Illinoisflat 4.95% income tax, 5th highest property tax, median home $275K

D+14 · High tax burden · COL index 92

4.95%

Income Tax

413

Violent Crime / 100K

77.2

Life Expectancy

$275K

Median Home

$1,650

Childcare / Mo

Illinois in plain English

Worth knowing before you move to Illinois

Illinois exempts all retirement income from its flat 4.95% income tax: Social Security, pensions, 401(k) and IRA withdrawals are untaxed. It offsets that with the second-highest property taxes in the country and an estate tax that starts at $4 million, well below the federal threshold. Chicago and the collar counties hold two-thirds of the population; downstate is a different housing market.

What Illinois taxes, and what it doesn't

Illinois levies a flat 4.95% income tax. A household earning $75,000 pays an effective 5.0%, about $3,713 a year; at $150,000 the effective rate is 5.0%. Among the 41 states that tax income, Illinois has the 21st highest effective rate at $100,000 of income.

Property tax runs 1.73% of home value a year, roughly $4,758 on the state's median home of $275K. The national effective rate is about 1.10%, and Illinois has the 5th highest rate of the 50 states.

Combined state and local sales tax averages 8.82%, the 8th highest in the country (the state portion is 6.25%).

For retirees: Social Security benefits are not taxed, pension income is fully exempt, and an estate tax applies above $4 million.

Capital gains are taxed as ordinary income.

Housing and the cost of living in Illinois

Illinois's cost of living index is 92, where 100 is the national average; that is the 17th cheapest of the 50 states.

The median home costs $275K, 9% below the national figure and the 17th lowest among the states. A two-bedroom rents for about $1,400 a month.

Carrying costs matter as much as the price: home insurance averages $1,900 a year, flood coverage adds about $650 where it is needed, car insurance runs $1,650.

Budget $145 a month for electricity and gas, $510 a month in groceries for two, $1,650 a month for full-time infant care.

Safety, health and schools

Violent crime is 413 incidents per 100,000 residents in the FBI's 2023 Crime Data Explorer figures, above the median state (387); Illinois is the 19th most violent of the 50 by that measure. Property crime is 1,666 per 100,000.

Life expectancy is 77.2 years (County Health Rankings 2024). 7.4% of residents have no health insurance, and the state has expanded Medicaid. The Commonwealth Fund's 2023 scorecard ranks Illinois's health system 20th of 50.

Education Week's 2023 Quality Counts report ranks K-12 schools 16th in the country.

Politics, guns and social policy

Politically, Illinois is a solidly Democratic state that went to Harris by 14 points in 2024.

On guns, concealed-carry permits are shall-issue, a permit is required to buy a handgun, and Giffords grades the state's gun laws A.

Abortion is protected by state law. Marijuana is legal for adults. Illinois is not a right-to-work state, and the minimum wage is $14.00 an hour.

Climate, risk and getting around

Natural disaster risk is moderate. The main hazards are tornado, flood, blizzard. Annual average air quality index is 45 (under 50 is good).

Illinois has a major hub airport, with about 200 nonstop destinations from its busiest airport.

Written from the figures on this page. Rankings compare the 50 states. Sources and years are listed with each figure below.

Largest counties in Illinois

Cook County DuPage County Lake County Will County Kane County McHenry County Winnebago County Madison County St. Clair County Champaign County All Illinois counties →

Ranked lists

State Profile

62/100

Illinois will change its laws. We'll email you when it does.

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Taxes

Sources: state revenue departments · Tax Foundation 2026 · income-tax brackets 2026

▾

Income Tax

4.95% flat

Property Tax

~$4,758/yr on median home

1.73% / yr

Sales Tax

8.82% avg

Social Security

Exempt

Pension / IRA

Fully Exempt

Estate Tax

Yes — $4M exemption

Inheritance Tax

None

Capital Gains

Taxed as income

Housing & Cost of Living

Sources: Zillow · Census ACS · iii.org and state insurers 2026 · WRLURI 2018 · Census 2024 (HOA)

▾

Price Level vs US (BEA)

Near US average (100)

100.0

Mortgages 90+ Days Late

FHFA, latest quarter

1.2%

Cost of Living Index

National avg = 100

Median Home Price

$275,000

Median Rent (2BR)

$1,400/mo

Home Insurance

Near national avg (~$1,900/yr)

$1,900/yr

Flood Insurance

$650/yr

Homestead Exemption

Home equity protected from creditors

$15,000

Asset Protection

Weak

Homes in HOAs

Moderate HOA presence (Census ACS 2024)

23.6%

Zoning Restrictiveness

Middle of the pack (Wharton WRLURI 2018)

Average

Short-Term Rentals (Airbnb)

No statewide STR law; local control (Chicago has own regime).

