State comparison
Texas vs California: which state is better to live in?
Texas costs a median household about $3,700 a year less in state and local taxes than California, mostly because it has no income tax.
Texas
Moderate tax burden · COL index 97
Wins 9 categories
California
Moderate tax burden · COL index 142
Wins 6 categories
Taxes: Texas vs California
Texas has no state income tax. 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. Texas wins on income tax at 2026 rates.
Property tax is 1.60% of home value a year in Texas and 0.71% in California (Tax Foundation, 2023); on each state's median home that is $5,440 against $5,609, so California has the lower rate.
Combined state and local sales tax averages 8.19% in Texas and 8.82% in California; Texas is lower.
Add it up for a household earning $74,580 (the 2022 national median) and owning the median home: $7,272 a year in Texas, $10,957 in California. Texas is cheaper on total state and local tax.
Housing and cost of living
Texas's cost of living index is 97 and California's is 142, where 100 is the national average; Texas is about 46% cheaper day to day.
The median home costs $340K in Texas and $790K in California (Zillow, 2024), a $450K gap in Texas's favor. A two-bedroom rents for about $1,600 a month in Texas and $2,300 in California.
Home insurance averages $3,200 a year in Texas and $2,100 in California, so California is cheaper to insure.
Safety
Violent crime runs 447 incidents per 100,000 residents in Texas and 499 in California (FBI Crime Data Explorer, 2023); Texas is the safer state by that measure, with a rate 12% lower. Property crime is 2,478 per 100,000 in Texas against 2,027 in California, again favoring California.
Health
Life expectancy is 76.3 years in Texas and 79.2 in California (County Health Rankings, 2024), a 2.9-year edge for California. The Commonwealth Fund's 2023 scorecard ranks Texas's health system 36th of 50 and California's 13th, so California scores better on care.
18.4% of Texas residents have no health insurance against 6.8% in California, which favors California. California expanded Medicaid and Texas did not.
Schools
Education Week's 2023 Quality Counts report ranks Texas's K-12 schools 36th in the country and California's 20th, 16 places apart in California's favor. Texas runs a school-choice voucher program; California does not.
Laws and politics
In the 2024 presidential election Texas went to Trump by 14 points and California went to Harris by 20 points.
Texas has permitless carry and a Giffords gun-law grade of F; California has may-issue carry permits and a grade of A, so California regulates guns more tightly and Texas is the friendlier state for gun owners.
Abortion is banned with narrow exceptions in Texas and protected by state law in California, and marijuana is medical only in Texas and legal for adults in California as of 2026. The minimum wage is $7.25 an hour in Texas and $16.00 in California.
Climate and risk
Natural disaster risk is very high in Texas (hurricane, tornado, flood) and very high in California (wildfire, earthquake, drought). Annual average air quality index is 43 in Texas and 62 in California (under 50 is good), favoring Texas.
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
9
Texas
6
California
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Score For My Profile →Questions people ask
Is Texas or California better to live in?
Texas wins more of the measures that decide a move. Texas on taxes ($7,272 a year for a median household against $10,957); Texas on everyday costs (index 97 against 142); Texas on safety (447 violent crimes per 100,000 against 499); California on schools (ranked 20th against 36th).
Which is cheaper, Texas or California?
Texas is cheaper day to day: cost of living index 97 against 142. The median home is $340K in Texas and $790K in California (2024). On state and local taxes Texas saves a median household about $3,700 a year.
Does Texas or California have lower taxes?
Texas. A household earning $74,580 pays about $7,272 a year in Texas ($0 income tax, $5,440 property tax on the median home and $1,832 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, Texas or California?
Texas, on the FBI's 2023 figures. Violent crime is 447 per 100,000 residents in Texas and 499 in California; property crime is 2,478 against 2,027.
Which has better schools, Texas or California?
California. Education Week's 2023 Quality Counts report ranks Texas 36th of 50 for K-12 and California 20th. Texas also offers school-choice vouchers.
Is Texas or California better for retirees?
Texas is friendlier to retirees on paper. Texas does not tax Social Security, exempts pensions and has no estate or 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 $5,440 a year in Texas and $5,609 in California.