Summary
- Texas's average personal consumption expenditure (PCE) cost of living per person is around $4,500 a month.
- Texas does not charge state income tax, meaning those living in Texas only have to pay federal taxes on their income.
- State sales tax in Texas is 6.25%.
- A financial advisor can help you develop a financial plan that enables you to achieve your goals regardless of where in the US you live.
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What is the average cost of living in Texas in 2026?
According to multiple sources, the average cost of living for a single in Texas is around $4,500 per month.
This takes housing, groceries, and other expenses into account.
For couples and larger families, this cost will be higher.
The overall cost of living in Texas is tough to pin down since the size of the state is considerable, and prices differ significantly between cities and the more rural areas.
Get expert advice to manage the cost of living in Texas
If the state’s cost of living is higher than expected, there are a few things that you can do to try to manage it.
You can consider moving to a more affordable area within or close to your desired city, look for job opportunities that offer a higher salary, or adjust your standard of living with the aim of lowering your expenses.
You can also work with an expert to help you get more control over your finances. Let Unbiased match you with a financial advisor.
How much will I pay in taxes in Texas?
Texas is one of seven American states that doesn't charge any state income tax.
This means that if you choose to live and work in Texas, you will not may state taxes. You will however continue to pay federal taxes.
There is also no corporate income tax for other Texas taxes.
The state sales tax is 6.25%, with local sales taxes charged up to 2% (for a total possible sales tax rate of 8.25%).
You can also check out the complete guide to taxes in Texas here.
How much does housing cost in Texas?
Texas is home to more than 1,200 incorporated cities and over 400 towns.
According to Zillow’s home value index, the average home value in August 2026 is approximately $299,000. This is down 1% over the last year. However, if you're hoping to purchase a property in Texas, things will again vary considerably depending on location.
Here are the average property values for the 10 largest cities in Texas:
| Area of Texas | Average home value | Area of Texas | Average home value |
|---|---|---|---|
| Houston | $271,476 | El Paso | $223,913 |
| San Antonio | $261,501 | Arlington | $322,876 |
| Dallas | $319,020 | Corpus Christi | $221,575 |
| Austin | $548,654 | Plano | $533,918 |
| Fort Worth | $308,593 | Lubbock | $210,393 |
The median rent for all property types in Texas is $1,877, according to Zillow’s Rental Manager. This is a decrease of $25 year-on-year.
However, if you plan to rent in the state, the amount you pay will depend hugely on where you'd like to live.
What is the average cost of utilities in Texas?
According to Forbes, in Texas, you can expect to pay about $424 in utility bills.
This is broken down as follows:
| Utility | Average amount |
|---|---|
| Energy bill | $132.40 |
| Monthly water bill | $37 |
| Internet | $30 |
| Natural gas | $61 |
| Phone bill | $114 |
| Streaming | $49.50 |
What are the average grocery and food costs in Texas?
Average grocery and food costs in the Lone Star State vary from region to region.
According to the U.S. Census Bureau, the average American household spends $270.21 per week on groceries and $109.21 on restaurants or fast food.
Grocery costs in Texas are anything between 3% higher than the national average, such as in El Paso, and 21% lower than the national average, such as in Waco.
What are the average transportation costs in Texas?
With a size of 268,596 square miles and more than 30 million residents, Texas is the second-largest state by area and population.
It should go without saying that access to reliable transport is essential. Due to this, you’re likely factoring in transportation costs when deciding whether this South Central state is the right one for you.
The MIT Living Wage Calculator provides some helpful expenditure averages for several different scenarios:
| Scenario | Average transport costs |
|---|---|
| Single adult | $10,216 |
| Couple (both working) | $11,823 |
| Family of four (both adults working) | $17,136 |
How much does healthcare cost in Texas?
Healthcare costs in Texas will vary depending on the type of health insurance you have and what your plan covers, your exact location, your age, and the state of your health.
The annual healthcare expenditure for a single adult with no children is $3,058. Discover the expenditure for people in various circumstances in the table below:
| Scenario | Average medical costs |
|---|---|
| Couple (both working) | $9,675 |
| Family of four (both adults working) | $10,147 |
What is the average childcare cost in Texas?
The cost of living in Texas can be significantly higher for parents than for people who do not have children. This is largely due to the relatively high cost of childcare in the state.
According to the Economic Policy Institute, the average annual cost of infant care in Texas is $9,324. For a four-year-old child, the average cost is $7,062, or $589 monthly.
That said, the various types of childcare available offer flexibility regarding parents' spending. They can also take advantage of state resources such as the Texas Workforce Commission’s child care subsidy program for low-income families.
How much does it cost to live in Texas?
There are many benefits to living in the Lone Star State. Most primarily, given that it's such a large landmass, it's a very versatile place to make your home.
Filled with unique cities and towns, one Texas experience can differ significantly from another. For example, the experience of living in Austin, Texas, and the associated cost of living will be far from the experience and cost of living in rural Texas.
Visit Unbiased to learn more about the cost of living and get expert financial advice on how you can make your money work for you. Let us match you with the best financial advisor for your needs.