Best Cities with No Income Tax Keep more of what you earn

Bellevue taking the #1 spot for "Best Cities with No State Income Tax" makes perfect sense, but it's a luxury product. The real advantage isn't just the tax savings; it's the career engine next door. With a median household income of $158,253 and 76.4% of residents holding a bachelor's degree or higher, you're buying into a peer group of high-achievers. The tech salaries here are massive, and the zero state income tax means more of that cash lands in your pocket.

The catch? That money goes right back out the door. A median home price of $1,535,000 isn't a typo, and the overall cost of living index is 13% above the national average. You're paying a premium for the schools, the safety (violent crime is low at 178 per 100k), and the manicured beauty of it all.

My insider tip: Skip the downtown high-rises and look for an older, more character-filled home in the Enatai neighborhood. It's a quiet, family-oriented gem with a small-town feel, a short walk from the waterfront, and a quick commute to the Microsoft campus.

Best for: Ambitious tech professionals and families seeking top-tier schools and a safe, pristine environment.
Skip if: You're on a starter-home budget or crave a gritty, eclectic urban vibe.

Frisco lands #2 for a reason: it’s a master-planned powerhouse with no state income tax, letting you keep more of that $141k median household income. The vibe is polished, safe (violent crime is 123 per 100k), and packed with amenities. That 67.5% bachelor's+ degree rate feels right—you'll meet driven, young professionals everywhere.

But the catch is real. The cost of living is 103.3, and buying a home is a major hurdle, with a median price of $652,500. You’re paying a premium for the schools and safety. It feels less like a city and more like a vast collection of subdivisions, so you'll drive everywhere. The 4.2% unemployment rate is low, but the job market is heavily skewed toward corporate and tech roles.

Insider tip: Skip the generic chain restaurants and head to The Star District for local eats and a lively atmosphere. It’s the closest thing to a downtown.

Best for: Young families and ambitious professionals who prioritize top-tier schools, safety, and a modern suburban lifestyle over urban grit.
Skip if: You crave walkable neighborhoods, a diverse arts scene, or a lower housing budget.

Sugar Land isn't just a suburb; it's a master-planned community that feels like its own small city, which is why it landed #3 for "Best Cities with No State Income Tax 2026." You feel the financial breathing room immediately, especially with a median home price around $400,000—more manageable than Houston proper.

The key advantage is a stable, affluent ecosystem. With a median household income of $133,144 and a cost of living index just a hair above the national average, you get upscale amenities without the brutal price tag. The 4.2% unemployment rate hints at a resilient local job market, often tied to healthcare and energy.

The catch? It’s suburban. You will drive. Traffic on Highway 59 can test your patience, and the vibe is more "family-centric" than "vibrant nightlife." It’s safe—violent crime is relatively low at 145 per 100k—but the cultural and dining scene is solid, not groundbreaking.

Insider tip: For a more established, tree-lined feel with older charm, look at the Telfair neighborhood, a newer master-planned area within the city.

Best for: Young families and remote workers seeking safety, good schools, and financial efficiency.
Skip if: You crave a walkable, diverse urban core or a bustling arts scene.

Allen landed at #4 for a reason: it's the Texas suburbs perfected. You get the no-state-income-tax perk (worth about $6,300 annually for the median household) paired with top-tier schools and a median home price of $510,000 that feels reasonable for its income level ($126,549). The 103.3 cost-of-living index is slightly above average, but the low 4.2% unemployment rate means jobs are plentiful.

The catch? It's a master-planned suburb, and it can feel that way. The vibe is family-centric, safe (violent crime is just 134 per 100k), and a bit homogenous. Your social life often revolves around kids' sports and the local mall. Traffic on Highway 75 is a daily grind.

Here's the local tip: For a slightly more established feel with mature trees, look in the Twin Creeks neighborhood. It’s got its own community center and avoids the newer, cookie-cutter feel of some western developments.

Best for: Growing families prioritizing safety, highly-rated schools (56% have a bachelor's degree), and a stable, suburban lifestyle.
Skip if: You crave urban energy, walkable nightlife, or a diverse, artsy scene.

League City made #5 on that "no income tax" list for a reason: it's a Gulf Coast suburb with serious momentum. You get the Texas tax perks while living in a place that feels more established than a typical new development. The median household income of $118,475 tells you the job market is solid, especially for those in healthcare, petrochemicals, or remote work.

The catch? You're paying for that stability. The median home price is $374,000, and the overall cost of living sits just above the national average at 100.2. It's not a bargain-basement deal; it's a calculated trade-off for good schools and low crime (violent crime is 156 per 100k, well below the national average).

A local insight: don't just drive through the historic district. Spend a Saturday morning at the League City Historic Town Centre, grab a coffee at a café on Main Street, and you'll get the small-town vibe that the newer subdivisions can't replicate.

Best for: Families seeking great public schools, outdoor lovers who want Galveston Bay access, and remote workers who want a safe, suburban base without a state income tax.

Skip if: You're on a tight budget, crave a walkable urban core, or hate coastal humidity and the occasional hurricane watch.

