Chicago vs. Houston: Salary & Cost of Living

Houston offers lower costs and no state income tax compared with Chicago. Here is what a $150,000 Chicago salary is worth in Houston once housing, goods, and taxes are accounted for.

Equivalent salary

A $150,000 salary in Chicago is worth about $126,116 in Houston to maintain the same standard of living.

CategoryChicagoHoustonDifference
Housing12992-29%
Utilities11197-13%
Transportation11397-14%
Groceries10898-9%
Healthcare10798-8%
Childcare11796-18%
Dining Out11496-16%
Entertainment11297-13%
Insurance10998-10%
Consumer Goods10898-9%

State income tax: Chicago 4.95% vs. Houston 0%.

Median rent (2BR): $2,260 in Chicago vs. $1,610 in Houston. Median home price: $542,000 vs. $386,000.

Houston is about 16% cheaper than Chicago. Keeping your current salary there delivers a real purchasing-power gain of roughly $23,884 a year. Houston also has a state income tax about 5.0 points lower, adding to your take-home advantage.

Frequently Asked Questions

Is Houston cheaper than Chicago?
Yes. Houston is cheaper than Chicago overall, and Texas has no state income tax while Illinois levies a flat tax — so the take-home advantage of a Houston move adds to the cost-of-living difference.
What salary do I need in Houston to match Chicago?
You can preserve your Chicago standard of living on a lower nominal salary in Houston. Use the calculator above to model your exact equivalent number.

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