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Texasno income tax, 6th highest property tax, median home $340K

R+14  ·  Moderate tax burden  ·  COL index 97

B+

0%

Income Tax

447

Violent Crime / 100K

76.3

Life Expectancy

$340K

Median Home

$1,050

Childcare / Mo

Texas in plain English

Worth knowing before you move to Texas

Texas has no income tax and no estate tax, and its constitution prohibits an income tax without a statewide vote. Property taxes are among the highest in the country and are the main source of local school funding; the 2023 legislature raised the homestead exemption to $100,000 to offset that. Homeowner insurance costs are high along the Gulf coast and rising statewide after hail and freeze events. The grid is independent of the rest of the country.

What Texas taxes, and what it doesn't

Texas 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 1.60% of home value a year, roughly $5,440 on the state's median home of $340K. The national effective rate is about 1.10%, and Texas has the 6th highest rate of the 50 states.

Combined state and local sales tax averages 8.19%, the 14th highest in the country (the state portion is 6.25%).

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 Texas

Texas's cost of living index is 97, where 100 is the national average; that is the 25th cheapest of the 50 states.

The median home costs $340K, 12% above the national figure and the 24th lowest among the states. A two-bedroom rents for about $1,600 a month.

Carrying costs matter as much as the price: home insurance averages $3,200 a year, flood coverage adds about $900 where it is needed, car insurance runs $2,140.

Budget $145 a month for electricity and gas, $480 a month in groceries for two, $1,050 a month for full-time infant care.

Safety, health and schools

Violent crime is 447 incidents per 100,000 residents in the FBI's 2023 Crime Data Explorer figures, above the median state (387); Texas is the 16th most violent of the 50 by that measure. Property crime is 2,478 per 100,000.

Life expectancy is 76.3 years (County Health Rankings 2024). 18.4% of residents have no health insurance, and the state has not expanded Medicaid. The Commonwealth Fund's 2023 scorecard ranks Texas's health system 36th of 50.

Education Week's 2023 Quality Counts report ranks K-12 schools 36th in the country, and the state runs a school-choice voucher program.

Politics, guns and social policy

Politically, Texas is a solidly Republican state that went to Trump by 14 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 medical only. Texas is a right-to-work state, and the minimum wage is $7.25 an hour.

Climate, risk and getting around

Natural disaster risk is very high. The main hazards are hurricane, tornado, flood. Annual average air quality index is 43 (under 50 is good).

Texas has a major hub airport, with about 200 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

51/100
255075100TAXES67SAFETY50HEALTH29SCHOOLS29AFFORDABLE79LONGEVITY52

Taxes

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

Income Tax

None

Property Tax

~$5,440/yr on median home

1.6% / yr

Sales Tax

8.19% avg

Social Security

Exempt

Pension / IRA

Fully Exempt

Estate Tax

None

Inheritance Tax

None

Capital Gains

Not taxed

Housing & Cost of Living

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

Price Level vs US (BEA)

Near US average (100)

97.1

Mortgages 90+ Days Late

FHFA, latest quarter

1.3%

Cost of Living Index

National avg = 100

97

Median Home Price

$340,000

Median Rent (2BR)

$1,600/mo

Home Insurance

Well above national avg (~$1,900/yr)

$3,200/yr

Flood Insurance

$900/yr

Homestead Exemption

Home equity protected from creditors

Unlimited

Asset Protection

Strong

Homes in HOAs

HOAs are common (Census ACS 2024)

34.3%

Zoning Restrictiveness

Middle of the pack (Wharton WRLURI 2018)

Average

Short-Term Rentals (Airbnb)

No statewide preemption statute; courts have limited some retroactive bans; city-by-city rules.

Local Control

Warning: Insurance Market Stress

TWIA (coastal insurer of last resort) at record ~280K policies and $117B exposure, up from 185K in 2020. Get an insurance quote before you buy here.

