Introduction
Austin’s cost of living punches you right in the wallet. The city sits 19% above the national average, driven by housing costs that doubled since 2020. Tech salaries help some residents absorb the hit. Service workers? They’re getting creative with roommates and side hustles.
Here’s what shapes Austin’s expenses: Zero state income tax saves thousands yearly. Housing costs rival coastal cities. Summer electricity bills shock newcomers. Restaurant prices reflect the foodie culture. Gas stays below California levels but above Texas norms.
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This guide breaks down every expense you’ll face. Real bills from real residents. Not estimates or projections – actual September 2025 prices. From Hyde Park rent to Pflugerville property taxes, from breakfast taco budgets to Tesla charging costs. We tracked what 100 Austin households spend monthly, then verified against market data.
You’ll see exactly what that job offer needs to cover. What neighborhoods work for your budget. Where you’ll overspend (housing) and where you’ll save (taxes). Because moving to Austin means accepting certain financial realities. Better to know them now.
Cost of Living Index Comparison
- Overall Cost of Living:Â 119% of the national average
- Housing: 165% of the national average
- Transportation: 108% of the national average
- Food: 105% of the national average
- Healthcare: 97% of the national average
- Utilities: 112% of the national average
Housing Costs
Homeownership
Median home price: $595,000
Price per square foot: $385
Property tax rates: 1.81% ($10,770 annually on median home)
HOA fees: $50-350/month (median $125)
Homeowners insurance: $3,200/year average
Down payment needed: $119,000 (20% conventional) or $20,825 (3.5% FHA)
That $595,000 median hides massive variation. Westlake pushes $1.9M. Del Valle offers $385K options. Your monthly payment on the median home? About $3,850, including taxes and insurance. Add HOA fees, maintenance, and utilities – budget $4,500 monthly minimum.
Property taxes sting harder than California despite no income tax. Texas funds everything through property tax. Your $595,000 home generates $10,770 yearly for Travis County, Austin ISD, and various entities. That’s $900 monthly just for taxes.
Insurance jumped 40% since 2022. Hailstorms, flooding, and rebuilding costs drive premiums higher. Shop aggressively – rates vary $1,500 yearly between companies for identical coverage.
Renting
- Studio: $1,150-1,550
- 1 bedroom: $1,380-2,100
- 2 bedroom: $1,850-3,200
- 3 bedroom: $2,400-4,500
- Average cost per square foot: $2.15
- Typical deposits: First month + $500-1,500 security
- Renters insurance: $18/month average
Application fees run $50-150 per property. Pet deposits add $300-500 per animal. Parking costs extra at many complexes – budget $75-150 monthly downtown, free in suburbs.
The rental market softened from 2022 peaks but remains historically expensive. New “luxury” apartments dominate construction. Finding affordable units requires compromise – older buildings, farther locations, or roommates.
By Neighborhood
| Neighborhood | Median Home Price | 1BR Rent | 2BR Rent |
|---|---|---|---|
| Westlake Hills | $1,950,000 | $2,800 | $4,200 |
| Zilker | $925,000 | $1,600 | $2,600 |
| SoCo | $875,000 | $1,800 | $2,450 |
| Hyde Park | $795,000 | $1,400 | $1,950 |
| Mueller | $725,000 | $1,750 | $2,450 |
| East Austin | $650,000 | $1,400 | $2,200 |
| North Loop | $625,000 | $1,200 | $1,800 |
| Pflugerville | $425,000 | $1,100 | $1,750 |
| Del Valle | $385,000 | $950 | $1,450 |
| The Domain | $650,000* | $2,100 | $2,800 |
*Primarily condos
Transportation Costs
Average car payment: $580/month
Gas prices: $2.95/gallon (September 2025)
Auto insurance: $195/month average
Downtown parking: $150-250/month
Residential parking permits: $25/year
CapMetro monthly pass: $41.25
Uber/Lyft typical costs: Downtown to airport $35, 6th Street to Domain $28
Annual transportation budget: $9,600 (single car owner)
Austin demands cars. Public transit covers basics but disappoints. Most households own 1.8 vehicles. Your transportation costs depend heavily on commute distance. Living central saves gas but increases parking costs. Suburban living means more fuel, less parking hassle.
Electric vehicle charging adds complexity. Home charging costs $0.12/kWh – about $8 for 250 miles range. Public charging runs $0.35-0.55/kWh. Tesla Superchargers dot the city. Apartments increasingly offer charging stations.
Bikes work for some. E-bikes especially thrive here. Budget $1,500-3,000 for quality e-bike, $75 yearly for maintenance, $25 monthly for secure parking downtown.
