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