Tennesseeno income tax, 5th lowest property tax, median home $350K
R+24 · Low tax burden · COL index 92
0%
Income Tax
668
Violent Crime / 100K
74.2
Life Expectancy
$350K
Median Home
$1,000
Childcare / Mo
Tennessee in plain English
Worth knowing before you move to Tennessee
Tennessee has no income tax on wages, and its tax on interest and dividends was fully repealed in 2021. It has one of the highest combined sales-tax rates in the country and taxes groceries at a reduced rate. Nashville and the surrounding counties have had a decade of rapid growth and price increases; the rest of the state remains inexpensive. There is no estate or inheritance tax.
What Tennessee taxes, and what it doesn't
Tennessee has no state income tax. Wages, retirement withdrawals and investment income are untouched at the state level, which puts it in a group of 9 states with Alaska, Florida, Nevada and 5 others.
Property tax runs 0.45% of home value a year, roughly $1,575 on the state's median home of $350K. The national effective rate is about 1.10%, and Tennessee has the 5th lowest rate of the 50 states.
Combined state and local sales tax averages 9.55%, the 2nd highest in the country (the state portion is 7%).
For retirees: Social Security benefits are not taxed, pension income is fully exempt, and there is no estate or inheritance tax.
Housing and the cost of living in Tennessee
Tennessee's cost of living index is 92, where 100 is the national average; that is the 17th cheapest of the 50 states.
The median home costs $350K, 15% above the national figure and the 24th highest among the states. A two-bedroom rents for about $1,400 a month.
Carrying costs matter as much as the price: home insurance averages $2,000 a year, flood coverage adds about $700 where it is needed, car insurance runs $1,530.
Budget $130 a month for electricity and gas, $420 a month in groceries for two, $1,000 a month for full-time infant care.
Safety, health and schools
Violent crime is 668 incidents per 100,000 residents in the FBI's 2023 Crime Data Explorer figures, above the median state (387); Tennessee is the 3rd most violent of the 50 by that measure. Property crime is 2,752 per 100,000.
Life expectancy is 74.2 years (County Health Rankings 2024). 10.4% of residents have no health insurance, and the state has not expanded Medicaid. The Commonwealth Fund's 2023 scorecard ranks Tennessee's health system 39th of 50.
Education Week's 2023 Quality Counts report ranks K-12 schools 41st in the country, and the state runs a school-choice voucher program.
Politics, guns and social policy
Politically, Tennessee is a solidly Republican state that went to Trump by 24 points in 2024.
On guns, no permit is required to carry a concealed handgun, and Giffords grades the state's gun laws F.
Abortion is banned with narrow exceptions. Marijuana is illegal. Tennessee is a right-to-work state, and the minimum wage is $7.25 an hour.
Climate, risk and getting around
Natural disaster risk is moderate. The main hazards are tornado, flood, ice-storm. Annual average air quality index is 36 (under 50 is good).
Tennessee has a major hub airport, with about 135 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.
Largest counties in Tennessee
State Profile
Taxes
Sources: state revenue departments · Tax Foundation 2026 · income-tax brackets 2026
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Taxes
Sources: state revenue departments · Tax Foundation 2026 · income-tax brackets 2026
Income Tax
Hall income tax on dividends/interest repealed 2021
Property Tax
~$1,575/yr on median home
Sales Tax
Social Security
Pension / IRA
Estate Tax
Inheritance Tax
Capital Gains
Housing & Cost of Living
Sources: Zillow · Census ACS · iii.org and state insurers 2026 · WRLURI 2018 · Census 2024 (HOA)
▾
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)
Mortgages 90+ Days Late
FHFA, latest quarter
Cost of Living Index
National avg = 100
Median Home Price
Median Rent (2BR)
Home Insurance
Near national avg (~$1,900/yr)
Flood Insurance
Homestead Exemption
Home equity protected from creditors
Asset Protection
Homes in HOAs
Moderate HOA presence (Census ACS 2024)
Zoning Restrictiveness
Middle of the pack (Wharton WRLURI 2018)
Short-Term Rentals (Airbnb)
