Interstate Relocation: Kentucky → Texas

Moving from Kentucky to Texas: Cost & Tax Comparison

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

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

Effective Tax Rate Change -3.4 pts TX vs KY, $100k single
Annual Tax Savings +$3,382 Federal + FICA + state, $100k
1BR Rent Change +17.1% Avg 1BR $1,035 vs $884/mo
Net Annual Difference +$1,570 Tax savings + 1BR rent savings

What changes when you move from Kentucky to Texas

Kentucky has a flat 3.5% income tax and Texas has no state income tax on wages. On a $100,000 salary a single filer pays $3,382 in state income tax in Kentucky and $0 in state income tax in Texas. With federal income tax and FICA unchanged, total tax falls by $3,382 a year after the move. HUD's one-bedroom Fair Market Rent averages $884 a month across Kentucky's metro areas and $1,035 across Texas's (+17.1%). Pay differs too: the BLS median wage across all occupations, weighted by employment in each state's metros, is $47,891 in Kentucky 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: Kentucky

Kentucky Paycheck & Living Costs

Destination State: Texas

Texas Paycheck & Living Costs

Metropolitan Corridors Between Kentucky & Texas

Louisville/Jefferson County, KY-IN → Dallas-Fort Worth-Arlington, TX On $100k: $5,582 less tax and $5,736 more 1BR rent a year
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Lexington-Fayette, KY → Houston-Pasadena-The Woodlands, TX On $100k: $6,132 less tax and $672 more 1BR rent a year
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Lexington-Fayette, KY → Dallas-Fort Worth-Arlington, TX On $100k: $6,132 less tax and $3,972 more 1BR rent a year
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Moving from Kentucky to Texas: Cost & Tax Comparison Overview

Moving from Kentucky to Texas on a $100,000 salary: pay $3,382 less in total taxes per year; average one-bedroom rent is $1,035 vs $884 a month (HUD FMR).

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

For a single filer earning $100,000 with no local income tax, total federal, FICA and state taxes are $3,382 lower in Texas than in Kentucky (3.4 percentage points of gross pay). The average HUD one-bedroom Fair Market Rent across Texas's metros is $1,035 a month, versus $884 in Kentucky (+17.1%). Taxes and one-bedroom rent combined change by +$1,570 a year.

What are the key tax differences between Kentucky and Texas?

Kentucky: Flat Tax, top rate 3.5%. Texas: No State Income Tax, top rate 0%. Federal income tax and FICA are the same in both states.