If you play for the Miami Heat instead of the Los Angeles Lakers, you could be pocketing over a million dollars more per year — on the same contract. The difference? State income tax.
Here's a breakdown of which states take the most, which take nothing, and exactly how much it matters.
These states have no state income tax. If your home team is here, you avoid the biggest single deduction outside of federal taxes:
| State | NBA Teams | NFL Teams | NHL Teams |
|---|---|---|---|
| Texas | Mavericks, Rockets, Spurs | Cowboys, Texans | Stars |
| Florida | Heat, Magic | Dolphins, Jaguars, Buccaneers | Panthers, Lightning |
| Tennessee | Grizzlies | Titans | Predators |
| Nevada | — | Raiders | Golden Knights |
| Washington | — | Seahawks | Kraken |
MLB adds the Rangers and Astros (Texas), Rays and Marlins (Florida), and Mariners (Washington) to the zero-tax list.
At the other end, these states take a significant bite:
| State | Top Rate | Notable Teams |
|---|---|---|
| California | 13.3% | Lakers, Warriors, 49ers, Dodgers |
| New York | 10.9% | Knicks, Nets, Bills, Yankees |
| New Jersey | 10.75% | Giants, Jets, Devils |
| Minnesota | 9.85% | Timberwolves, Vikings, Wild, Twins |
Let's say you sign a $10 million contract. Here's what state taxes alone do:
• Texas (0%): You pay $0 in state income tax.
• California (13.3%): You pay approximately $1,330,000 in state income tax.
That's a $1.33 million difference — just from choosing one team over another.
Even if you play for a no-tax team, you still owe taxes for every away game played in a state that does tax income. So playing for the Heat doesn't completely shield you from California taxes — you'll still pay when you visit the Lakers, Warriors, Clippers, and Kings. Read our full breakdown: What Is the Jock Tax?
Compare your take-home pay between any two teams side-by-side:
Try the Free Calculator →Disclaimer: This article is for informational purposes only. It does not constitute financial, tax, or legal advice. Always consult a qualified professional.
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