Arkansas vs Tennessee Paycheck Comparison 2026
Annual salary
Annual salary
Additional options (filing status, deductions)
$2,383 /yr more take-home in Tennessee
$199/mo · $92 a paycheck.
Arkansas
Tennessee
$59,209/yr in Arkansas vs $61,593/yr in Tennessee.
Arkansas
Take-home per paycheck
$2,277.28
$59,209/yr · 26x/yr
Tax rates
Tennessee
Take-home per paycheck
$2,368.94
$61,593/yr · 26x/yr
Tax rates
What this paycheck affords in Arkansas vs Tennessee
Sized off $4,934/mo take-home in Arkansas and $5,133/mo in Tennessee. Every figure below is a spending rule of thumb, not a tax rule.
Purchasing power
$59,209 is what Arkansas take-home is worth at Tennessee prices
Against $61,593 actually paid in Tennessee, leaving Tennessee $2,384/yr ahead once cost of living is taken off.
Rent
$51 /mo more for a two-bedroom in Tennessee
$1,103/mo in Arkansas, $1,154/mo in Tennessee.
The average two-bedroom takes 22% of take-home in Arkansas and 22% in Tennessee — inside the comfortable range in both.
Buying a home
$115,000 more for the median home in Tennessee
$195,000 in Arkansas, $310,000 in Tennessee.
This salary covers the median home in Arkansas; the Tennessee median is 1.1× what it supports. Lenders size a mortgage off gross pay, so the budgets start from $75,000 at a 28% debt-to-income ratio, 6.75% over 30 years, each with its own state property tax rate.
What's left each month
$186 /mo more left over in Tennessee
Arkansas has $1,592/mo spare; Tennessee has $1,778/mo spare.
Both paychecks cover the local average for everything. Splitting rent with one roommate would free up $552/mo in Arkansas and $577/mo in Tennessee.
Monthly cost by expense class
Every class on one scale, so housing's share of the month stays visible. Housing is the measured average two-bedroom; the rest are BLS Consumer Expenditure Survey averages moved by each state's cost-of-living index.
Other costs
| Cost | Arkansas | Tennessee |
|---|---|---|
| Regular gas | $3.05/gal | $3.14/gal |
| Electricity | $85/mo | $97/mo |
| Infant childcare | $739/mo | $1,021/mo |
Childcare sits outside the budget above because it applies to some households and not others — on its own it is 15% of take-home in Arkansas and 20% in Tennessee.
Sources: MERIC/C2ER Cost of Living Index (2025), AAA Fuel Gauge Report (2025), EIA State Electricity Profiles (2024), Child Care Aware of America (2024), Zillow Home Value Index (2025), BEA Regional Price Parities (2024)
Estimate based on 2026 tax rates and standard deductions. Does not include local taxes, itemized deductions, tax credits, or other individual circumstances.
Tax system comparison
Arkansas: Arkansas uses a progressive income tax with 5 brackets ranging from 0.00% to 3.90%.
Tennessee: Tennessee has no state income tax. Residents pay only federal income tax, Social Security, and Medicare.
Take-home pay at different salaries (single filer, 2026)
| Salary | Arkansas take-home | Tennessee take-home | Difference |
|---|---|---|---|
| $50,000 | $40,947 | $42,355 | -$1,408 |
| $75,000 | $59,209 | $61,593 | -$2,383 |
| $100,000 | $75,822 | $79,180 | -$3,358 |
| $150,000 | $108,483 | $113,791 | -$5,308 |
| $200,000 | $141,669 | $148,927 | -$7,258 |
| $300,000 | $204,019 | $215,177 | -$11,158 |
Positive values mean higher take-home in Arkansas. Assumes single filer, no deductions.
FAQ
Which state has lower taxes, Arkansas or Tennessee?
At a $100,000 salary, Tennessee results in $3,358 more annual take-home pay. Arkansas uses a progressive income tax with 5 brackets ranging from 0.00% to 3.90%. Tennessee has no state income tax. Residents pay only federal income tax, Social Security, and Medicare.
How much more do you take home in Tennessee vs the other state?
The difference depends on salary. At $50,000, the gap is $1,408/yr. At $150,000, it grows to $5,308/yr. At $300,000, the difference is $11,158/yr.
Do Arkansas and Tennessee have the same federal taxes?
Yes. Federal income tax, Social Security, and Medicare are the same in every state. Only state income tax differs. This calculator shows the combined effect of federal and state taxes on your take-home pay.
Is it cheaper to live in Arkansas or Tennessee?
Arkansas is cheaper to live in. Cost of living in Arkansas is 4% lower than in Tennessee. Arkansas's Regional Price Parity is 87 and Tennessee's is 90.7 (US average = 100).
Is Arkansas cheaper than Tennessee?
Yes. Arkansas has a lower cost of living than Tennessee (index 87 vs 90.7). Housing is typically the biggest difference between the two states.
Is Tennessee more expensive than Arkansas?
Yes. Tennessee has a higher cost of living (index 90.7) compared to Arkansas (index 87). The national average is 100. Housing costs are typically the largest driver of the difference.
After cost of living, which state is actually cheaper?
At a $100,000 salary, take-home pay of $75,822 in Arkansas has the purchasing power of $72,729 in Tennessee terms. Conversely, $79,180 in Tennessee equals $82,547 in Arkansas terms. After adjusting for both taxes and cost of living, Tennessee comes out ahead.
Arkansas vs Tennessee cost of living — what's the difference?
The overall cost of living is 4% different between Arkansas and Tennessee. Living costs are 13% below the national average Living costs are 9% below the national average After taxes and cost of living, Tennessee gives you more purchasing power on a $100,000 salary.
Do I need to file state tax returns in both Arkansas and Tennessee?
Arkansas requires residents to file a state income tax return annually, typically due April 15. Tennessee has no state income tax, so residents do not file a state tax return. If you move between states mid-year, you typically file a part-year resident return in each state for the income earned while living there. Each state has its own tax return form — check your state's department of revenue website for the correct form and e-filing options.
Related tools
- Arkansas vs Tennessee Cost of Living — Compare housing, groceries, utilities, and overall expenses
- Arkansas Cost of Living — Housing, groceries, gas, and overall index
- Tennessee Cost of Living — Housing, groceries, gas, and overall index
- How much house can you afford in Arkansas?
- How much house can you afford in Tennessee?
- Arkansas Tax Brackets — See 2026 marginal rates and effective tax rate
- Tennessee Tax Brackets — See 2026 marginal rates and effective tax rate
- Arkansas Bonus Tax Calculator — See how bonuses are taxed differently
- Tennessee Bonus Tax Calculator — See how bonuses are taxed differently
- Pay Raise Calculator — See how a raise changes your take-home pay
- Gross-Up Calculator — Find the salary you need to hit a target take-home
- Salary to Hourly Converter — Convert annual salary to hourly rate
- Mortgage Calculator — Estimate monthly payments with local rates
Arkansas Paycheck Estimator · Tennessee Paycheck Estimator · All states