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North Carolinaflat 4.5% income tax, 18th lowest property tax, median home $335K

R+3  ·  Moderate tax burden  ·  COL index 94

B+

4.5%

Income Tax

398

Violent Crime / 100K

75.7

Life Expectancy

$335K

Median Home

$1,050

Childcare / Mo

North Carolina in plain English

Worth knowing before you move to North Carolina

North Carolina has a flat income tax that is being cut each year, from 4.5% in 2025 toward 3.99%, and it does not tax Social Security. Property taxes are moderate and reassessments happen every four to eight years by county. The Research Triangle and Charlotte have driven a decade of in-migration; the mountains and the Outer Banks are second-home markets with hurricane and flood exposure on the coast.

What North Carolina taxes, and what it doesn't

North Carolina levies a flat 4.5% income tax. A household earning $75,000 pays an effective 4.5%, about $3,375 a year; at $150,000 the effective rate is 4.5%. Among the 41 states that tax income, North Carolina has the 15th lowest effective rate at $100,000 of income.

Property tax runs 0.70% of home value a year, roughly $2,345 on the state's median home of $335K. The national effective rate is about 1.10%, and North Carolina has the 18th lowest rate of the 50 states.

Combined state and local sales tax averages 7.00%, the 25th lowest in the country (the state portion is 4.75%).

For retirees: Social Security benefits are not taxed, pension income is partly exempt, and there is no estate or inheritance tax.

Capital gains are taxed as ordinary income.

Housing and the cost of living in North Carolina

North Carolina's cost of living index is 94, where 100 is the national average; that is the 21st cheapest of the 50 states.

The median home costs $335K, 10% above the national figure and the 22nd lowest among the states. A two-bedroom rents for about $1,450 a month.

Carrying costs matter as much as the price: home insurance averages $1,900 a year, flood coverage adds about $1,000 where it is needed, car insurance runs $1,390.

Budget $135 a month for electricity and gas, $460 a month in groceries for two, $1,050 a month for full-time infant care.

Safety, health and schools

Violent crime is 398 incidents per 100,000 residents in the FBI's 2023 Crime Data Explorer figures, above the median state (387); North Carolina is the 22nd most violent of the 50 by that measure. Property crime is 2,226 per 100,000.

Life expectancy is 75.7 years (County Health Rankings 2024). 11.8% of residents have no health insurance, and the state has expanded Medicaid. The Commonwealth Fund's 2023 scorecard ranks North Carolina's health system 23rd of 50.

Education Week's 2023 Quality Counts report ranks K-12 schools 29th in the country, and the state runs a school-choice voucher program.

Politics, guns and social policy

Politically, North Carolina is a competitive state that went to Trump by 3 points in 2024.

On guns, concealed-carry permits are shall-issue, and Giffords grades the state's gun laws C+.

Abortion is legal with limits. Marijuana is illegal. North Carolina is a right-to-work state, and the minimum wage is $7.25 an hour.

Climate, risk and getting around

Natural disaster risk is high. The main hazards are hurricane, tornado, flood. Annual average air quality index is 36 (under 50 is good).

North Carolina has a major hub airport, with about 175 nonstop destinations from its busiest airport.

Written from the figures on this page. Rankings compare the 50 states. Sources and years are listed with each figure below.

State Profile

59/100
255075100TAXES69SAFETY57HEALTH55SCHOOLS43AFFORDABLE82LONGEVITY48

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Taxes

Sources: state revenue departments · Tax Foundation 2026 · income-tax brackets 2026

Income Tax

Flat rate, reducing toward 3.99% by 2026

4.5% flat

Property Tax

~$2,345/yr on median home

0.7% / yr

Sales Tax

7% avg

Social Security

Exempt

Pension / IRA

Partial

Estate Tax

None

Inheritance Tax

None

Capital Gains

Taxed as income

Housing & Cost of Living

Sources: Zillow · Census ACS · iii.org and state insurers 2026 · WRLURI 2018 · Census 2024 (HOA)

Price Level vs US (BEA)

Below US average (100)

94.3

Mortgages 90+ Days Late

FHFA, latest quarter

0.9%

Cost of Living Index

National avg = 100

94

Median Home Price

$335,000

Median Rent (2BR)

$1,450/mo

Home Insurance

Near national avg (~$1,900/yr)

$1,900/yr

Flood Insurance

$1,000/yr

Homestead Exemption

Home equity protected from creditors

$35,000

Asset Protection

Weak

Homes in HOAs

HOAs are common (Census ACS 2024)

30.0%

Zoning Restrictiveness

Middle of the pack (Wharton WRLURI 2018)

Average

Short-Term Rentals (Airbnb)

Vacation Rental Act governs contracts; zoning/licensing local.

