The Real Salary Guide: Fayetteville, AR ($100k Analysis)

You see a $100,000 job offer. In Fayetteville, Arkansas, that number is a mirage. The "sticker price" is a vanity metric; your "take-home" is reality.

We ran the numbers to show you exactly what a six-figure salary buys you in Washington County.

The Verification Test ($100,000 Analysis)

Let’s strip away the hype and look at the math. If you earn $100,000 in Fayetteville, here is the brutal extraction of capital before it hits your bank account.

• Gross Salary: $100,000
• Federal Tax: -$13,614
• FICA Tax: -$7,650
• State Tax (AR): -$4,500
• Local Tax: $0

The Bottom Line:
Your Take Home Pay is $74,236.

You lose roughly 25.7% of your income to taxes. That means for every hour you work, the government takes the first 15 minutes. The gap between the sticker price ($100k) and the reality ($74,236) is $25,764. That is a fully loaded compact car disappearing from your account annually.

Smart Budget Breakdown (50/30/20 Rule)

With a monthly net of $6,186, the standard 50/30/20 budget model provides significant purchasing power in Fayetteville.

Needs: $3,093/month

This category covers rent, utilities, groceries, and insurance.

• Rent Reality: The median rent for a one-bedroom in Fayetteville hovers around $900–$1,100. Even if you splurge on a luxury unit for $1,500, you are still well under the $3,093 cap.
• Purchasing Power: You have roughly $1,500+ of surplus cash strictly for bills and food. You are not living paycheck to paycheck.

Wants: $1,856/month

This is your discretionary spending.

• This budget allows for a car payment on a new vehicle, frequent dining out at Dickson Street, and entertainment without guilt.

Savings: $1,237/month

This is where wealth is created.

• The Math: Saving $1,237 monthly compounds aggressively.
• The Result: Over 10 years (at a conservative 7% return), this specific line item alone generates $210,000+. In Fayetteville, $100k isn't just livable; it's a wealth-building engine.

Fayetteville Taxes vs. The Competition

Arkansas has a tax problem, specifically for high earners. While you pay $0 in local city tax (unlike NYC's 3-4% hit), the State Income Tax is the drag.

• Fayetteville: You pay $4,500 on a $100k salary. (Effective rate: 4.5%)
• Texas (Austin): You pay $0 state income tax.
• New York City: You would pay roughly $6,500+ in state/city taxes (Effective rate: ~6.5%+).

The Verdict: Fayetteville beats NYC hands down, but Austin beats Fayetteville on the tax bill by $4,500. However, that $4,500 tax savings in Austin is usually wiped out by the $10,000+ difference in rent and home prices. Fayetteville wins on total cost-of-living adjusted value.

Frequently Asked Questions (FAQ)

Q: What is the income tax rate in Fayetteville?
A: Fayetteville has 0% local city income tax. However, you are subject to Arkansas State Income Tax. For a $100,000 salary, the effective state tax rate is approximately 4.5%.

Q: Is $100k a good salary in Fayetteville?
A: Yes. It is significantly above the median household income for the area. After taxes, you are left with $74,236, which allows for a high standard of living, luxury housing, and aggressive savings of over $1,200 per month.

Q: Does Fayetteville have a local city tax?
A: No. Based on 2026 projections, the local tax rate is $0.

Methodology: Calculations based on IRS 2026 Tax Tables (Single Filer, Standard Deduction), Bureau of Labor Statistics (BLS) Consumer Expenditure Survey for the South Region, and Arkansas State Comptroller tax rates. Net pay excludes pre-tax retirement contributions (401k).