Local Control

Crime & Safety

Sources: FBI Crime Data Explorer 2023 · SafeHome registry counts 2025 · HUD PIT 2024

▾

Violent Crime Rate

Near national avg

413 / 100K

Property Crime Rate

Near national avg

1,666 / 100K

Traffic Fatality Rate

9.6 / 100K

Registered Sex Offenders

Above the state median (SafeHome 2025)

269 / 100K

Homeless Population

High homelessness rate — 10% unsheltered (HUD 2024 PIT)

203 / 100K

Healthcare

Sources: Commonwealth Fund 2023 · KFF · CDC

▾

State Healthcare Rank

#20 of 50

Life Expectancy

77.2 yrs

Medicaid Expansion

Expanded

Uninsured Rate

7.4%

Education

Sources: Education Week 2023 · NCES · state statutes (school choice)

▾

College Completion Rate

College Scorecard, in-state institutions (mean)

58%

Avg College Cost of Attendance

College Scorecard 2024

$31,133/yr

K-12 Quality Rank

#16 of 50

School Choice / Vouchers

Not Available

HS Graduation Rate

Near national avg (~87%)

87.3%

Pupil-Teacher Ratio

Near national avg (~16)

15.5 students/teacher

Childcare

Sources: Child Care Aware · Census ACS 2022

▾

Avg Infant Care (Full-Time)

$1,650/mo

Utilities & Daily Costs

Sources: EIA (electricity, weekly gas) · USDA · eGRID 2022

▾

Grid Carbon Intensity

Near US average (~820)

588 lb CO₂/MWh

Avg Monthly Energy Bill

$145/mo

Electricity Rate

Near national avg (13¢)

13.0¢/kWh

Energy Mix

⚡ 14% renewable · ☀ 1% solar · 💨 13% wind

Avg Monthly Groceries

2-person household, moderate spending

$510/mo

Road Quality Rank

#40 of 50

Airports & Travel

Sources: FAA · BTS

▾

Nonstop Destinations

From state's primary airport

200+ routes

Major Hub Airport

Top-25 US airport by passengers

Yes

Culture & Lifestyle

Sources: Census CBP · Brewers Association 2024 · Pollstar · AANR/TNS · AGA 2024

▾

Urban Population

Highly urban — big city feel

88% urban

Restaurant Density

520/100K

Religious Congregations

180/100K

Pro Sports Teams

NFL + NBA + MLB + NHL + MLS

6 teams

Major Venues

Stadiums, arenas, amphitheaters (10K+ capacity)

10 venues

Craft Breweries

2.1/100K residents — Growing

270 breweries

Craft Distilleries

Strong spirits scene

55 distilleries

Live Music

Chicago blues and jazz capital; Lollapalooza, Pitchfork Music Festival; deep house origin

World-class

Transportation

Sources: NHTSA FARS · FCC · insurance rate surveys 2024 · IIHS helmet laws 2026

▾

Car Insurance (Avg Annual)

$1,650

Traffic Fatality Rate

9.6 / 100K

Broadband Access

88% of households

Work From Home

State residents who primarily work from home (ACS)

746,578 workers

Social & Legal

Sources: Guttmacher · KFF · NCSL · state statutes 2026

▾

Formal Volunteering Rate

AmeriCorps / Census CPS 2023 (US ~28%)

30.3%

Votes in Local Elections

AmeriCorps / Census CPS 2023

55.2%

Abortion Access

Legal to viability; strong state protections

Protected

LGBTQ+ Protections

Comprehensive

Marijuana

Recreational

Minimum Wage

$14/hr

Right to Work

Sports Betting

Legal

Casino Gambling

Commercial casinos

Online Gambling

Illegal

State Lottery

Chicago area has multiple commercial casinos. Sports betting legal since 2020. Rivers Casino in Des Plaines is busy.