Local Control

Crime & Safety

Sources: FBI Crime Data Explorer 2023 · SafeHome registry counts 2025 · HUD PIT 2024

Violent Crime Rate

Near national avg

398 / 100K

Property Crime Rate

Near national avg

2,226 / 100K

Traffic Fatality Rate

12.7 / 100K

Registered Sex Offenders

Above the state median (SafeHome 2025)

268 / 100K

Homeless Population

Moderate homelessness rate — 39% unsheltered (HUD 2024 PIT)

105 / 100K

Healthcare

Sources: Commonwealth Fund 2023 · KFF · CDC

State Healthcare Rank

#23 of 50

Life Expectancy

75.7 yrs

Medicaid Expansion

Expanded

Uninsured Rate

11.8%

Education

Sources: Education Week 2023 · NCES · state statutes (school choice)

College Completion Rate

College Scorecard, in-state institutions (mean)

48%

Avg College Cost of Attendance

College Scorecard 2024

$27,503/yr

K-12 Quality Rank

#29 of 50

School Choice / Vouchers

Available

HS Graduation Rate

Near national avg (~87%)

87.2%

Pupil-Teacher Ratio

Near national avg (~16)

14.8 students/teacher

Childcare

Sources: Child Care Aware · Census ACS 2022

Avg Infant Care (Full-Time)

$1,050/mo

Utilities & Daily Costs

Sources: EIA (electricity, weekly gas) · USDA · eGRID 2022

Grid Carbon Intensity

Near US average (~820)

655 lb CO₂/MWh

Avg Monthly Energy Bill

$135/mo

Electricity Rate

Below national avg (13¢)

11.4¢/kWh

Energy Mix

14% renewable · ☀ 8% solar · 💨 0% wind

Avg Monthly Groceries

2-person household, moderate spending

$460/mo

Road Quality Rank

#14 of 50

Airports & Travel

Sources: FAA · BTS

Nonstop Destinations

From state's primary airport

175+ routes

Major Hub Airport

Top-25 US airport by passengers

Yes

Culture & Lifestyle

Sources: Census CBP · Brewers Association 2024 · Pollstar · AANR/TNS · AGA 2024

Urban Population

Mix of urban and rural

66% urban

Restaurant Density

430/100K

Religious Congregations

225/100K

Pro Sports Teams

NFL + NBA + MLB + NHL + MLS

3 teams

Major Venues

Stadiums, arenas, amphitheaters (10K+ capacity)

7 venues

Craft Breweries

3.5/100K residents — Solid scene

370 breweries

Craft Distilleries

Strong spirits scene

90 distilleries

Live Music

Asheville craft beer mecca; Charlotte/Raleigh growing; Wicked Weed and Burial nationally known

Strong

Transportation

Sources: NHTSA FARS · FCC · insurance rate surveys 2024 · IIHS helmet laws 2026

Car Insurance (Avg Annual)

$1,390

Traffic Fatality Rate

12.7 / 100K

Broadband Access

84% of households

Work From Home

State residents who primarily work from home (ACS)

609,532 workers

Social & Legal

Sources: Guttmacher · KFF · NCSL · state statutes 2026

Formal Volunteering Rate

AmeriCorps / Census CPS 2023 (US ~28%)

24.9%

Votes in Local Elections

AmeriCorps / Census CPS 2023

49.9%

Abortion Access

12-week ban with exceptions

Limited

LGBTQ+ Protections

Limited

Marijuana

Illegal

Minimum Wage

$7.25/hr

Right to Work

Yes

Sports Betting

Legal

Casino Gambling

Tribal casinos

Online Gambling

Illegal

State Lottery

Harrah's Cherokee casinos (Tribal). Sports betting launched 2024.

