1
Austin, TX
Zero state income tax, no tax on wages
State income tax: 0% · Local tax: 2.0%
Relocation guide
Lowest Tax Cities in the USA: Where to Live to Keep More Money
Taxes vary dramatically by state and city. Moving from a high-tax state like California (9.3% income tax) to a no-income-tax state like Texas or Florida can save a six-figure earner $10,000 or more per year. Here's how major U.S. cities compare on the metrics that actually affect your take-home pay.
Updated April 1, 2026
Top cities to consider
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2
Nashville, TN
No state income tax on wages since 2021
State income tax: 0% · Local tax: 9.25%
3
Miami, FL
No state income tax, warm climate bonus
State income tax: 0% · Local tax: 7.0%
4
Seattle, WA
No state income tax, though high sales tax
State income tax: 0% · Local tax: 10.25%
5
Denver, CO
Low flat income tax rate, no city income tax
State income tax: 4.63% flat · Local: 4.81%
Compare these cities yourself
Pick any two cities from this guide and see all the data side by side — rent, income, taxes, weather.
Open comparison toolFrequently asked questions
Which U.S. states have no income tax?
Nine states currently have no individual income tax: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. New Hampshire taxes interest and dividends but not wages. Tennessee fully eliminated its income tax on wages in 2021.
Does no income tax mean lower overall taxes?
Not necessarily. States without income tax often make up revenue through higher sales taxes, property taxes, or local taxes. Texas has no income tax but some of the highest property taxes in the nation. Washington has no income tax but a 10.25%+ sales tax in Seattle.
How much can I save by moving from California to Texas?
California's top income tax rate is 13.3%. Moving to Texas (0% state income tax) could save a person earning $150,000 approximately $10,000–$15,000 per year in state income taxes alone, plus potential savings on lower rent and housing costs.
What city has the lowest total tax burden?
Among major U.S. cities, Cheyenne, WY is often cited as lowest overall, but among cities in our dataset, Austin TX and Nashville TN consistently rank best — combining zero state income tax with reasonable local tax rates and lower housing costs than comparable metros.