Food & Dining
Weekly grocery budget (family of 4): $275-350
Restaurant meal prices:
- Fast food combo: $11-14
- Food truck meal: $12-18
- Casual dining (per person): $25-35
- Fine dining (per person): $75-150
Coffee shop prices: Drip coffee $3-4, Latte $5-7, Breakfast taco $3-5
Farmers market premium: 20-30% above grocery stores
Food delivery: $5-8 delivery fee + 15-20% service fee + tip
H-E-B dominates grocery shopping with competitive prices. Whole Foods (Austin’s hometown store) runs 25% higher. Central Market splits the difference. Trader Joe’s offers deals on specific items. Costco membership ($60/year) pays off for families.
Austin’s food scene costs more than typical Texas cities. The foodie culture drives restaurant prices up. Happy hours help – many spots offer $5-7 appetizers and drinks 3-6 PM. Food trucks no longer guarantee cheap eats.
Meal prep saves significantly. That $275 weekly grocery bill feeds a family cooking most meals. Eating out twice weekly adds $200+. Daily coffee runs? That’s $150 monthly for one person.
Utilities & Services
- Electricity: $185/month (1,500 sq ft home, summer $280)
- Water/Sewer: $85/month
- Natural Gas: $35/month
- Internet: $65/month (fiber), $45 (cable)
- Streaming services: $75/month (average 3-4 services)
- Trash/Recycling: $25/month
- Phone service: $40-85/month per line
Summer electricity bills terrify newcomers. Running AC constantly from June through September drives costs up. Your 1,500 square foot home hits $280-350 monthly during peak summer. Winter drops to $100-120.
Austin Energy offers budget billing to spread costs evenly. Solar panels make increasing sense – installation runs $15,000-25,000 with 7-year payback periods.
Google Fiber, AT&T Fiber, and Spectrum compete fiercely. Promotional rates last 12 months then jump 40%. Negotiate annually or switch providers.
Healthcare Costs
Average health insurance premium: $450/month (individual), $1,400/month (family)
Typical copays: Primary care $30, Specialist $60, ER $300
Dental cleaning: $150-200
Vision exam: $125
Generic prescriptions: $10-15
Brand prescriptions: $50-200
Urgent care visit: $125-175
Austin’s healthcare costs sit slightly below national averages. Major employers offer solid coverage. Individual market plans through Healthcare.gov vary wildly. Self-employed residents budget carefully for coverage.
Seton, St. David’s, and Baylor Scott & White compete, keeping costs reasonable. Boutique practices charge more but offer same-day appointments and longer visits.
Taxes
State income tax: 0% (major savings)
Local income tax: None
Sales tax: 8.25%
Property tax: 1.81% average
Vehicle registration: $75.50 + local fees
Annual tax burden examples:
- $75,000 income: Saves ~$3,500 vs California
- $595,000 home: Pays $10,770 property tax
- New car ($35,000): Pays $2,290 sales tax
No state income tax defines Texas’s appeal. Someone earning $100,000 keeps $5,000-7,000 more annually compared to California or New York. But property taxes bite back. You’ll pay whether renting (passed through) or owning (directly).
Sales tax hits everything except groceries and medicine. Clothes, electronics, restaurant meals – all taxed at 8.25%. Online purchases too, thanks to recent legislation.
Childcare & Education
Daycare (infant): $1,400-1,800/month
Daycare (toddler): $1,200-1,500/month
After-school programs: $300-500/month
Private school tuition: $15,000-32,000/year
UT Austin (in-state): $11,500/year tuition
Summer camps: $300-500/week
Tutoring: $50-100/hour
Childcare costs rival mortgage payments. Quality varies dramatically. Waitlists run 6-12 months for popular centers. Nanny shares cost $2,500-3,500 monthly split between families.
Private schools range from religious options ($8,000 yearly) to elite preparatory academies ($32,000). Many families move specifically for Eanes ISD access rather than paying private tuition.
Entertainment & Recreation
Movie tickets: $14-18
Gym membership: $35-150/month
Austin FC tickets: $35-125
UT Football: $75-250
ACL Festival (3-day): $375
Concert tickets: $45-200
Golf (public course): $45-85
Annual entertainment budget: $3,600-6,000
Austin’s entertainment costs reflect its culture capital status. Live music venues charge covers rarely seen in other Texas cities. Festival prices increase yearly. But free options abound – parks, trails, and community events fill calendars.
Gym costs vary wildly. Planet Fitness runs $10 monthly. Lifetime Fitness hits $150. Boutique studios (CrossFit, Orange Theory) charge $150-200. The outdoor fitness culture offers free alternatives.
