United States vs Israel: salary, tax & cost of living
Average wage, take-home after tax and cost of living, side by side — on real OECD wage data, PPP-adjusted. The headline salary and the net paycheck don't always point the same way.
Head to head
United States vs Israel
| Metric | United States | Israel | Winner |
|---|---|---|---|
| Average wage (PPP) | $82,933 | $54,736 | United States |
| Payroll deduction | 25% | 34% | United States |
| Net take-home (avg wage) | $62,490 | $36,126 | United States |
| Cost index (NY=100) | 100 | 92 | Israel |
Average wage: OECD (PPP). Tax is an effective single-filer rate at the average wage; cost index is each country's anchor city (New York / Tel Aviv).
Data signals
What actually separates them
Who keeps more
On the average wage, United States leaves the bigger net paycheck — about $26,364 more per year ($62,490 in United States vs $36,126 in Israel, PPP).
Payroll deduction
United States takes less off the top: ~25% vs ~34% combined income tax + social security.
Cost of living
Israel is the cheaper base: cost index 92 vs 100 (New York / Tel Aviv, New York = 100). Higher net pay doesn't help if rent eats it.
Banking & transfers for either move
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FAQ
- Is the average salary higher in United States or Israel?
- United States has the higher OECD average wage: $82,933 in United States vs $54,736 in Israel (PPP-adjusted). But after tax, United States keeps more net.
- Where do you take home more after tax?
- United States — about $26,364 more net per year on the average wage, once income tax and social security are applied.
- Which is cheaper to live in?
- Israel, by cost index (New York 100 vs Tel Aviv 92, NY = 100). Weigh net pay against cost together, not separately.