Move to Austin, keep $79,180 of your $100K.
Texas has no state income tax — but Austin’s property tax and NYC’s rent are the real opponents. Federal, state & FICA on both sides, plus sales tax, housing, and cost-of-living math — every 2026 line computed to the cent.
Federal $13,170FICA $7,650You keep $79,180
$100K in NYC vs Austin: side by side
Same salary, same federal tax, same FICA — then the paths split. New York State takes its graduated cut (3.9%–10.9%) and New York City adds its own (3.078%–3.876%); Texas takes nothing. Here is the take-home at four incomes, single filer, 2026:
| NYC take-home | Austin take-home | You keep extra | |
|---|---|---|---|
| $75,000 | $55,667 | $61,593 | $5,926 / yr |
| $100,000 | $70,878 | $79,180 | $8,302 / yr |
| $150,000 | $100,121 | $113,791 | $13,670 / yr |
| $200,000 | $130,282 | $148,927 | $18,645 / yr |
At $100K the entire $8,302 gap is $4,861 of NY State tax plus $3,441 of NYC city tax — check it against our $100K NYC breakdown. The higher you earn, the wider it gets: at $200K Austin keeps you $18,645 ahead every single year.
No state income tax — the whole story
Texas is one of nine states with no broad-based individual income tax — and unlike New Hampshire, it doesn’t tax interest and dividends either. There is no Texas return to file on your wages, no withholding, no estimated payments to Austin. The state constitution effectively locks it in.
New York is the mirror image: nine graduated brackets from 3.9% to 10.9% at the state level, plus New York City’s own four brackets from 3.078% to 3.876% — a combined top marginal bite no other major U.S. city matches. Our New York tax guide walks the full 2026 schedule.
The honest footnote: Texas doesn’t run on air. It funds schools and services through property taxes among the highest in the nation and sales tax up to 8.25% — which is exactly what the next section prices out.
Texas property tax: the hidden bill
Here is where Texas claws some of it back. The Tax Foundation’s 2026 figures (2024 Census basis) put Texas at roughly 1.4–1.6% effective property tax — top-ten nationally — versus about 1.3% in New York. On a $450,000 Austin home that is roughly $6,300–$7,200 a year before any homestead exemption, and Texas homeowners insurance adds another $3,900–$4,500 a year (versus $1,300–$1,700 in New York) thanks to hail, hurricane, and tornado exposure.
| Ownership cost | Austin, TX | New York City |
|---|---|---|
| Effective property tax rate | ~1.4–1.6% | ~0.9% (city) / 1.3% (state avg) |
| Tax on a $450K home | ~$6,300–$7,200 / yr | N/A — median listing ~$689K |
| Homeowners insurance | $3,900–$4,500 / yr | $1,300–$1,700 / yr |
| Homestead exemption | Yes — lowers taxable value | N/A for most NYC co-ops/condos |
Two things soften the blow: Texas’s homestead exemption shaves the taxable value of your primary residence, and if you’re renting — as most movers initially are — you dodge the property-tax bill almost entirely while still pocketing the income-tax savings.
The rent gap dwarfs the tax gap
The income-tax savings are real, but housing is where the move pays for itself several times over. A typical one-bedroom rents for roughly $2,800–$3,800 in New York City versus about $1,200–$1,600 in Austin — and Zillow’s late-2026 figures put the typical metro rent at $3,615 in New York versus $1,622 in Austin.
Do the breakeven: the $8,302 yearly tax saving is $692 a month. The rent saving is roughly $2,000 a month — nearly triple. Cost-of-living data puts a single person’s monthly budget (rent included) at $7,265 in NYC versus $4,133 in Austin: about 46% cheaper across the board.
Buyers get relief too: Austin’s median sits around $415,000–$540,000 against roughly $689,000 for New York City, and Austin entered 2026 with historically high inventory after cooling from its 2022 peak.
Tax savings at $100K: $692/month. Rent savings: ~$2,000/month. Anyone doing this move for the money is really doing it for the housing — the tax cut is the signing bonus.
Sales tax, estate tax, and the rest
Beyond income and property tax, the everyday ledger slightly favors Austin too:
- Sales tax: 8.875% in New York City versus 8.25% in Austin — a 0.625-point edge on every taxable purchase.
- Estate tax: New York’s 2026 exclusion is $7.35 million with a notorious cliff (cross 105% of it and the whole estate is taxed); Texas has none. Matters only at high net worth — but decisively there.
- Gas and cars: Texas is car country — budget for a vehicle, insurance, and fuel, costs many NYC movers haven’t carried in years.
Net: on pure tax, Austin wins at every income and every wealth level. The costs that push back are housing-adjacent (property tax, insurance) and lifestyle (needing a car), not the tax code.
