Virginia taxes and cost of living (2026)
Virginia has a graduated income tax from 2.00% to 5.75%. A $100,000 salary is worth about $66,287 a year in national buying power after every tax and Virginia's prices, #39 of 51 (the state average is $70,397). Retiring on $50,000 a year takes about $1.34M, #39 lowest.
- State income tax
- 2.0%–5.75%
- Sales tax (avg. combined)
- 5.77%
- Property tax (effective)
- 0.71%
- Cost of living
- 101.1
- US = 100
- Social Security taxed?
- No
- Median home
- $404K
Take-home pay in Virginia
Single filer, 10% of salary to a pre-tax 401(k), standard deduction, renting. All taxes include estimated sales tax.
| Salary | Federal | FICA | State + local | All-in tax rate | Take-home | In US dollars |
|---|---|---|---|---|---|---|
| $50,000 | $3,220 | $3,825 | $1,773 | 18.7% | $36,182 | $35,787 |
| $75,000 | $6,020 | $5,738 | $3,067 | 20.8% | $52,675 | $52,100 |
| $100,000 | $10,970 | $7,650 | $4,361 | 24.0% | $67,019 | $66,287 |
| $150,000 | $21,134 | $11,475 | $6,948 | 27.4% | $95,443 | $94,400 |
| $250,000 | $43,304 | $15,514 | $12,123 | 29.4% | $154,059 | $152,376 |
What it takes to retire in Virginia
Married couple, age 60, withdrawals 60% from 401(k)/IRA, 20% Roth, 20% brokerage, no Social Security yet, renting. Spending at US-average prices.
| Spending | At VA prices | Income taxes | All taxes | FI number |
|---|---|---|---|---|
| $40,000 | $40,442 | $329 | $1,157 | $1.02M |
| $60,000 | $60,662 | $1,657 | $2,899 | $1.56M |
| $80,000 | $80,883 | $3,910 | $5,567 | $2.12M |
| $120,000 | $121,325 | $8,885 | $11,371 | $3.26M |
Virginia tax rules at a glance
- Income tax: Virginia has a graduated income tax from 2.00% to 5.75%. Rates and brackets unchanged since 1990. Same brackets for all filing statuses; married brackets are not doubled. The standard deduction stays at $8,750/$17,500 for TY2026. The 2026 Appropriation Act raises it to $9,200/$18,400 in 2027 and $9,300/$18,600 in 2028-2029, then it reverts to $3,000/$6,000 after 2029. Personal exemption is $930 per person; an extra $800 applies if 65+ or blind. Starts from federal AGI.
- Local income tax: No local income taxes.
- Social Security: Not taxed. Social Security and Tier 1 Railroad Retirement are fully subtracted.
- Retirement income: Age deduction of $12,000 per person 65+, covering any income. For those born after 1/1/1939 it is reduced $1 for $1 of adjusted federal AGI over $50,000 (single) or $75,000 (married, combined). Separately, military retirement pay is subtractable up to $40,000 (fully phased in from 2025).
- Capital gains: Taxed as ordinary income (limited subtractions for certain VA-qualified investments).
- Sales tax: 5.30% state rate, 5.77% average with local taxes; groceries taxed at a reduced rate.
Compare Virginia with
Frequently asked questions
Does Virginia have a state income tax?
Virginia has a graduated income tax from 2.00% to 5.75%. Rates and brackets unchanged since 1990. Same brackets for all filing statuses; married brackets are not doubled. The standard deduction stays at $8,750/$17,500 for TY2026. The 2026 Appropriation Act raises it to $9,200/$18,400 in 2027 and $9,300/$18,600 in 2028-2029, then it reverts to $3,000/$6,000 after 2029. Personal exemption is $930 per person; an extra $800 applies if 65+ or blind. Starts from federal AGI.
How much is $100,000 after taxes in Virginia?
A single filer earning $100,000 who puts $10,000 in a 401(k) takes home about $67,019 after federal, state and local income taxes and payroll taxes, an all-in effective rate of 24.0% including estimated sales tax.
Does Virginia tax Social Security?
No. Virginia does not tax Social Security benefits. Social Security and Tier 1 Railroad Retirement are fully subtracted.
How much do you need to retire in Virginia?
To spend $50,000 a year (at US-average prices) with withdrawals mostly from a 401(k)/IRA, you'd need about $1.34M in Virginia using the 4% rule, after its cost of living and taxes.
Is Virginia expensive to live in?
Virginia's cost of living index is 101.1, where the US average is 100 (BEA Regional Price Parities, 2024). The median home is worth about $403,500 and median rent is $1,646 a month.
How this is calculated
- Income taxes use 2026 federal and state brackets, standard deductions and personal exemptions or credits. No itemized deductions or other credits. Local income taxes use a typical statewide rate (for example, Maryland's county taxes or New York City's); many places have none.
- Payroll taxes include Social Security (6.2% up to the wage base), Medicare, and employee-paid state programs such as California SDI or Washington's paid leave premium. A married household salary is treated as two equal earners for payroll-tax caps.
- Cost of living uses the Bureau of Economic Analysis's Regional Price Parities (2024), where the US average is 100. Spending you enter at national prices is scaled by each state's index.
- Sales tax is estimated as the average combined state and local rate on about a third of spending (more where groceries are taxed). It is shown for context but not added to costs, because the price parities already include it. Property tax applies the state's effective rate to its median home value (Census ACS 2024) if you own.
- Retirement solves for the withdrawal that covers your spending plus the taxes it triggers, using each state's treatment of Social Security, retirement-account withdrawals and capital gains, then multiplies by 25 (a 4% withdrawal rate).
- Years to FI starts from zero, adds what you save each year in that state, and grows it at a 5% real return until it reaches that state's FI number.
Estimates for comparison, not tax advice. Your actual taxes depend on deductions, credits, where in the state you live and more. Sources: BEA Regional Price Parities, Census ACS, state sales tax rates, IRS, state revenue departments (per state).