Yes

Age of Consent

Sex Education

Sex ed required by state

Comprehensive

Medically Accurate Required

Yes

Nude Beaches & Naturist Clubs

Sun Meadow Country Club (Peoria) · Illinois Naturists (Chicago area)

Clubs only

Environment & Climate

Sources: EPA AQI · NOAA · FEMA National Risk Index

▾

Air Quality (Annual AQI)

Near national avg

Natural Disaster Risk

Moderate

Primary Hazards

tornadofloodblizzard

Politics & Gun Laws

Sources: OpenElections 2024 · Giffords 2025 · state statutes

▾

2024 Presidential Vote

D+14

Gun Laws

Gun ControlA

2A LibertyF

Carry Permit

Shall-issue

Purchase Permit Required

Yes

Carry in Bars

Prohibited

Carry in Restaurants

Unverified

Carry in Places of Worship

FCCA prohibits carry in alcohol-serving establishments; scope tied to alcohol-sales share; churches may post.

Allowed

Gambling

Legal

Jobs & Economy

Sources: BLS QCEW 2024 · BLS JOLTS 2024 · BLS union membership 2025 · Census ACS

▾

Job Openings Rate (JOLTS)

Near US average (~4.5%)

4.8%

Quits Rate (JOLTS)

Workers quit when they can find better; BLS 2024 average

1.9%

Job Market

+0.7% job growth · 4.7% unemployment

Moderate

Top Industries

FinanceHealthcareManufacturing

Tech Jobs

Strong tech presence

#9 of 50

Healthcare Jobs

#10 of 50

Remote Work

23% of workers

Median Household Income

$78,433

Union Membership

Above-average union presence (BLS 2025)

13.1% of workers

Business Climate

Sources: Tax Foundation · state filings

▾

Corporate Income Tax

High corporate rate — plan entity structure carefully

9.5%

LLC Formation Fee

$150 one-time

LLC Annual Fee

$75/yr

Business Climate Rank

Bottom-10 nationally

#46 of 50

9.5% total (7% + 2.5% personal property replacement tax)

Daily Life

Sources: American Pyrotechnics Association · state statutes 2026 · IIHS

▾

Gas Price (Regular)

Above avg (+0.18 vs national avg)

$3.48/gal

Consumer Fireworks

Sparklers (under 36") and novelties only; Chicago bans all

Restricted

Motorcycle Helmet Law

No helmet requirement (IIHS 2026)

No Requirement

Weather & Natural Risks

Sources: NOAA · NWS Storm Prediction Center · FEMA NRI

▾

Winter Severity

Avg January high: 31°F

Cold

Summer Heat

Moderate summers

84°F avg July

Annual Rainfall

39" / yr

Tornado Risk

Moderate

Hurricane Risk

Very Low

Wildfire Risk

Very Low

Flood Risk

Moderate

Natural Hazards

Sources: USGS · CDC · USDA APHIS · NOAA · FEMA NRI 2023

▾

33MODERATE danger

Brown recluse zoneNew Madrid seismic zone (earthquake risk)Tornado alley

Venomous Snakes

Moderate

Spider Hazard

Brown Recluse Zone

Hurricane Risk

Minimal

Tornado Risk

High

Wildfire Risk

Low

Earthquake Risk

Moderate

Danger score is a composite index. Methodology ↗

Veteran Benefits

Sources: VA.gov · Military.com state guide · Tax Foundation

▾

Veteran-Friendly Score

5.8% of state population are veterans

68/100

Property Tax Exemption

100% disabled: full property tax exempt

Full (disabled)

Military Retirement Pay

Taxed

Active Duty Pay

Tax Exempt

VA Facilities Access

Good

Notable Benefits

Active duty pay exempt

Explore Illinois counties

Income, housing, poverty, healthcare — ranked by county

Explore Counties

See your full cost of living in Illinois

Housing, taxes, childcare, insurance — all estimated.

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Trending in Illinois

Illinois GOP lieutenant governor candidate defends machine gun video, calls abortion a 'moot issue' in interview with 5 On Your Side - KSDK

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Illinois will change its laws. We'll email you when it does.

One email when Illinois changes a tax, gun, cannabis or abortion law. Unsubscribe in one click.

Data is informational only. Verify with a tax professional, real estate agent, and local sources before making relocation decisions. Crime data: FBI Crime Data Explorer 2023. Healthcare: Commonwealth Fund 2023; life expectancy from County Health Rankings 2024. Education: Education Week 2023. Housing: Zillow monthly index and Census ACS 2022. Insurance: rate surveys 2024. Sponsored links marked “Sponsored” may earn a commission. This does not affect our data or rankings.