Yes

Age of Consent

16

Sex Education

Sex ed required by state

Abstinence-plus

Nude Beaches & Naturist Clubs

Whispering Pines (Raleigh area) · Paradise Lake Resort · Heliotrope Club

Active scene

Environment & Climate

Sources: EPA AQI · NOAA · FEMA National Risk Index

Air Quality (Annual AQI)

Near national avg

36

Natural Disaster Risk

High

Primary Hazards

hurricanetornadoflood

Politics & Gun Laws

Sources: OpenElections 2024 · Giffords 2025 · state statutes

2024 Presidential Vote

R+3

Gun Laws

Gun ControlC+
2A LibertyC+

Carry Permit

Shall-issue

Purchase Permit Required

No

Carry in Bars

Allowed

Carry in Restaurants

Allowed

Carry in Places of Worship

Concealed allowed unless posted, no consuming; open carry prohibited in alcohol venues.

Allowed

Gambling

Legal

Jobs & Economy

Sources: BLS QCEW 2024 · BLS JOLTS 2024 · BLS union membership 2025 · Census ACS

Job Openings Rate (JOLTS)

Tight labor market (US ~4.5%)

5.1%

Quits Rate (JOLTS)

Workers quit when they can find better; BLS 2024 average

2.0%

Job Market

+2.5% job growth · 3.5% unemployment

Strong

Top Industries

TechnologyHealthcareFinance

Tech Jobs

Strong tech presence

#15 of 50

Healthcare Jobs

#17 of 50

Remote Work

22% of workers

Median Household Income

$69,674

Union Membership

Among the least unionized states (BLS 2025)

2.5% of workers

Business Climate

Sources: Tax Foundation · state filings

Corporate Income Tax

2.5%

LLC Formation Fee

$125 one-time

LLC Annual Fee

$202/yr

Business Climate Rank

#17 of 50

Daily Life

Sources: American Pyrotechnics Association · state statutes 2026 · IIHS

Gas Price (Regular)

Well below avg (-0.26 vs national avg)

$3.04/gal

Consumer Fireworks

Consumer fireworks legal; some county restrictions

Legal

Motorcycle Helmet Law

Required for all riders (IIHS 2026)

All Riders

Weather & Natural Risks

Sources: NOAA · NWS Storm Prediction Center · FEMA NRI

Winter Severity

Avg January high: 51°F

Mild

Summer Heat

Moderate summers

89°F avg July

Annual Rainfall

50" / yr

Tornado Risk

Low

Hurricane Risk

Moderate

Wildfire Risk

Low

Flood Risk

Moderate

Natural Hazards

Sources: USGS · CDC · USDA APHIS · NOAA · FEMA NRI 2023

54HIGH danger
Hurricane HIGHCopperhead density significantBrown recluse zoneEEE risk

Venomous Snakes

High

Spider Hazard

Brown Recluse Zone

Hurricane Risk

High

Tornado Risk

Moderate

Wildfire Risk

Moderate

Earthquake Risk

Low

Armadillo Leprosy Risk

Moderate

Danger score is a composite index. Methodology ↗

Veteran Benefits

Sources: VA.gov · Military.com state guide · Tax Foundation

Veteran-Friendly Score

8.5% of state population are veterans

84/100

Property Tax Exemption

100% disabled: full property tax exempt

Partial

Military Retirement Pay

Tax Exempt

Active Duty Pay

Tax Exempt

VA Facilities Access

Excellent

Notable Benefits

Military retirement fully exempt since 2021

Explore North Carolina counties

Income, housing, poverty, healthcare — ranked by county

Explore Counties

See your full cost of living in North Carolina

Housing, taxes, childcare, insurance — all estimated.

Calculate

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NC vs WI

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COL 94 vs 93 · 4.5% vs 7.65% income tax

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Trending in North Carolina

Labor Day 2026: North Carolina ranks best for business economy, dead last for workers - NC Newsline

NC Newsline · Sep 7

Governor Stein Announces $69 Million to Support Affordable Rental Housing in Western North Carolina - NC Governor (.gov)

NC Governor (.gov) · Aug 25

Governor Gavin Newsom (D-CA) Speaks to Democratic Campaign Volunteers in North Carolina - C-SPAN

C-SPAN · Sep 5

Dobbs’s Near-Total Destruction of Abortion Rights Across the South - The New Republic

The New Republic · Sep 8

After over a year of deadlock, North Carolina finally has a budget - technicianonline.com

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What Residents Say

Considering a Move to North Carolina

Your take home or net salary will probably be around 50k after taxes and insurance. You will probably spend $2500 - $3000 a month on rent, car, ......

