[jrm415]

If you move to CA, you need to pay state tax on your entire earnings, not just your raise. 13.3% of 140k is more than 18k, which is certainly significant.

[ammon]

You're totally correct and I am wrong :)

[EdJiang]

I believe you can deduct state from federal tax, which would save ~2.5% in marginal tax. In addition, social security phases out at ~120k so that's another 7.5% savings. So the difference is almost a wash if I understand correctly?

[seattlefreeze]

Don't forget about AMT. That usually throws a wrench in things.

https://en.wikipedia.org/wiki/Alternative_minimum_tax

[valleyer]

Correct. Specifically, it disallows deduction of state/local taxes from your federal taxable income.

[wwweston]

Wait -- is the assertion here that California state tax rates aren't marginal? Because I don't think that's true.

[snovv_crash]

The difference is that WA doesn't have state income tax.

[jrm415]

CA taxes are marginal. My math was overly simplistic, because I only wanted to illustrate that you needed to pay CA taxes on your full salary.