Here’s the Salary a Single Person Needs To Live Comfortably in Texas

Everyone knows that where you live can make a huge difference in what you can afford on your salary. Individuals and families have been struggling in recent months as higher prices across the country make budgeting a challenge for consumers hoping to make a move. 

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Since parts of the Midwest and South are known for being more affordable than other parts of the country, you may be wondering how Texas stacks up. 

According a recent study from SmartAsset, a single person with no kids can live comfortably in several Texas cities on a salary of about $75,000. A family of four would need about $175,000 or more. Those figures are based on the 50/30/20 budgeting method, where you allocate 50% of your income to needs, 30% toward wants and 20% toward debt repayment, savings and investing, according to SmartAsset.

The analysis, which used the MIT Wage Calculator, found that Texas had four cities landing in the top five most affordable cities. Houston was the most affordable for a single person and a family of four. El Paso, Laredo and Lubbock also made the list.

One city that didn’t make that list — Austin, Texas. You’re going to need a higher salary to live comfortably here. In fact, an individual is going to need about $100,000 to live comfortably on their own, while families of four need about $224,000.

Unfortunately, Texans’ median annual salary doesn’t quite reach the $75,000 needed for the single person. The median annual salary in 2023 for Texas came in at $68,744, which puts it in 12th place among the states, according to the Austin American-Statesman.

With all this talk about a salary needed to live comfortably, it’s worth noting how the figures are calculated. Estimated living wage salaries are seen as “needs” and then those amounts are doubled to find the salary necessary to cover needs, wants and saving or paying off debt.

Another way to look at this situation is to ask: What’s a good salary in Texas? According to SoFi, “It depends on your family size, location and spending habits. Most individuals make between $45,000 and $100,000.”

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This article originally appeared on GOBankingRates.com: Here’s the Salary a Single Person Needs To Live Comfortably in Texas

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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