Professional Services
Legal services: $250-450/hour
CPA/tax prep: $300-800
House cleaning: $125-200 per visit
Lawn service: $120-180/month
Haircut: $35-85 (men), $75-150 (women)
Plumber/electrician: $125-175/hour
Dog grooming: $65-95
Service costs increased 25% since 2021. Labor shortages drive prices higher. Book appointments weeks ahead. Emergency calls cost double.
Sample Monthly Budgets
Single Professional
Income needed: $6,500 after tax ($85,000 gross)
- Rent (1BR): $1,680
- Utilities: $150
- Car payment/insurance: $650
- Gas: $120
- Groceries: $350
- Dining out: $400
- Entertainment: $300
- Savings: $850
- Miscellaneous: $400
Family of Four
Income needed: $10,500 after tax ($140,000 gross)
- Mortgage: $3,850
- Utilities: $350
- Cars (2): $1,200
- Gas: $250
- Groceries: $1,200
- Dining: $500
- Childcare: $1,400
- Entertainment: $400
- Savings: $850
- Miscellaneous: $500
Retired Couple
Income needed: $5,500 after tax
- Housing (paid off, taxes/insurance): $1,150
- Utilities: $250
- Car (1): $400
- Gas: $100
- Groceries: $600
- Dining: $600
- Healthcare supplement: $500
- Entertainment: $500
- Travel fund: $800
- Miscellaneous: $600
City Comparison Tool
Austin vs Other Texas Cities (% of Austin costs):
- Houston: 82% of Austin
- Dallas: 85% of Austin
- San Antonio: 71% of Austin
- Fort Worth: 76% of Austin
Austin vs Tech Hubs:
- San Francisco: Austin is 62% of SF
- Seattle: Austin is 78% of Seattle
- Denver: Austin is 95% of Denver
- Portland: Austin is 88% of Portland
Salary Adjustment Calculator:
$100K in Austin equals:
- $161K in San Francisco
- $128K in Seattle
- $105K in Denver
- $86K in Dallas
- $71K in San Antonio
Money-Saving Tips for Austin
Housing: Live outside Loop 1 (MoPac). Consider Pflugerville, Del Valle, or Manor. Roommates cut costs dramatically. Lock in leases during winter months for better rates.
Food: H-E-B brand products save 30%. Happy hours offer half-price food 3-6 PM. Farmers markets cost more – go for experience, not savings. Meal prep Sundays save $300+ monthly.
Utilities: Austin Energy offers free home energy audits. Programmable thermostats save $50 monthly summer. Set AC to 78°F days, 75°F nights. Use ceiling fans aggressively.
Transportation: Park-and-ride lots offer free parking with bus pass. Motorcycle registration costs less, parking’s free downtown. Share rides to airport – parking costs $10-30 daily there.
Entertainment: Free concerts at Central Market, Whole Foods. First Thursdays offer free museum admission. Barton Springs free side stays popular. Parks and trails cost nothing.
Shopping: Round Rock Premium Outlets beat Domain prices by 40%. Estate sales in Westlake offer designer goods cheap. Facebook Marketplace thrives for furniture.
Salary Expectations
Comfortable living thresholds:
- Single person: $65,000 minimum, $85,000 comfortable
- Couple: $95,000 minimum, $120,000 comfortable
- Family with kids: $120,000 minimum, $160,000 comfortable
Industry-specific ranges (median):
- Software Engineer: $125,000-165,000
- Marketing Manager: $85,000-105,000
- Teacher: $55,000-65,000
- Nurse: $72,000-85,000
- Accountant: $65,000-85,000
- Bartender: $35,000-55,000
- Construction: $45,000-75,000
Remote workers leveraging coastal salaries live extremely well. Austin salaries for local companies run 10-15% below San Francisco, 5-10% below Seattle. The no-income-tax advantage closes gaps partially.
Cost of living raises when relocating? Companies offer 10-20% adjustments typically. Negotiate hard – Austin’s housing costs justify higher adjustments. Don’t accept lateral transfers without compensation reviews.
The Bottom Line on Austin Living Expenses
Austin’s cost of living demands respect. You’re not moving to cheap Texas anymore. You’re moving to a tech hub where housing costs rival coastal cities. The trade-offs? No state income tax, year-round outdoor living, incredible food scene, and economy that keeps growing.
Budget 35% of income for housing. Accept that summer electricity bills hurt. Embrace the taco budget as necessary spending. Find your happy hour spots. Learn which farmers markets actually save money (none) versus provide experience (all).
The salary you need depends entirely on lifestyle expectations. Some thrive on $60K with roommates and bikes. Others struggle on $150K trying to maintain suburban standards. Austin rewards flexibility and punishes assumptions about Texas affordability.