb 7, 2008, 12:46 PM
    If you live in Manhattan you will pay NY state tax with a marginal tax rate of 6.85% on your income plus NYC resident tax of another 3.6%.

    If you were to live in NJ, you would pay NY State non-resident tax at that same rate on your salary, and if you have any non-salary income (such as from investments), you will also pay NJ about 5.5% on that. You would not pay the NYC resident tax.

    Bottom line - by moving to NJ you save about 3.6% in taxes on your salary, plus about 1.3% or so on any other sources of taxable income.
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