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Interstate Relocation: Illinois → Kentucky

Moving from Illinois to Kentucky: Cost & Tax Comparison

Compare state income tax savings, HUD rent differentials, and household purchasing power adjustments when relocating from Illinois to Kentucky.

Data updated · Sources: HUD FY 2027 Fair Market Rents, EPI 2026 Family Budget, 2026 tax tables · Methodology

Effective Tax Rate Change -1.4 pts KY vs IL, $100k single
Annual Tax Savings +$1,423 Federal + FICA + state, $100k
1BR Rent Change -16.1% Avg 1BR $884 vs $1,053/mo
Net Annual Difference +$3,457 Tax savings + 1BR rent savings

What changes when you move from Illinois to Kentucky

Illinois has a flat 4.95% income tax and Kentucky has a flat 3.5% income tax. On a $100,000 salary a single filer pays $4,805 in state income tax in Illinois and $3,382 in state income tax in Kentucky. With federal income tax and FICA unchanged, total tax falls by $1,423 a year after the move. HUD's one-bedroom Fair Market Rent averages $1,053 a month across Illinois's metro areas and $884 across Kentucky's (-16.1%). Pay differs too: the BLS median wage across all occupations, weighted by employment in each state's metros, is $54,104 in Illinois and $47,891 in Kentucky. City and county income taxes, which some localities add, are not included in these state-level figures; the metro routes below include them.

Origin State: Illinois

Illinois Paycheck & Living Costs

Paycheck Living Cost Salaries
Destination State: Kentucky

Kentucky Paycheck & Living Costs

Paycheck Living Cost Salaries
Reverse Corridor Analysis:
Moving from Kentucky to IllinoisNational Relocation Hub

Metropolitan Corridors Between Illinois & Kentucky

Chicago-Naperville-Elgin, IL-IN → Louisville/Jefferson County, KY-IN On $100k: $777 more tax and $8,664 less 1BR rent a year
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Chicago-Naperville-Elgin, IL-IN → Lexington-Fayette, KY On $100k: $1,327 more tax and $6,900 less 1BR rent a year
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Peoria, IL → Louisville/Jefferson County, KY-IN On $100k: $777 more tax and $1,164 more 1BR rent a year
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Peoria, IL → Lexington-Fayette, KY On $100k: $1,327 more tax and $2,928 more 1BR rent a year
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Moving from Illinois to Kentucky: Cost & Tax Comparison Overview

Moving from Illinois to Kentucky on a $100,000 salary: pay $1,423 less in total taxes per year; average one-bedroom rent is $884 vs $1,053 a month (HUD FMR).

Quick answers
How much money will I save moving from Illinois to Kentucky?

For a single filer earning $100,000 with no local income tax, total federal, FICA and state taxes are $1,423 lower in Kentucky than in Illinois (1.4 percentage points of gross pay). The average HUD one-bedroom Fair Market Rent across Kentucky's metros is $884 a month, versus $1,053 in Illinois (-16.1%). Taxes and one-bedroom rent combined change by +$3,457 a year.

What are the key tax differences between Illinois and Kentucky?

Illinois: Flat Tax, top rate 4.95%. Kentucky: Flat Tax, top rate 3.5%. Federal income tax and FICA are the same in both states.