Average Salary in Texas 2026:
The Complete Guide
$66,963/Year ($32.19/Hour) • By Age, City, Industry & Cost of Living for Single Person
This equals $5,580 per month or $1,288 per week. The average salary in Texas varies significantly by age, location, and industry—ranging from $38,000/year for entry-level positions to $105,000+/year for experienced professionals in high-paying sectors like tech and energy. The median household income in Texas is $67,321, while a single person needs approximately $3,000-$3,600/month to live comfortably depending on the city.
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Understanding the average salary in Texas is essential whether you’re job hunting, negotiating a raise, relocating to the Lone Star State, or comparing your earnings to state benchmarks. Texas offers a unique economic landscape—no state income tax, booming tech sector in Austin, energy dominance in Houston, and lower cost of living than coastal states.
This comprehensive guide breaks down the average salary in Texas by age group, city, industry, and what it means for single-person households. With data from the U.S. Bureau of Labor Statistics, Texas Workforce Commission, and verified salary surveys, you’ll get the complete picture of Texas earnings in 2026.
Average Salary in Texas by Age (2026)
Understanding the average salary in Texas by age reveals earning potential throughout your career in the Lone Star State:
Key Insight: The average salary in Texas by age peaks at ages 45-54 ($75,890/year), representing workers at their career pinnacle with maximum experience and industry expertise. Workers ages 35-54 consistently earn above the state average, benefiting from Texas’s thriving economy and no state income tax policy.
What Is the Average Salary in Texas? Breaking Down the Numbers
When people ask “what is the average salary in Texas,” they’re looking for several metrics. Here’s the complete breakdown:
Three Ways to Measure Texas Salaries
This is the arithmetic average of all salaries in Texas. It equals $32.19/hour, $5,580/month, or $1,288/week. This is the most commonly cited figure when discussing average salary in Texas.
The middle value—50% of Texas households earn more, 50% earn less. This figure is often more representative of “typical” Texas families since it’s not skewed by ultra-high earners in tech and energy sectors.
Total income divided by total population, including children and non-workers. Useful for economic analysis but lower than working adult averages.
Texas Advantage: The average salary in Texas ($66,963) is even more valuable because Texas has no state income tax. This means Texans keep approximately $3,500-$5,000 more annually compared to workers in high-tax states like California or New York earning the same salary.
Average Salary in Texas for Single Person: Cost of Living Analysis
A critical question: “What does the average salary in Texas mean for a single person?” Here’s the complete breakdown of living costs:
Single Person Monthly Budget in Texas
| Expense Category | Austin | Dallas | Houston | Smaller Cities |
|---|---|---|---|---|
| 1BR Apartment | $1,500-$2,000 | $1,300-$1,700 | $1,200-$1,600 | $900-$1,300 |
| Utilities (Monthly) | $170-$220 | $160-$210 | $150-$200 | $130-$180 |
| Groceries | $380-$480 | $360-$460 | $350-$450 | $320-$420 |
| Transportation (Car) | $350-$450 | $330-$430 | $320-$420 | $280-$380 |
| Health Insurance | $320-$470 | $320-$470 | $320-$470 | $300-$450 |
| Other (phone, internet, etc.) | $220-$320 | $220-$320 | $220-$320 | $200-$300 |
| Total Monthly | $2,940-$3,940 | $2,690-$3,590 | $2,560-$3,460 | $2,130-$3,030 |
| Recommended Salary | $50,000-$63,000 | $46,000-$58,000 | $44,000-$56,000 | $36,000-$49,000 |
The average salary in Texas for single person ($66,963) provides comfortable living in all major cities with significant savings potential. With no state income tax, a single person earning the Texas average takes home approximately $4,300/month after federal taxes—well above the $2,560-$3,940 needed in major metros.
Bottom Line for Single Texans: The average salary in Texas ($66,963) translates to $5,580/month gross or approximately $4,300/month after federal taxes (no state tax!). This comfortably exceeds the $2,690-$3,940 monthly budget needed in major cities, leaving $360-$1,610 monthly for discretionary spending and savings. In smaller Texas cities, a single person lives very comfortably on this salary.
Average Salary in Texas by City (2026)
The average salary in Texas varies significantly by location. Here are the top-earning cities:
Top 10 Highest-Paying Texas Cities
Highest average salary in Texas. Home to Toyota NA HQ, Liberty Mutual, and major tech companies.
Silicon Hills tech boom. Tesla, Oracle, Apple, Google drive high salaries.
Energy executives, Exxon presence, master-planned community with high earners.
Fortune 500 headquarters, banking, telecommunications, strong job market.
Oil & gas, medical center, port jobs. Most diverse major U.S. city.