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Anyone living in Connecticut in a similar situation?

For us moving to NC cost of living will be a lot less than it is in CT. With the plan for myself to go back to school I will be taking a pay cut ......

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"Hidden" costs of living in NC? : r/NorthCarolina

The inspection cost isn't that bad. It's $30 a year. What costs money is the annual property tax you pay on your car for the registration....

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Just moved here,came from California thinking things ...

North Carolina(my new state) income Tax at 15$/hr(31k/yr) = 4.99% = 1,546.90. (Let me preface this by saying I get 40 miles to the gallon ......

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Moving to NC question : r/NorthCarolina

Unless you are shifting entirely to living rurally, moving to NC to avoid tax increases is just a few-year move before you do it again. Also you ......

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$130k in Charlotte vs $110k in Florida ? : r/NorthCarolina

Folks I ve been living in Tampa since four years and have secured job offer from company located in Charlotte North Carolina paying around 130 K as a ......

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Moving from North Carolina to New Jersey

I'm in year 13 and I moved from NJ to FL to VA and I am planning my move back to NJ this summer. Cost of living could be more in NJ but it ......

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Thinking of moving from NC : r/newhampshire

The cost of living is much higher in NH than in NC. The biggest pro to living in NH vs NC is it's not the south....

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Should I move to South Carolina or North ...

North Carolina has higher taxes - depends on where you live I live ... cost of living is significantly higher compared to columbia....

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Cost of living : r/raleigh

50-55k after taxes is perfectly doable, yes, even without a roommate....

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North Carolina will change its laws. We'll email you when it does.

One email when North Carolina changes a tax, gun, cannabis or abortion law. Unsubscribe in one click.

North Carolina Guides

relocation

Moving to North Carolina: The Research Triangle Effect

North Carolina's flat income tax dropped to 3.99% in 2026, and the Research Triangle is pulling in w

Data is informational only. Verify with a tax professional, real estate agent, and local sources before making relocation decisions. Crime data: FBI Crime Data Explorer 2023. Healthcare: Commonwealth Fund 2023; life expectancy from County Health Rankings 2024. Education: Education Week 2023. Housing: Zillow monthly index and Census ACS 2022. Insurance: rate surveys 2024. Sponsored links marked “Sponsored” may earn a commission. This does not affect our data or rankings.

Your Priorities

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Quick Profiles

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Annual Income

$150K

Affects effective income tax rate

$0$500K$5M+

Retirement Savings

$0

Affects pension and SS tax burden

None$500K$10M+

Social Security

None

Annual Social Security benefit

None$150K/yr

My Property Is Worth

$400K

Affects property tax burden

Tax burden ↓$1M$50M+

Home Buying Budget

$400K

Compared to state median home price

Hard to find$250K$5M+

Monthly Rent Budget

Don't care

Compared to state median 2BR rent

Don't care$10K/mo

Job Market

Don't care

State unemployment and job growth

Don't careHot market

Airport Access

Don't care

Direct flight destinations from state hubs

Don't careMust have hub

City vs Country

Mid-size city

% urban population

Deep countryBig city

Sunshine

Don't care

Annual sunny days per state

Don't careMax sunshine

Food Scene

Don't care

Restaurants per 100K residents

Don't careWorld-class

Political Preference

Neutral

State's political lean

LiberalConservative

Gun Laws

Neutral

State gun law grade (Giffords)

Gun Control2A Freedom

Abortion Access

Neutral

State abortion access policy

Pro-ChoiceNeutralPro-Life

Community

None

Congregations per 100K residents

AvoidDon't careSeek

Sports & Entertainment

Don't care

Pro sports teams and major venues

Don't careMust have pro teams

Cannabis Laws

Neutral

State cannabis legality

Prefer LegalNeutralPrefer Prohibition

Retiree Community

Neutral

% population 65+ (Census)

Young areaRetirement-heavy

Dating Market

Neutral

% adults never-married (Census)

Singles sceneFamily community

Safety / Low Crime

Don't care

Violent crime rate per 100K (FBI)

Don't careVery safe

School Quality

Don't care

K-12 rank (Education Week)

Don't careTop-ranked

Healthcare Access

Don't care

Healthcare system rank (Commonwealth Fund)

Don't careTop-ranked

Childcare Affordability

Don't care

Cost of living proxy for childcare affordability

Don't careMust be affordable