McKinney made that "no state income tax" list for a reason: it’s a high-earning, family-friendly sweet spot in the booming Dallas suburbs. With a median household income of $116,654 and a strong 51.4% bachelor's degree rate, the city feels prosperous and stable. The financial upside is real—your paycheck stretches further here than in many comparable metros.

But the catch is the commute. You’re looking at a solid 45-minute drive into Dallas proper, and traffic on U.S. 75 can be brutal. While the 4.2% unemployment rate is low, job opportunities are largely tied to the broader DFW region. The cost of living is also slightly above the national average (103.3 index), so don't expect a bargain.

For a true local vibe, explore Historic Downtown McKinney. It’s the charming heartbeat of the city, with a great farmers market and walkable streets, a stark contrast to the newer subdivisions sprawling outward.

Best for: Growing families seeking strong schools and a suburban community with big-city access.
Skip if: You crave a short, walkable commute or an urban, culturally dense environment.

Pearland, Texas, made the "Best Cities with No State Income Tax" list for a reason: it offers a solid, suburban lifestyle without the extreme price tag of its big-city neighbors. With a median home price of $351,500, it's a more accessible entry point into the Houston-area market.

The financial upside is real. That lack of state income tax, combined with a median household income of $108,454, means more money stays in your pocket. The cost of living index is nearly at the national average (100.2), and the job market is stable with a 4.2% unemployment rate. It feels safe, with a violent crime rate well below the national average.

The catch? You're trading urban grit for suburban sprawl. Pearland is car-dependent, and you'll face a commute if you work in downtown Houston. The vibe is family-centric and quiet—great for some, but it can feel a bit cookie-cutter if you crave unique culture or nightlife.

Insider tip: Explore the Old Town district for a taste of local charm, with its historic homes and walkable blocks. It's a small pocket that breaks up the newer subdivisions.

Best for: Growing families looking for good schools (45.6% have a bachelor's degree or higher) and value in a safe community. Skip if: You're a young professional who wants a walkable, vibrant city core or a short commute to downtown.

Seattle lands at #8 on our list, and it’s the quintessential Pacific Northwest trade-off. The big draw? No state income tax means your $120,608 median household income goes much further—on paper. But that high salary is immediately challenged by a cost of living index of 113.0 and a median home price of $785,000. The 1BR median rent of $2,269 is just the start; you’re also paying a premium for coffee, craft beer, and the view of the Sound.

The catch is the gray. The drizzle isn’t a myth, and the 5.1% unemployment rate hints at a competitive job market, especially outside tech. You’ll also see a violent crime rate of 729 per 100k, which is something to research by neighborhood.

Here’s a local tip: don’t just look at downtown. Explore the Fremont neighborhood, known as the "Center of the Universe," for its quirky vibe, good beer, and slightly more manageable housing than Capitol Hill.

Best for: Tech professionals, outdoor enthusiasts who don’t mind a raincoat, and those who prioritize no income tax over sunshine.
Skip if: You need consistent sunshine, are on a tight budget, or are uncomfortable with a visible homeless crisis.

Plano made the "no state income tax" list for a reason: it’s a high-earning, educated suburb where that 0% tax rate actually translates to real savings. With a median household income of $108,594 and over 60% of residents holding a bachelor’s degree, the city feels prosperous and stable. The 4.2% unemployment rate and a violent crime rate of 178 per 100k are both well below national averages, adding to its family-friendly appeal.

But the catch is the cost of living. At 103.3, it’s above the national average, and the median home price sits at a steep $499,000. While rent for a one-bedroom is a more manageable $1,291, buying in is a serious financial commitment. You're also paying a premium for that safety and school quality.

Insider tip: If you want the classic Plano lifestyle without the highest price tag, look at the older, established neighborhoods in West Plano, like Willow Bend. It’s where you’ll find true character among the newer builds.

Best for: Families prioritizing top-tier schools and suburban safety in a tax-friendly state.
Skip if: You crave a vibrant, walkable urban core or are on a tight home-buying budget.

Round Rock cracked the top 10 for its unique blend of Texas Hill Country charm and Austin-tech accessibility. With no state income tax and a median household income of $102,420, your take-home pay stretches noticeably further here than in many other metro areas.

The cost of living index is 97.6, meaning it's slightly cheaper than the national average, and a median home price of $375,000 is more attainable than in Austin proper. The job market is stable, with a 4.2% unemployment rate, and the local school district is consistently strong.

The catch? It's a quintessential suburb. You'll need a car for everything, and the commute into Austin on I-35 during rush hour is a test of patience. While violent crime is relatively low (189 incidents per 100k people), the overall vibe is decidedly family-oriented and quiet. For a true local flavor, skip the chain restaurants and head to Round Rock Donuts—the legendary spot where locals debate the merits of the orange-glazed classic.

Best for: Growing families seeking good schools, stable jobs, and a more affordable slice of the Austin metro.
Skip if: You crave a vibrant, walkable urban core or a nightlife scene.