Everyone’s moving — here are the receipts
This isn’t anecdote; it’s measurable. Redfin’s Q2 2026 migration data shows New York with a net outflow of 29,838 relocating home-searchers — the second-highest in the country — while Texas drew a net inflow of 6,306. The New York metro alone lost 27,143 net searchers. Census-based analysis puts New York’s domestic outmigration at a steady −0.2% of population, and Texas Realtors data shows roughly a third of new Texans arriving from California, Florida, New York, and Colorado.
One caveat before you pack: the pandemic-era frenzy cooled. Texas’s breakneck in-migration slowed through 2025, and Austin’s housing market went from the nation’s hottest to buyer-friendly — which, if you’re moving to Austin, is actually good news.
Considering the other direction? Our NYC vs New Jersey tax comparison runs the same 2026 math for commuters — including the convenience-of-employer rule that decides whether remote workers really escape New York tax.
Should you move? Who wins and who doesn’t
The math favors Austin for most people, but not everyone:
- Should move: remote workers with Texas-based roles, high earners (the dollar gap scales with income), renters paying Manhattan or Brooklyn rents, and anyone buying their first home.
- Should think twice: anyone whose job is genuinely tied to NYC’s finance, media, or fashion ecosystems; holders of rent-stabilized apartments (irreplaceable); car-free New Yorkers who’d hate Texas driving; and remote workers of NYC employers — the convenience rule may keep you in New York’s tax net anyway.
And run your own numbers first: our custom salary tool computes any salary for NYC, the rest of New York, or Yonkers in seconds — compare it against a Texas paycheck with zero state tax and you’ll see your personal gap instantly.
NYC vs Austin Tax FAQs
How much do I save moving from NYC to Austin on $100,000?
About $8,302 a year in income tax alone — roughly $692 a month — because Texas has no state or city income tax while NYC takes $4,861 in state tax plus $3,441 in city tax at that income. Housing usually saves far more: the typical rent gap runs near $2,000 a month.
Does Texas really have no state income tax?
Yes — it’s in the state constitution. Texas funds itself mainly through property and sales taxes instead, which is why its property taxes run among the highest in the country. There is no Texas state return to file on your wages.
Is Austin actually cheaper than New York City?
Substantially. Cost-of-living data puts Austin about 46% cheaper than NYC overall, with rent the biggest driver: a typical one-bedroom runs roughly $1,200–$1,600 in Austin versus $2,800–$3,800 in NYC. Groceries, dining, and transport all run 15–50% less.
What about property taxes in Texas?
They’re the catch. Texas averages roughly 1.4–1.6% effective (Tax Foundation, 2026) versus about 1.3% in New York — on a $450,000 Austin home that’s roughly $6,300–$7,200 a year, and Texas homeowners insurance runs $3,900–$4,500 versus $1,300–$1,700 in New York. Renters dodge most of this.
Do I still owe New York tax if I work remotely for a NYC company from Austin?
Quite possibly yes. New York’s convenience-of-the-employer rule taxes remote workers of New York employers as if the work were done in New York — moving your apartment doesn’t move your tax bill unless your job is genuinely Texas-based. See our NYC vs New Jersey comparison for how the rule works.
What Austin salary equals $100K in New York City?
On pure purchasing power, about $54,000 — cost data puts NYC roughly 86% more expensive than Austin, so $100,000 ÷ 1.86 ≈ $53,800. In practice most movers keep their salary and bank the difference, which is the whole point of the move.
Is Austin housing still affordable?
More than it was: Austin’s market cooled from its 2022 peak and entered 2026 with historically high inventory favoring buyers. The metro median sits around $415,000–$540,000 versus roughly $689,000 for New York City — still a meaningful gap, just narrower than the pandemic-era extremes.
What happens tax-wise in the year I move?
You file part-year resident returns in both states: New York taxes the income you earned while living there (plus any NY-source income after), and Texas — having no income tax — needs no return. NYC’s city tax is residence-based, so it stops the day you genuinely move; keep dated proof like a lease and utility bills.
Comparing your own numbers?
Run any salary through the 2026 NY engine — NYC, rest of state, or Yonkers — then stack it against zero Texas tax.
Calculate My Pay →More Comparisons & Breakdowns
Transparent calculations. Official sources. Take-home figures from our verified 2026 NYC take-home pay calculator; property-tax rates per the Tax Foundation’s Facts & Figures 2026; migration per Redfin Q2 2026 and Census-based 2025 analysis; rents per Zillow via the New York Post (Oct 2026); cost-of-living via CityCost. Methodology → Reviewed October 16, 2026 by Daniel Mitchell, U.S. Tax Consultant. Estimates only, not tax advice.