Texas and California are the two biggest US states and the most-searched cost-of-living matchup. Here’s how they compare on the numbers that matter for a move.
Estimate — verify with the primary sources. These are statewide averages; Austin and rural West Texas are very different, as are San Francisco and inland California.
Side by side
| Indicator | Texas | California |
|---|---|---|
| Price level (BEA RPP, US = 100) | 97.5 | 112.5 |
| Price vs US average | -2.5% | +12.5% |
| Median household income (2023) | $75,780 | $95,521 |
| Median gross rent / month | $1,475 | $2,104 |
| State income tax | None | Among the highest |
See the live data on California vs Texas.
Which is cheaper?
On overall price level, Texas is cheaper — about 15% less expensive than California. The headline driver is housing: California’s median rent ($2,104) is roughly 43% above Texas’s ($1,475), and home prices diverge even more.
The salary you’d need
Using the salary-needed formula, to keep the same standard of living:
| Moving | Equivalent salary |
|---|---|
| $100,000 in Texas → California | ~$115,400 |
| $100,000 in California → Texas | ~$86,700 |
Run your own number in the calculator.
But income and taxes flip part of the story
California’s median household income is nearly 26% higher than Texas’s, so many roles simply pay more there. The counterweight is tax: Texas has no state income tax, while California’s top marginal rates are among the highest in the country — a gap this price-level comparison does not capture. Net it all out with your specific salary and target city.
Bottom line
If your pay is similar in both, Texas stretches further. If a California move comes with a big enough raise, the higher salary can absorb the higher prices — especially outside the priciest coastal metros. For more matchups, see Texas vs Florida and the comparisons hub.
Sources
Price level: BEA RPP. Income and rent: U.S. Census Bureau ACS. Estimates as of June 2026. See our methodology.