State comparison
Nebraska vs Tennessee: which state is better to live in?
Tennessee costs a median household about $4,700 a year less in state and local taxes than Nebraska, mostly because it has no income tax.
Nebraska
Moderate tax burden · COL index 91
Wins 10 categories
Tennessee
Low tax burden · COL index 92
Wins 4 categories
Taxes: Nebraska vs Tennessee
Nebraska has a graduated income tax topping out at 3.99%, which works out to 4.1% on a median income of $74,580, or $3,093 a year. Tennessee has no state income tax. Tennessee wins on income tax at 2026 rates.
Property tax is 1.44% of home value a year in Nebraska and 0.45% in Tennessee (Tax Foundation, 2023); on each state's median home that is $3,816 against $1,575, so Tennessee has the lower rate.
Combined state and local sales tax averages 6.94% in Nebraska and 9.55% in Tennessee; Nebraska is lower.
Add it up for a household earning $74,580 (the 2022 national median) and owning the median home: $8,461 a year in Nebraska, $3,712 in Tennessee. Tennessee is cheaper on total state and local tax.
Housing and cost of living
Nebraska's cost of living index is 91 and Tennessee's is 92, where 100 is the national average; Nebraska is about 1% cheaper day to day.
The median home costs $265K in Nebraska and $350K in Tennessee (Zillow, 2024), a $85K gap in Nebraska's favor. A two-bedroom rents for about $1,150 a month in Nebraska and $1,400 in Tennessee.
Home insurance averages $2,200 a year in Nebraska and $2,000 in Tennessee, so Tennessee is cheaper to insure.
Safety
Violent crime runs 311 incidents per 100,000 residents in Nebraska and 668 in Tennessee (FBI Crime Data Explorer, 2023); Nebraska is the safer state by that measure, with a rate 115% lower. Property crime is 1,956 per 100,000 in Nebraska against 2,752 in Tennessee, again favoring Nebraska.
Health
Life expectancy is 78.6 years in Nebraska and 74.2 in Tennessee (County Health Rankings, 2024), a 4.4-year edge for Nebraska. The Commonwealth Fund's 2023 scorecard ranks Nebraska's health system 26th of 50 and Tennessee's 39th, so Nebraska scores better on care.
7.1% of Nebraska residents have no health insurance against 10.4% in Tennessee, which favors Nebraska. Nebraska expanded Medicaid and Tennessee did not.
Schools
Education Week's 2023 Quality Counts report ranks Nebraska's K-12 schools 18th in the country and Tennessee's 41st, 23 places apart in Nebraska's favor. Both states run school-choice voucher programs.
Laws and politics
In the 2024 presidential election Nebraska went to Trump by 19 points and Tennessee went to Trump by 24 points.
Nebraska has permitless carry and a Giffords gun-law grade of F; Tennessee has permitless carry and a grade of F.
Abortion is legal with limits in Nebraska and banned with narrow exceptions in Tennessee, and marijuana is medical only in Nebraska and illegal in Tennessee as of 2026. The minimum wage is $12.00 an hour in Nebraska and $7.25 in Tennessee.
Climate and risk
Natural disaster risk is high in Nebraska (tornado, blizzard, flood) and moderate in Tennessee (tornado, flood, ice-storm), so Tennessee is the lower-risk state. Annual average air quality index is 33 in Nebraska and 36 in Tennessee (under 50 is good), favoring Nebraska.
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
10
Nebraska
4
Tennessee
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Score For My Profile →Questions people ask
Is Nebraska or Tennessee better to live in?
Nebraska wins more of the measures that decide a move. Tennessee on taxes ($3,712 a year for a median household against $8,461); Nebraska on everyday costs (index 91 against 92); Nebraska on safety (311 violent crimes per 100,000 against 668); Nebraska on schools (ranked 18th against 41st).
Which is cheaper, Nebraska or Tennessee?
Nebraska is cheaper day to day: cost of living index 91 against 92. The median home is $265K in Nebraska and $350K in Tennessee (2024). On state and local taxes Tennessee saves a median household about $4,700 a year.
Does Nebraska or Tennessee have lower taxes?
Tennessee. A household earning $74,580 pays about $8,461 a year in Nebraska ($3,093 income tax, $3,816 property tax on the median home and $1,553 in sales tax) and $3,712 in Tennessee ($0 income tax, $1,575 property tax on the median home and $2,137 in sales tax), at 2026 rates.
Which is safer, Nebraska or Tennessee?
Nebraska, on the FBI's 2023 figures. Violent crime is 311 per 100,000 residents in Nebraska and 668 in Tennessee; property crime is 1,956 against 2,752.
Which has better schools, Nebraska or Tennessee?
Nebraska. Education Week's 2023 Quality Counts report ranks Nebraska 18th of 50 for K-12 and Tennessee 41st.
Is Nebraska or Tennessee better for retirees?
Tennessee is friendlier to retirees on paper. Nebraska does not tax Social Security, partly exempts pensions and has an inheritance tax; Tennessee does not tax Social Security, exempts pensions and has no estate or inheritance tax. Property tax on a median home is $3,816 a year in Nebraska and $1,575 in Tennessee.