State comparison
Illinois vs Arizona: which state is better to live in?
Arizona costs a median household about $4,500 a year less in state and local taxes than Illinois, mostly because property tax on a median home runs $2,142 a year against $4,758 in Illinois, though everyday prices run higher there (cost of living index 102 against 92).
Illinois
High tax burden · COL index 92
Wins 8 categories
Arizona
Moderate tax burden · COL index 102
Wins 6 categories
Taxes: Illinois vs Arizona
Illinois has a flat 4.95% income tax, which works out to 5.0% on a median income of $74,580, or $3,692 a year. Arizona has a flat 2.5% income tax, which works out to 2.5% on a median income of $74,580, or $1,865 a year. Arizona wins on income tax at 2026 rates.
Property tax is 1.73% of home value a year in Illinois and 0.51% in Arizona (Tax Foundation, 2023); on each state's median home that is $4,758 against $2,142, so Arizona has the lower rate.
Combined state and local sales tax averages 8.82% in Illinois and 8.37% in Arizona; Arizona is lower.
Add it up for a household earning $74,580 (the 2022 national median) and owning the median home: $10,423 a year in Illinois, $5,879 in Arizona. Arizona is cheaper on total state and local tax.
Housing and cost of living
Illinois's cost of living index is 92 and Arizona's is 102, where 100 is the national average; Illinois is about 11% cheaper day to day.
The median home costs $275K in Illinois and $420K in Arizona (Zillow, 2024), a $145K gap in Illinois's favor. A two-bedroom rents for about $1,400 a month in Illinois and $1,600 in Arizona.
Home insurance averages $1,900 a year in Illinois and $1,850 in Arizona, so Arizona is cheaper to insure.
Safety
Violent crime runs 413 incidents per 100,000 residents in Illinois and 474 in Arizona (FBI Crime Data Explorer, 2023); Illinois is the safer state by that measure, with a rate 15% lower. Property crime is 1,666 per 100,000 in Illinois against 2,624 in Arizona, again favoring Illinois.
Health
Life expectancy is 77.2 years in Illinois and 76.3 in Arizona (County Health Rankings, 2024), a 0.9-year edge for Illinois. The Commonwealth Fund's 2023 scorecard ranks Illinois's health system 20th of 50 and Arizona's 34th, so Illinois scores better on care.
7.4% of Illinois residents have no health insurance against 10.8% in Arizona, which favors Illinois. Both states expanded Medicaid.
Schools
Education Week's 2023 Quality Counts report ranks Illinois's K-12 schools 16th in the country and Arizona's 45th, 29 places apart in Illinois's favor. Arizona runs a school-choice voucher program; Illinois does not.
Laws and politics
In the 2024 presidential election Illinois went to Harris by 14 points and Arizona went to Trump by 5 points.
Illinois has shall-issue carry permits and a Giffords gun-law grade of A; Arizona has permitless carry and a grade of F, so Illinois regulates guns more tightly and Arizona is the friendlier state for gun owners.
Abortion is protected by state law in Illinois and banned with narrow exceptions in Arizona, and marijuana is legal for adults in both as of 2026. The minimum wage is $14.00 an hour in Illinois and $14.35 in Arizona.
Climate and risk
Natural disaster risk is moderate in Illinois (tornado, flood, blizzard) and moderate in Arizona (wildfire, extreme-heat, drought). Annual average air quality index is 45 in Illinois and 46 in Arizona (under 50 is good), favoring Illinois.
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
8
Illinois
6
Arizona
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Score For My Profile →Questions people ask
Is Illinois or Arizona better to live in?
Illinois wins more of the measures that decide a move. Arizona on taxes ($5,879 a year for a median household against $10,423); Illinois on everyday costs (index 92 against 102); Illinois on safety (413 violent crimes per 100,000 against 474); Illinois on schools (ranked 16th against 45th).
Which is cheaper, Illinois or Arizona?
Illinois is cheaper day to day: cost of living index 92 against 102. The median home is $275K in Illinois and $420K in Arizona (2024). On state and local taxes Arizona saves a median household about $4,500 a year.
Does Illinois or Arizona have lower taxes?
Arizona. A household earning $74,580 pays about $10,423 a year in Illinois ($3,692 income tax, $4,758 property tax on the median home and $1,973 in sales tax) and $5,879 in Arizona ($1,865 income tax, $2,142 property tax on the median home and $1,873 in sales tax), at 2026 rates.
Which is safer, Illinois or Arizona?
Illinois, on the FBI's 2023 figures. Violent crime is 413 per 100,000 residents in Illinois and 474 in Arizona; property crime is 1,666 against 2,624.
Which has better schools, Illinois or Arizona?
Illinois. Education Week's 2023 Quality Counts report ranks Illinois 16th of 50 for K-12 and Arizona 45th. Arizona also offers school-choice vouchers.
Is Illinois or Arizona better for retirees?
Both treat retirement income about the same. Illinois does not tax Social Security, exempts pensions and has an estate tax; Arizona does not tax Social Security, partly exempts pensions and has no estate or inheritance tax. Property tax on a median home is $4,758 a year in Illinois and $2,142 in Arizona.