Texas Cost of Living Calculator 2026
Compare cost of living in Texas to other US states and cities. See equivalent salary needed when relocating.
By Konstantin Iakovlev · Updated October 19, 2026 · Methodology
Equivalent Salary Needed
$59,358.29
Difference
-$40,641.71
Cost Difference
-40.64%
Cost of Living Comparison
| New York, NY Index | 187 |
| Austin, TX Index | 111 |
| National Average | 100 |
| Your Current Salary | $100,000.00 |
| Equivalent in Austin, TX | $59,358.29 |
| You would need less | $40,641.71 |
Breakdown by Category (Annual)
| Housing | -57.14% |
| Current (New York, NY) | $40,000.00 |
| Target (Austin, TX) | $17,142.86 |
| Food & Groceries | -16.67% |
| Current (New York, NY) | $15,000.00 |
| Target (Austin, TX) | $12,500.00 |
| Transportation | -23.08% |
| Current (New York, NY) | $15,000.00 |
| Target (Austin, TX) | $11,538.46 |
| Healthcare | -8.70% |
| Current (New York, NY) | $10,000.00 |
| Target (Austin, TX) | $9,130.43 |
Cost of living indices are approximate and based on aggregate data. Individual expenses may vary significantly. Housing costs tend to have the largest impact when moving between cities.
Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.
Texas Cost of Living Overview
Understanding the cost of living in Texas means looking at taxes, housing, and everyday expenses together. Texas has no state income tax, which can significantly boost take-home pay compared to states that do. The average property tax rate is 1.24%, and the state sales tax rate is 6.25%.
Texas builds its household-budget math around an unusual tax mix: nothing on what you earn, more on what you buy and own. With no state income tax, a paycheck stretches further on the earnings side than it would in California or New York, but the savings get partly clawed back through a 6.25% base sales tax (up to 8.25% combined) and property taxes that average about 1.24% of home value, against a national norm near 0.9%. Housing is the swing factor, ranging from affordable in much of the state to expensive in fast-growing metros like Austin.
Comparing two job offers across Texas cities, or against another state, means looking past the headline salary. A higher property tax bill on a pricier home can erase the benefit of a bigger paycheck, and sales tax nibbles at every non-grocery purchase. The useful exercise is to net out housing, the local property tax rate, and typical spending, then see what is actually left over. Because Texas takes no cut of wages or retirement income, the same gross salary generally leaves more cash in hand here, with the real question being how much of that edge your housing and spending give back.
Texas Cost Snapshot (2026)
| Avg. Property Tax Rate | 1.24% |
| State Sales Tax Rate | 6.25% |
| Minimum Wage | $7.25/hr |
| State Income Tax | No state income tax |
| State Disability Insurance (SDI) | No |
| Estate / Inheritance Tax | No |
| Local/City Taxes | Local sales taxes up to 2% (max combined rate 8.25%) |
City indexes (U.S. average = 100) are planning estimates on one scale. The 29 cities added in August 2026 were reconciled from BestPlaces city pages, the Payscale and RentCafe cost-of-living calculators (both built on the C2ER Cost of Living Index) and the MERIC state index for Q1 2026; the original 30 large metros date from April 2026 and have not been re-checked since. Local rents and home prices can differ a lot within a metro, and the equivalent salary does not account for income taxes.
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