State comparison
California vs New Jersey: which state is better to live in?
California costs a median household about $3,800 a year less in state and local taxes than New Jersey, mostly because property tax on a median home runs $5,609 a year against $10,650 in New Jersey, though everyday prices run higher there (cost of living index 142 against 121).
California
Moderate tax burden · COL index 142
Wins 3 categories
New Jersey
High tax burden · COL index 121
Wins 10 categories
Taxes: California vs New Jersey
California has a graduated income tax topping out at 13.3%, which works out to 4.5% on a median income of $74,580, or $3,375 a year. New Jersey has a graduated income tax topping out at 10.75%, which works out to 3.5% on a median income of $74,580, or $2,628 a year. New Jersey wins on income tax at 2026 rates.
Property tax is 0.71% of home value a year in California and 2.13% in New Jersey (Tax Foundation, 2023); on each state's median home that is $5,609 against $10,650, so California has the lower rate.
Combined state and local sales tax averages 8.82% in California and 6.60% in New Jersey; New Jersey is lower.
Add it up for a household earning $74,580 (the 2022 national median) and owning the median home: $10,957 a year in California, $14,755 in New Jersey. California is cheaper on total state and local tax.
Housing and cost of living
California's cost of living index is 142 and New Jersey's is 121, where 100 is the national average; New Jersey is about 17% cheaper day to day.
The median home costs $790K in California and $500K in New Jersey (Zillow, 2024), a $290K gap in New Jersey's favor. A two-bedroom rents for about $2,300 a month in California and $2,200 in New Jersey.
Home insurance averages $2,100 a year in California and $1,400 in New Jersey, so New Jersey is cheaper to insure.
Safety
Violent crime runs 499 incidents per 100,000 residents in California and 213 in New Jersey (FBI Crime Data Explorer, 2023); New Jersey is the safer state by that measure, with a rate 134% lower. Property crime is 2,027 per 100,000 in California against 1,368 in New Jersey, again favoring New Jersey.
Health
Life expectancy is 79.2 years in California and 79 in New Jersey (County Health Rankings, 2024), a 0.2-year edge for California. The Commonwealth Fund's 2023 scorecard ranks California's health system 13th of 50 and New Jersey's 19th, so California scores better on care.
6.8% of California residents have no health insurance against 6.8% in New Jersey. Both states expanded Medicaid.
Schools
Education Week's 2023 Quality Counts report ranks California's K-12 schools 20th in the country and New Jersey's 2nd, 18 places apart in New Jersey's favor. Neither state runs a school-choice voucher program.
Laws and politics
In the 2024 presidential election California went to Harris by 20 points and New Jersey went to Harris by 6 points.
California has may-issue carry permits and a Giffords gun-law grade of A; New Jersey has may-issue carry permits and a grade of A.
Abortion is protected by state law in both states, and marijuana is legal for adults in both as of 2026. The minimum wage is $16.00 an hour in California and $15.13 in New Jersey.
Climate and risk
Natural disaster risk is very high in California (wildfire, earthquake, drought) and moderate in New Jersey (hurricane, flood, nor-easter), so New Jersey is the lower-risk state. Annual average air quality index is 62 in California and 35 in New Jersey (under 50 is good), favoring New Jersey.
Tax figures use a household earning the national median income and owning each state's median home, at tax year 2026 rates, last checked against state sources on 2026-09-14. The table below has every number.
Taxes
Housing & Cost of Living
Crime & Safety
Healthcare
Education
Childcare
Utilities & Daily Costs
Social Policy
Category wins
3
California
10
New Jersey
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Score For My Profile →Questions people ask
Is California or New Jersey better to live in?
New Jersey wins more of the measures that decide a move. California on taxes ($10,957 a year for a median household against $14,755); New Jersey on everyday costs (index 121 against 142); New Jersey on safety (213 violent crimes per 100,000 against 499); New Jersey on schools (ranked 2nd against 20th).
Which is cheaper, California or New Jersey?
New Jersey is cheaper day to day: cost of living index 121 against 142. The median home is $790K in California and $500K in New Jersey (2024). On state and local taxes California saves a median household about $3,800 a year.
Does California or New Jersey have lower taxes?
California. A household earning $74,580 pays about $10,957 a year in California ($3,375 income tax, $5,609 property tax on the median home and $1,973 in sales tax) and $14,755 in New Jersey ($2,628 income tax, $10,650 property tax on the median home and $1,477 in sales tax), at 2026 rates.
Which is safer, California or New Jersey?
New Jersey, on the FBI's 2023 figures. Violent crime is 499 per 100,000 residents in California and 213 in New Jersey; property crime is 2,027 against 1,368.
Which has better schools, California or New Jersey?
New Jersey. Education Week's 2023 Quality Counts report ranks California 20th of 50 for K-12 and New Jersey 2nd.
Is California or New Jersey better for retirees?
Both treat retirement income about the same. California does not tax Social Security, taxes pensions as income and has no estate or inheritance tax; New Jersey does not tax Social Security, partly exempts pensions and has an inheritance tax. Property tax on a median home is $5,609 a year in California and $10,650 in New Jersey.