How Wyoming taxes a paycheck
Wyoming has never had a personal income tax and has no corporate income tax. No city or county levies one. The state is funded by severance taxes on coal, oil, natural gas and minerals, which still supply a large share of revenue, plus a 4% sales tax (up to 6% with local additions) and property taxes that are among the lowest in the country. The Wyoming Taxpayers Association has estimated that mineral taxes pay for roughly half of what the average household consumes in state services.
That leaves the two federal lines: income tax under the 2026 brackets after the $16,100 standard deduction, and FICA at 7.65% up to the $184,500 wage base. Wyoming has no employee-funded disability or paid leave programme, and its unemployment insurance is paid by employers.
How much taxes are taken out of paychecks in Wyoming?
On a $60,000 salary in 2026, a single filer in Wyoming pays about $5,020 in federal income tax and $4,590 in Social Security and Medicare, a total of $9,610, and nothing to the state. Wyoming take-home pay on that salary is about $50,390 a year, or $1,938 every two weeks.
A married couple on $100,000 pays about $7,600 of federal income tax and $7,650 of FICA and keeps about $84,750; the same couple in neighbouring Colorado would pay a further $2,980 of state tax.
Wyoming compared with its neighbours
Wyoming borders South Dakota, which also taxes no wages, and Montana, Idaho, Utah, Colorado and Nebraska, which do. On a $60,000 single salary those five take about $2,060, $2,070, $1,730, $1,930 and $1,850 respectively. The most-searched pairing is Wyoming against Colorado, whose Front Range cities are an hour from Cheyenne: the gap is about $1,930 at $60,000 and $5,890 at $150,000.
Wyoming's low property taxes make it unusual among the no-tax states, which mostly balance the absence of an income tax with heavy property or sales taxes; the guide to states with no income tax sets out the trade-offs state by state.
Does Wyoming have state income tax?
No. Wyoming has no state income tax on wages or any other personal income, and no corporate income tax, so a Wyoming paycheck has only federal income tax, Social Security and Medicare withheld. Wyoming funds itself through severance taxes on coal, oil, natural gas and minerals, which cover roughly half of state spending, a 4% sales tax with local additions of up to 2%, and property taxes that are among the lowest in the country.
Wyoming's constitution has, since a 1974 amendment, required that any income tax allow a full credit for sales, use and property taxes paid, which in practice makes one unworkable. Wyoming residents who work in Colorado, Montana, Idaho, Utah or Nebraska owe those states' tax on the wages earned there with no home-state credit.