CostByState

California vs Texas

A side-by-side comparison of California and Texas — taxes, housing, income, and cost of living — with a salary-equivalence calculator for anyone considering the move.

vs
Salary$Household
Housing
regional rent-level cost of living

Take-home pay on $100,000

California

$74,126/yr take-home

$6,177/mo · 25.9% effective tax

Federal tax
$13,170
State tax (1.0%–13.3%)
$5,054
FICA
$7,650

Texas

$79,180/yr take-home

$6,598/mo · 20.8% effective tax

Federal tax
$13,170
State tax (None)
$0
FICA
$7,650

You keep $5,054 more per year in Texas ($421/mo) from income tax alone — before housing and other costs, below.

The numbers

Median home pricelower is cheaper
California
$775,549
Texas
$302,999
Mortgage on median home (6.66%, 20% down)principal + interest
California
$3,987/mo
Texas
$1,558/mo
Median household incomehigher is better
California
$100,149
Texas
$79,721
Per-capita income
California
$49,934
Texas
$41,614
Home price ÷ incomeyears of income per home
California
7.7×
Texas
3.8×
Electricity
California
33.3¢/kWh
Texas
16.4¢/kWh
Population
California
39,431,263
Texas
31,290,831

Monthly cost of living · renting

California$4,611/mo
Texas$3,595/mo
HousingFoodTransportHealthcareOther

Salary equivalence

$100,000 in California buys the same lifestyle as $69,599 in Texas

For a household of 1 adult, renting. Texas's cost of living is 78.0% of California's, and the figure accounts for both states' income taxes. Home price is an asset; this compares monthly living cost. An estimate, not financial advice.

California vs Texas: what the numbers say

Thinking about moving from California to Texas? Here's how the two states line up on the numbers that shape your budget. The headline difference is tax: Texas has no state income tax, while California charges 1.0%–13.3%. Moving from California to Texas can noticeably raise your take-home pay.

Housing is usually the biggest factor. A typical home costs $775,549 in California versus $302,999 in Texas — Texas is cheaper by about $472,549. Overall cost of living runs $4,611 a month in California and $3,595 in Texas for a single adult, and the typical household earns $100,149 versus $79,721.

Because prices differ, the same paycheck stretches differently: Texas's cost of living is about 78.0% of California's. Use the calculator above to see exactly what your California salary would need to be in Texas to keep the same lifestyle, taxes included.

Income matters too, not just costs. The typical household earns $100,149 in California versus $79,721 in Texas, so a state that looks pricier on paper can still come out ahead if local pay is higher. That's why the salary-equivalence figure — which folds in both taxes and cost of living — is a better guide for a move than any single cost-of-living index on its own.

Frequently asked questions

Is it cheaper to live in California or Texas?
Texas has the lower typical monthly cost of living for a single adult. The table above breaks down housing, taxes, and more, and the calculator shows the salary equivalence between the two.
What salary do I need in Texas to match California?
It depends on your current salary and filing status. Enter them in the calculator above to see the Texas salary that preserves your California purchasing power after taxes and cost-of-living differences.

Explore further

Dig into either state on its own, or compare a different pair.

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