2018 STR Unit Act partially preempts bans and grandfathers existing units.
Crime & Safety
Sources: FBI Crime Data Explorer 2023 · SafeHome registry counts 2025 · HUD PIT 2024
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Crime & Safety
Sources: FBI Crime Data Explorer 2023 · SafeHome registry counts 2025 · HUD PIT 2024
Violent Crime Rate
Well above national avg
Property Crime Rate
Near national avg
Traffic Fatality Rate
Registered Sex Offenders
Above the state median (SafeHome 2025)
Homeless Population
Moderate homelessness rate; 53% unsheltered (HUD 2024 PIT)
More on Tennessee
Healthcare#39 of 50▾
Sources: Commonwealth Fund 2023 · KFF · CDC
State Healthcare Rank
Life Expectancy
Medicaid Expansion
Uninsured Rate
EducationK-12 #41 of 50▾
Sources: Education Week 2023 · NCES · state statutes (school choice)
College Completion Rate
College Scorecard, in-state institutions (mean)
Avg College Cost of Attendance
College Scorecard 2024
K-12 Quality Rank
Bottom 10 nationally
School Choice / Vouchers
HS Graduation Rate
Above national avg (~87%)
Pupil-Teacher Ratio
Near national avg (~16)
Childcare$1,000/mo infant care▾
Sources: Child Care Aware · Census ACS 2022
Avg Infant Care (Full-Time)
Utilities & Daily Costs$130/mo energy▾
Sources: EIA (electricity, weekly gas) · USDA · eGRID 2022
Grid Carbon Intensity
Near US average (~820)
Avg Monthly Energy Bill
Electricity Rate
Below national avg (13¢)
Energy Mix
Avg Monthly Groceries
2-person household, moderate spending
Road Quality Rank
Airports & Travel135+ nonstop routes▾
Sources: FAA · BTS
Nonstop Destinations
From state's primary airport
Major Hub Airport
Top-25 US airport by passengers
Culture & Lifestyle66% urban▾
Sources: Census CBP · Brewers Association 2024 · Pollstar · AANR/TNS · AGA 2024
Urban Population
Mix of urban and rural
Restaurant Density
Religious Congregations
Strong religious community
Pro Sports Teams
NFL + NBA + MLB + NHL + MLS
Major Venues
Stadiums, arenas, amphitheaters (10K+ capacity)
Craft Breweries
1.9/100K residents: Growing
Craft Distilleries
Strong spirits scene
Live Music
Nashville country + everything; Memphis blues; Jack Daniel's + George Dickel; Bonnaroo 90 min from Nashville
Transportation$1,530/yr car insurance▾
Sources: NHTSA FARS · FCC · insurance rate surveys 2024 · IIHS helmet laws 2026
Car Insurance (Avg Annual)
Traffic Fatality Rate
Broadband Access
Work From Home
State residents who primarily work from home (ACS)
Social & Legal$7.25/hr minimum wage▾
Sources: Guttmacher · KFF · NCSL · state statutes 2026
Formal Volunteering Rate
AmeriCorps / Census CPS 2023 (US ~28%)
Votes in Local Elections
AmeriCorps / Census CPS 2023
Abortion Access
Near-total ban; trigger law took effect after Dobbs
LGBTQ+ Protections
Marijuana
Minimum Wage
Right to Work
Sports Betting
Casino Gambling
Online Gambling
State Lottery
No casinos but sports betting legal since 2020 (mobile only). Lottery funds education (HOPE scholarships).
Age of Consent
Sex Education
Sex ed required by state
Nude Beaches & Naturist Clubs
Rock Haven Lodge · Tennessee Naturists
Environment & ClimateAQI 36▾
Sources: EPA AQI · NOAA · FEMA National Risk Index
Air Quality (Annual AQI)
Near national avg
Natural Disaster Risk
Primary Hazards
Politics & Gun LawsR+24 · gun law grade F▾
Sources: OpenElections 2024 · Giffords 2025 · state statutes
2024 Presidential Vote
Gun Laws
Carry Permit
Purchase Permit Required
Carry in Bars
Carry in Restaurants
Carry in Places of Worship
Allowed unless posted; consuming or carrying while intoxicated prohibited.
Gambling
Hunting & Outdoors6% public land▾
Sources: state wildlife agencies · USFS · BLM · USFWS (May 2026)
Strong deer and turkey hunting culture. 628,000 acres of Wildlife Management Areas open to public hunting.
Tennessee Wildlife Resources Agency: Official Season Dates ↗Finding nearby venues...
Jobs & Economy3.4% unemployment▾
Sources: BLS QCEW 2024 · BLS JOLTS 2024 · BLS union membership 2025 · Census ACS
Job Openings Rate (JOLTS)
Near US average (~4.5%)
Quits Rate (JOLTS)
Workers quit when they can find better; BLS 2024 average
Job Market
+2.2% job growth · 3.4% unemployment
Top Industries
Tech Jobs
Healthcare Jobs
Remote Work
Median Household Income
Union Membership
Among the least unionized states (BLS 2025)
Business Climate#24 of 50▾
Sources: Tax Foundation · state filings
Corporate Income Tax
LLC Formation Fee
LLC Annual Fee
Business Climate Rank
Franchise and excise taxes apply; $300 LLC minimum franchise tax
Daily Life$2.97/gal gas▾
Sources: American Pyrotechnics Association · state statutes 2026 · IIHS
Gas Price (Regular)
Well below avg (-0.33 vs national avg)
Consumer Fireworks
Consumer fireworks broadly legal; local option to restrict
Motorcycle Helmet Law
Required for all riders (IIHS 2026)
Weather & Natural Risks91°F avg July▾
Sources: NOAA · NWS Storm Prediction Center · FEMA NRI
Winter Severity
Avg January high: 48°F
Summer Heat
Hot summers
Annual Rainfall
Tornado Risk
Hurricane Risk
Wildfire Risk
Flood Risk
Natural Hazards50/100 danger▾
Sources: USGS · CDC · USDA APHIS · NOAA · FEMA NRI 2023
Venomous Snakes
Spider Hazard
Hurricane Risk
Tornado Risk
Wildfire Risk
Earthquake Risk
Armadillo Leprosy Risk
Danger score is a composite index. Methodology ↗
Veteran Benefits79/100 veteran-friendly▾
Sources: VA.gov · Military.com state guide · Tax Foundation
Veteran-Friendly Score
8.3% of state population are veterans
Property Tax Exemption
100% disabled: up to $175K exemption
Military Retirement Pay
Active Duty Pay
VA Facilities Access
Notable Benefits
Explore Tennessee counties
Income, housing, poverty, healthcare, ranked by county
See your full cost of living in Tennessee
Housing, taxes, childcare, insurance: all estimated.
Compare Similar States
TN vs GA
Tennessee vs Georgia
COL 92 vs 91 · No vs 4.99% income tax
Full comparison →
TN vs LA
Tennessee vs Louisiana
COL 92 vs 91 · No vs 3% income tax
Full comparison →
TN vs NE
Tennessee vs Nebraska
COL 92 vs 91 · No vs 4.55% income tax
Full comparison →
TN vs SC
Tennessee vs South Carolina
COL 92 vs 93 · No vs 5.21% income tax
Full comparison →
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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.