What this tool actually compares
Moving for tax reasons is rarely as simple as comparing two top marginal rates. Your real burden is the effective rate — what you actually pay after social charges, regional surcharges, deductions, family allowances, and any special regime you qualify for. Two countries with the same headline tax can leave you with a 20% gap in net income once everything is layered in.
This calculator runs the full breakdown for any pair of cities worldwide — plus up to two extra destinations side-by-side — and includes all fifty US states with their state and local income taxes. The federal layer, the regional layer (state, autonomous community, canton, Land), the local layer where one exists, and social security from both the employee and the employer side where relevant: the figure you see is the money that ends up in your bank account every month, not the textbook rate that headlines use.
We then run the same comparison against the cost of living in each destination, so you see your real purchasing power. A higher net salary in a more expensive city can leave you worse off than a smaller raise in a cheaper one — that gap only becomes visible when you compute both sides together.
Frequently asked
How is the effective tax rate calculated?
The effective rate is your total income tax plus mandatory social charges, divided by your gross salary. For employees, social security here means the employee-side contribution that comes out of your paycheck, not the employer-side cost the company pays separately. For self-employed and company owners, the calculation includes the personal social charges that fall on you directly, which in several countries can exceed the income-tax line itself.
Why does my real tax burden differ from the headline rate?
Headline rates almost always refer to the top marginal income tax bracket. Three factors push the effective rate below it: progressive brackets mean your first euros are taxed at lower rates, personal allowances and family deductions reduce taxable income, and many countries offer specific deductions for pension contributions, healthcare, or housing. Conversely, three factors push it above: regional and local surcharges, mandatory social security, and the phasing-out of certain allowances at higher incomes.
What is a "special regime" and do I qualify?
Several countries offer time-limited tax regimes designed to attract foreign professionals or returning citizens. The Portuguese NHR/IFICI, the Spanish Beckham Law, the Italian Impatriati, the Dutch 30% ruling, the Belgian expatriate regime, and similar schemes elsewhere can reduce your effective rate by 10 to 25 percentage points for the first 5 to 10 years of residence. Eligibility typically depends on not having been a tax resident in the destination during the prior 5 years, your professional category, and the timing of your arrival. The calculator flags when a regime applies to the cities you selected.
How accurate is the cost-of-living comparison?
Cost data is built from rent indexes centered on neighborhoods where international professionals actually live, grocery and dining baskets, public and private transport, and healthcare. We assume a one-bedroom apartment in a well-connected area and an average single-professional spending pattern. Family households should add roughly 20 to 40% to the housing line and 30 to 50% to the food and healthcare lines depending on the city.
Does this account for capital gains, dividends, and investment income?
The calculation focuses on labor income (salary, self-employment, company ownership). Capital gains, dividend taxation, wealth taxes, and inheritance regimes vary so widely between jurisdictions — and even between regions of the same country — that they require a separate analysis. We cover those in dedicated guides and through tax-advisor matching for users planning a full relocation rather than a salary comparison.
Is this tax advice?
No. The calculator is a comparison tool that produces an estimate based on published rates, allowances, and conventions. Your actual tax position depends on your full financial situation, your residency timeline, double taxation treaties between your origin and destination, and the specific filings required in each jurisdiction. Always verify with a licensed tax advisor before making a relocation decision based on tax outcomes.