Survey: New Hampshire Tops 2026 Taxpayer ROI Rankings

With Tax Day approaching on April 15 and 66% of Americans saying they believe their current tax rate is too high, the personal-finance company WalletHub has released its report on the states with the Best & Worst Taxpayer Return on Investment in 2026.

"There can be a tradeoff between how much tax you pay and what you receive in return from the government," said Chip Lupo, WalletHub Analyst. "Several of the states with the best taxpayer ROI don't charge any income tax, and residents pay less at tax time while receiving good-quality (though not necessarily the best) government services. At the same time, while people pay more in states that do charge income tax, they may benefit from better infrastructure, education, safety, or public health as a result."

To compile the rankings, WalletHub evaluated 29 metrics measuring the quality and efficiency of state government services across five key areas: education, health, safety, economy, and infrastructure & pollution. Researchers accounted for the wide variation in tax burdens among states.

"New Hampshire is the state with the best taxpayer return on investment, which is due in large part to the fact that it has no income tax," Lupo said. "The Granite State's tax resources have had a good impact on crime prevention and the environment as the state has the lowest crime rate and the third-lowest air pollution in the country. It has one of the best public school systems as well."

States with the best taxpayer ROI

1. New Hampshire

2. Florida

3. South Dakota

4. Missouri

5. Ohio

6. Georgia

7. Iowa

8. Indiana

9. Utah

10. Virginia

States with the worst taxpayer ROI

41. Louisiana

42. Vermont

43. Arkansas

44. Delaware

45. Nevada

46. New York

47. North Dakota

48. Hawaii

49. California

50. New Mexico

Best and worst

• Red states have a higher taxpayer return on investment with an average ranking of 20.74, compared with 33.26 for Blue States (1 = best).
• Indiana has the lowest proportion of major roads in poor or mediocre condition, which is six times lower than in Rhode Island, the state with the highest.
• Maine has the fewest violent crimes per 1,000 residents, which is 7.2 times lower than in Alaska, the state with the most.
• New Hampshire has the lowest infant mortality rate per 1,000 live births, which is 2.9 times lower than in Mississippi, the state with the highest.

"Everyday citizens can assess the return on investment of their local tax dollars by looking at tangible outcomes in education, infrastructure, and safety," said Andrew Burnstine, associate professor, Lynn University. "A key metric is comparing the quality of local schools and the health of roads against the property tax rates paid by the community. In my state, for example, the strong economy and high entrepreneurship rates are often cited as a sign of high tax ROI for business owners. Citizens can also use digital property tax estimators to see exactly how their contributions align with the specific services provided in their immediate neighborhood. Comparing local school quality and infrastructure health against your tax bill is the most direct way to evaluate the value you receive for your money."

To view the full report, click here.