The $100,000 Salary Analysis for Burlington, VT

This guide assumes a single filer with no dependents claiming the standard deduction. $100k is the gross nominal salary. We focus on purchasing power—what actually lands in your bank account versus the cost of living.

1. The Verification Test

A $100,000 salary is not $100,000 in your pocket. Taxes are the immediate haircut.

• Federal Tax: ~$13,780 (Based on 2023 single filer brackets, standard deduction).
• FICA (Social Security/Medicare): $7,650 (Flat 6.2% + 1.45%).
• Vermont State Tax: ~$5,150 (Progressive brackets; top rate of 3.35% on income over $101,050).
• ESTIMATE Net Pay (Annual): $73,420
• ESTIMATE Net Pay (Monthly): $6,118

Purchasing Power Reality: Your $100k salary generates roughly $6,118 per month in spendable income before any deductions.

2. Smart Budget (50/30/20 Rule)

Vermont's housing and energy costs test the traditional 50/30/20 budget. The "Needs" category often bleeds into the "Wants" category here.

• Needs (50% of Net): $3,059/month

  • Rent (1BR): $1,441 (Market average for Burlington proper).
  • Utilities (Electric/Heating): $200 - $300 (Vermont has high energy costs; Chittenden County is colder/higher than national avg).
  • Groceries/Transport: $800 - $1,000 (Groceries in Chittenden County are roughly 15% higher than the US average).
  • Deficit: If you pay average rent, you are left with ~$1,300 for utilities, food, and transport. This is tight.

• Wants (30% of Net): $1,835/month

  • Dining, entertainment, subscriptions.
  • Note: If your rent exceeds $1,600, this category effectively disappears.

• Savings (20% of Net): $1,224/month

  • Emergency fund, retirement, student loans.
  • This is your actual wealth-building velocity.

3. Burlington Tax Context

Vermont is a high-tax state compared to the national average, specifically for income tax.

• Vs. No Tax States (TX, FL, NH): In Texas or Florida, your net pay would be roughly $78,600 (annual). You lose approximately $5,200 per year (or $433/month) living in Vermont versus a state with no income tax.
• Vs. High Tax States (CA, NY): Vermont is slightly better than California/New York on high earners, but the gap is narrowing. VT's top marginal rate (8.75%) kicks in at a much lower income threshold ($272,950) than CA or NY, hurting upper-middle-class earners disproportionately.

4. FAQ

"Is $100k good here?"
It is "survival with discipline" for a single person, or "comfortable but not wealthy" for a dual-income household. You will not be struggling, but you are not saving for a luxury condo downtown on this salary alone. Rent is the primary constraint.

"Is there local income tax?"
No. Burlington does not levy a local income tax. Your tax burden is strictly Federal and Vermont State.

"What about property tax?"
If you buy, Burlington property taxes are significant. The effective rate is roughly 1.8% to 2.2% of assessed value, though assessments often lag market value. This is a major factor if you plan to transition from renting to owning.