Interstate Relocation: Alabama → Texas

Moving from Alabama to Texas: Cost & Tax Comparison

Compare state income tax savings, HUD rent differentials, and household purchasing power adjustments when relocating from Alabama to Texas.

Data updated · Sources: HUD FY 2027 Fair Market Rents, EPI 2026 Family Budget, 2026 tax tables · Methodology

Effective Tax Rate Change -4.1 pts TX vs AL, $100k single
Annual Tax Savings +$4,102 Federal + FICA + state, $100k
1BR Rent Change +12.4% Avg 1BR $1,035 vs $920/mo
Net Annual Difference +$2,732 Tax savings + 1BR rent savings

What changes when you move from Alabama to Texas

Alabama has graduated income tax rates up to 5% and Texas has no state income tax on wages. On a $100,000 salary a single filer pays $4,102 in state income tax in Alabama and $0 in state income tax in Texas. With federal income tax and FICA unchanged, total tax falls by $4,102 a year after the move. HUD's one-bedroom Fair Market Rent averages $920 a month across Alabama's metro areas and $1,035 across Texas's (+12.4%). Pay differs too: the BLS median wage across all occupations, weighted by employment in each state's metros, is $45,967 in Alabama and $49,204 in Texas. City and county income taxes, which some localities add, are not included in these state-level figures; the metro routes below include them.

Origin State: Alabama

Alabama Paycheck & Living Costs

Destination State: Texas

Texas Paycheck & Living Costs

Metropolitan Corridors Between Alabama & Texas

Birmingham, AL → Houston-Pasadena-The Woodlands, TX On $100k: $5,102 less tax and $24 less 1BR rent a year
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Birmingham, AL → Dallas-Fort Worth-Arlington, TX On $100k: $5,102 less tax and $3,276 more 1BR rent a year
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Huntsville, AL → Houston-Pasadena-The Woodlands, TX On $100k: $4,102 less tax and $1,008 more 1BR rent a year
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Huntsville, AL → Dallas-Fort Worth-Arlington, TX On $100k: $4,102 less tax and $4,308 more 1BR rent a year
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Moving from Alabama to Texas: Cost & Tax Comparison Overview

Moving from Alabama to Texas on a $100,000 salary: pay $4,102 less in total taxes per year; average one-bedroom rent is $1,035 vs $920 a month (HUD FMR).

Quick answers
How much money will I save moving from Alabama to Texas?

For a single filer earning $100,000 with no local income tax, total federal, FICA and state taxes are $4,102 lower in Texas than in Alabama (4.1 percentage points of gross pay). The average HUD one-bedroom Fair Market Rent across Texas's metros is $1,035 a month, versus $920 in Alabama (+12.4%). Taxes and one-bedroom rent combined change by +$2,732 a year.

What are the key tax differences between Alabama and Texas?

Alabama: Graduated Brackets, top rate 5%. Texas: No State Income Tax, top rate 0%. Federal income tax and FICA are the same in both states.