Economic profile

Based on a strong agricultural foundation, Iowa has transformed its economy over the last 50 years. The state is now home to a wide range of industries, including advanced manufacturing, food processing and biotechnology.

Major international employers choose Iowa:

  • Cargill
  • International Paper
  • General Mills
  • John Deere
  • Barilla
Advanced manufacturing sector employs 14% of the state’s total workforce – 36% higher than the national employment
distribution for manufacturing.

Business advantages in the Hawkeye state

Reduced corporate income tax

  • Single-factor, non-unitary tax based only on the percentage of total sales income within the state.
  • May be reduced or eliminated by state tax credit programs.
  • One of five states that offer 50% deductibility of federal income taxes from corporate income.

Right-to-work state

Under Iowa law, an employee may not be required to join a union or pay dues or fees to any labor union, association or organization as a condition of employment.

The cost of workers’ compensation insurance is 11% lower than the national average.

Low unemployment insurance rate

  • The 2017 standard new employer rate for all nonconstruction businesses for a three-year period is 1% on a $29,300 base wage.
  • In 2017, the average rate is 1.57%, with a large number of zero-rated employers.
  • The cost of unemployment insurance is one of the lowest in the nation.

Mark is here to help!

Call Mark Seckman, Senior Economic Development Manager, at (319) 786-4392 or use our online form.