Midland made the #11 spot on the list of "Best Cities with No State Income Tax 2026" for a straightforward reason: it’s an economic engine where your paycheck stretches further, especially if you’re in oil, engineering, or healthcare. The median household income is a solid $90,699, and with a cost of living index of 94.8 (below the national average), your money goes further here than in many other Texas cities.

The biggest advantage is housing. The median home price is just $215,000, making homeownership a realistic goal for many. A one-bedroom apartment typically rents for $1,372. The job market is tight, with an unemployment rate of only 4.2%.

But there's a catch: Midland is a hardworking, practical city, not a cultural hub. The vibe is more "work hard, play hard" than "arts and leisure." You have to be okay with wide-open skies and a landscape dominated by the energy industry. The violent crime rate is 446.5 per 100k, which is higher than the national average, so it's wise to research specific neighborhoods.

An insider tip: For a taste of local life beyond the big chains, head to the Midland Downtown area, especially around the Wagner Noël Performing Arts Center. It's a pocket of growing energy with local eateries and events.

Best for: Ambitious young professionals and families seeking affordable homeownership and a strong job market with no state income tax.
Skip if: You're looking for a bustling arts scene, walkable urban density, or a low-crime environment without careful neighborhood selection.

Austin landed on this list for a reason: zero state income tax and a booming tech scene. You’ll pocket more of your $91k median household income, and with a cost of living index at 97.6, it’s slightly below the national average. The job market is tight, with unemployment at just 3.8%.

But the catch? That friendly vibe comes with a price tag. The median home price is a steep $520,000, and while a one-bedroom apartment might seem cheap at $821, that’s often for a place in the suburbs. Traffic on I-35 is a daily grind, and the city is growing so fast that the soul it’s famous for sometimes feels stretched thin.

Insider tip: For a true taste of the "weird" Austin everyone talks about, spend an afternoon on South Congress—it’s a vibrant street that captures the city's eclectic spirit better than any festival.

Best for: Tech professionals, music lovers, and anyone who values outdoor access and a social, energetic atmosphere.

Skip if: You're looking for a quiet, affordable home, hate traffic, or want a city that feels established rather than perpetually under construction.

New Braunfels checks the "no state income tax" box hard, ranking #13 for 2026, but it’s the river-town vibe that really pulls you in. With a median home price of $338,500 and a cost of living index of 93.7, your paycheck stretches further here than in Austin or San Antonio.

The upside is tangible: a median household income of $87,778 and an unemployment rate of just 4.2% signal a stable, family-friendly economy. The catch? It's growing fast. Traffic on I-35 can be a slog, and the violent crime rate (446.5 per 100k) is notably higher than the national average, so researching specific neighborhoods is key.

Insider tip: Look for homes in the quieter, established neighborhoods like Gavenston, just east of I-35, to avoid the downtown bustle but stay close to the Comal and Guadalupe rivers.

Best for: Families who love outdoor activities and want a small-town feel with big-city access. Skip if: You crave a bustling nightlife or are sensitive to rapid suburban sprawl and traffic.

Enterprise, Nevada, might sound like a corporate name, but it's the thriving, unincorporated area just west of the Las Vegas Strip that consistently ranks for its financial perks. If you're chasing no state income tax, you'll find it here, paired with a median household income of $91,225 that's comfortably above the national average.

The catch? You're trading a true city vibe for suburban sprawl. You'll drive everywhere, from the massive Red Rock Casino to the grocery store, and public transit is virtually nonexistent. That suburban life comes with a surprising downside: a violent crime rate of 460.3 per 100k is noticeably higher than the national average, a reality of the valley's broader challenges.

For a true local oasis, the neighborhood around Spring Mountain Ranch State Park offers stunning hiking and a break from the neon glow. It’s a 20-minute drive from most of Enterprise, but it feels a world away. The median home price sits at $484,800, and a one-bedroom apartment rents for about $1,314.

Best for: Remote workers and families who prioritize tax savings, space, and easy access to world-class dining and entertainment over a traditional downtown core.

Skip if: You crave walkable neighborhoods, a distinct cultural identity separate from Las Vegas, or are sensitive to high summer heat and light pollution.

Richardson made the "Best Cities with No State Income Tax" list for a reason: it's a stable, well-educated suburb with a strong job market, especially in tech and telecom. The lack of a state income tax means your $95,170 median household income goes further, though the cost of living index at 103.3 is slightly above the national average.

The big catch? You'll pay for that tax break elsewhere. The median home price is $450,000, and while a 1-bedroom apartment averages $1,291, housing is the primary expense. It’s a classic suburb, so if you crave a bustling, 24/7 urban core, you might feel its quiet streets are a bit sleepy.

Insider tip: The neighborhood around Cottonwood Park offers a great blend of established homes, green space, and easy access to the dynamic Telecom Corridor. For a local bite, you can't go wrong with the legendary burgers at Prince Lebanese Grill on Greenville Avenue, just a short drive away.

Best for: Families and professionals seeking a safe, stable community with top-tier public schools and easy access to Dallas jobs.
Skip if: You're a young renter who prioritizes a walkable, nightlife-rich urban environment over suburban space and school districts.