Crime & Safety

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

Violent Crime Rate

Near national avg

447 / 100K

Property Crime Rate

Near national avg

2,478 / 100K

Traffic Fatality Rate

13.6 / 100K

Registered Sex Offenders

Above the state median (SafeHome 2025)

261 / 100K

Homeless Population

Low homelessness rate; 44% unsheltered (HUD 2024 PIT)

89 / 100K

More on Texas

Healthcare#36 of 50

Sources: Commonwealth Fund 2023 · KFF · CDC

State Healthcare Rank

#36 of 50

Life Expectancy

76.3 yrs

Medicaid Expansion

Not Expanded

Uninsured Rate

Above national avg (~9%)

18.4%
EducationK-12 #36 of 50

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

College Completion Rate

College Scorecard, in-state institutions (mean)

57%

Avg College Cost of Attendance

College Scorecard 2024

$26,789/yr

K-12 Quality Rank

#36 of 50

School Choice / Vouchers

Available

HS Graduation Rate

Above national avg (~87%)

90.0%

Pupil-Teacher Ratio

Near national avg (~16)

14.5 students/teacher
Childcare$1,050/mo infant care

Sources: Child Care Aware · Census ACS 2022

Avg Infant Care (Full-Time)

$1,050/mo
Utilities & Daily Costs$145/mo energy

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

Grid Carbon Intensity

Near US average (~820)

819 lb CO₂/MWh

Avg Monthly Energy Bill

$145/mo

Electricity Rate

Below national avg (13¢)

11.7¢/kWh

Energy Mix

27% renewable · ☀ 4% solar · 💨 22% wind

Avg Monthly Groceries

2-person household, moderate spending

$480/mo

Road Quality Rank

#31 of 50
Airports & Travel200+ nonstop routes

Sources: FAA · BTS

Nonstop Destinations

From state's primary airport

200+ routes

Major Hub Airport

Top-25 US airport by passengers

Yes
Culture & Lifestyle85% urban

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

Urban Population

Highly urban, big city feel

85% urban

Restaurant Density

490/100K

Religious Congregations

230/100K

Pro Sports Teams

NFL + NBA + MLB + NHL + MLS

11 teams

Major Venues

Stadiums, arenas, amphitheaters (10K+ capacity)

20 venues

Craft Breweries

1.5/100K residents: Growing

430 breweries

Craft Distilleries

One of the nation's top distillery states

215 distilleries

Live Music

Austin Live Music Capital of the World; SXSW; Deep Ellum (Dallas); Houston rap capital; ACL Festival

World-class
Transportation$2,140/yr car insurance

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

Car Insurance (Avg Annual)

$2,140

Traffic Fatality Rate

13.6 / 100K

Broadband Access

84% of households

Work From Home

State residents who primarily work from home (ACS)

1,512,512 workers
Social & Legal$7.25/hr minimum wage

Sources: Guttmacher · KFF · NCSL · state statutes 2026

Formal Volunteering Rate

AmeriCorps / Census CPS 2023 (US ~28%)

27.4%

Votes in Local Elections

AmeriCorps / Census CPS 2023

45.8%

Abortion Access

Near-total ban; SB8 bounty law and trigger law

Banned

LGBTQ+ Protections

Hostile

Marijuana

Medical Only

Minimum Wage

$7.25/hr

Right to Work

Yes

Sports Betting

Illegal

Casino Gambling

Tribal casinos

Online Gambling

Illegal

State Lottery

Only Kickapoo Lucky Eagle Casino near Eagle Pass. Bingo halls widespread. Licensed horse racing tracks. Sports betting repeatedly blocked in legislature.

Yes

Age of Consent

17

Sex Education

No state sex ed mandate

Abstinence-only

Nude Beaches & Naturist Clubs

Hippie Hollow (Lake Travis, Austin) · Bluebonnet Nudist Park (Alvord) · Sandpipers Holiday Park

Nude beach
Environment & ClimateAQI 43

Sources: EPA AQI · NOAA · FEMA National Risk Index

Air Quality (Annual AQI)

Near national avg

43

Natural Disaster Risk

Very High

Primary Hazards

hurricanetornadofloodextreme-heat
Politics & Gun LawsR+14 · gun law grade F

Sources: OpenElections 2024 · Giffords 2025 · state statutes

2024 Presidential Vote

R+14

Gun Laws

Gun ControlF
2A LibertyA+

Carry Permit

No permit required

Purchase Permit Required

No

Carry in Bars

Prohibited

Carry in Restaurants

Allowed

Carry in Places of Worship

51%-alcohol-revenue businesses prohibited; restaurants and churches allowed unless posted.

Allowed

Gambling

Not Legal
Hunting & Outdoors2% public land

Sources: state wildlife agencies · USFS · BLM · USFWS (May 2026)

Public Land2% of state
Resident Deer License$25
Deer Archery SeasonOct 1 – Nov 1 (South Texas), Nov 1 – Dec 1 (most zones)
CrossbowFull season

Only 2% public land — most hunting is on private ranches or lease clubs. Lease prices can run $500-$2,000/year. White-tail deer population is the largest in the US.

Texas Parks & Wildlife: Official Season Dates ↗

Finding nearby venues...

Jobs & Economy4.1% unemployment

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

Job Openings Rate (JOLTS)

Near US average (~4.5%)

4.2%

Quits Rate (JOLTS)

Workers quit when they can find better; BLS 2024 average

2.3%

Job Market

+2.8% job growth · 4.1% unemployment

Strong

Top Industries

EnergyTechnologyHealthcare

Tech Jobs

Top tech job market nationally

#4 of 50

Healthcare Jobs

#20 of 50

Remote Work

20% of workers

Median Household Income

$73,035

Union Membership

Among the least unionized states (BLS 2025)

4.9% of workers
Business Climate#13 of 50

Sources: Tax Foundation · state filings

Corporate Income Tax

0.75% gross receipts tax applies

Gross receipts tax

LLC Formation Fee

$300 one-time

LLC Annual Fee

None

Business Climate Rank

#13 of 50

0.75% franchise tax on gross receipts (0.375% for retail/wholesale); no annual LLC fee if no public info report required

Daily Life$2.94/gal gas

Sources: American Pyrotechnics Association · state statutes 2026 · IIHS

Gas Price (Regular)

Well below avg (-0.36 vs national avg)

$2.94/gal

Consumer Fireworks

Consumer fireworks broadly legal; counties can opt out

Legal

Motorcycle Helmet Law

Required under 21 (IIHS 2026)

Age-Limited
Weather & Natural Risks96°F avg July

Sources: NOAA · NWS Storm Prediction Center · FEMA NRI

Winter Severity

Avg January high: 56°F

Mild

Summer Heat

Hot summers

96°F avg July

Annual Rainfall

28" / yr

Tornado Risk

Very High

Hurricane Risk

High

Wildfire Risk

High

Flood Risk

High
Natural Hazards81/100 danger

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

81EXTREME danger
Tornado EXTREME (Red River Valley to DFW)Wildfire EXTREMEHurricane HIGH (Gulf Coast)Brown recluse zoneArmadillo leprosy zoneScorpion density HIGHTarantula migration I-35Western diamondback everywhere

Venomous Snakes

Extreme

Spider Hazard

Brown Recluse Zone

Scorpions

High

Hurricane Risk

High

Tornado Risk

Extreme

Wildfire Risk

Extreme

Earthquake Risk

Moderate

Armadillo Leprosy Risk

High

Danger score is a composite index. Methodology ↗

Veteran Benefits98/100 veteran-friendly

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

Veteran-Friendly Score

8.1% of state population are veterans

98/100

Property Tax Exemption

100% disabled: full property tax exempt

Full (disabled)

Military Retirement Pay

Tax Exempt

Active Duty Pay

Tax Exempt

VA Facilities Access

Excellent

Notable Benefits

No income tax. Large military presence. Top state.

Explore Texas counties

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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.

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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