Military bases, USAA, healthcare. Lower cost of living offsets lower salaries.
Lockheed Martin, American Airlines, Bell Helicopter drive employment.
Rapidly growing with corporate relocations, sports teams, affluent residents.
Lower salaries but extremely affordable cost of living. Strong military presence.
Average Salary in Texas by Industry (2026)
Industry choice dramatically impacts earnings. Here’s how the average salary in Texas varies by sector:
Technology & IT
Energy & Engineering
Healthcare & Medical
| Industry Sector | Average Annual | Average Hourly | vs State Avg |
|---|---|---|---|
| Energy/Oil & Gas | $112,680 | $54.17 | +68% |
| Technology/IT | $102,450 | $49.25 | +53% |
| Healthcare | $82,680 | $39.75 | +23% |
| Finance/Insurance | $84,340 | $40.55 | +26% |
| Manufacturing | $62,920 | $30.25 | -6% |
| Education | $56,680 | $27.25 | -15% |
| Retail Trade | $38,450 | $18.49 | -43% |
| Food Service | $30,680 | $14.75 | -54% |
How Does Texas Compare to Other States?
Understanding where the average salary in Texas stands nationally provides important context:
Regional & National Salary Comparison
| State | Average Salary | State Income Tax | vs Texas |
|---|---|---|---|
| Texas | $66,963 | 0% (None) | — |
| Florida | $63,450 | 0% | -5% |
| California | $78,340 | 9.3-13.3% | +17% |
| New York | $76,450 | 6.5-10.9% | +14% |
| Ohio | $62,689 | 2.76-3.99% | -6% |
| Michigan | $61,450 | 4.25% | -8% |
| Georgia | $64,920 | 5.75% | -3% |
| U.S. National Avg | $66,120 | Varies | +1% |
The average salary in Texas ($66,963) is 1% above the national average and significantly more valuable due to zero state income tax. Texans earning the state average keep $3,500-$6,700 more annually than workers in high-tax states earning similar salaries.
💰 Take-Home Pay Advantage: A $67,000 salary in Texas equals approximately $73,000-$77,000 in California or New York when accounting for state income tax differences. This makes the average salary in Texas extremely competitive in real purchasing power.
📊 Compare Average Salaries Across All 50 States
Explore salary data for every U.S. state to see how Texas compares
Frequently Asked Questions: Average Salary in Texas
The average salary in Texas is $66,963/year ($32.19/hour) according to 2026 Bureau of Labor Statistics data.
The average salary in Texas by age: Ages 16-24: $34,680 | Ages 25-34: $58,340 | Ages 35-44: $72,450 | Ages 45-54: $75,890 (peak) | Ages 55-64: $73,680 | Ages 65+: $52,340.
The average salary in Texas ($66,963) is excellent for single people. Monthly living costs range from $2,560-$3,940 depending on city, while average salary provides $5,580/month gross ($4,300 after federal taxes, no state tax).
Plano has the highest average salary in Texas at $82,450/year ($39.64/hour), followed by Austin ($78,920) and The Woodlands ($76,340).
Energy/Oil & Gas ($112,680 avg), Technology/IT ($102,450 avg), and Finance/Insurance ($84,340 avg) offer the highest salaries—23-68% above the average salary in Texas.
Yes—$75,000/year is 12% above the average salary in Texas and provides comfortable living in all major cities with significant savings potential, especially with no state income tax.
No. Texas has zero state income tax, meaning the average salary in Texas ($66,963) has higher take-home pay than equivalent salaries in states with income tax.
The average salary in Texas ($66,963) is 1% above the U.S. average ($66,120) and significantly more valuable due to zero state income tax and lower cost of living.
The Complete Picture: Average Salary in Texas 2026
After analyzing Bureau of Labor Statistics data, Texas Workforce Commission reports, and thousands of salary data points, here’s the truth about the average salary in Texas:
The average salary in Texas ($66,963/year) is sufficient for:
- Comfortable single-person living in all major Texas cities
- Supporting a family of 3-4 in most Texas metros
- Building emergency fund and retirement savings
- Homeownership in most Texas markets (median home price: $298,000)
- Quality healthcare through employer insurance or marketplace plans
- Maximum take-home pay with zero state income tax advantage
The average salary in Texas is challenging for:
- Supporting large families (5+) as sole earner in expensive areas like Austin
- Luxury lifestyle or frequent international travel
- High-end home purchases in affluent suburbs (Plano, Frisco, The Woodlands)
- Aggressive early retirement without additional income streams
Why Texas Offers Exceptional Value for Workers
The average salary in Texas reflects a booming economy with diverse opportunities—from energy in Houston to tech in Austin to finance in Dallas. With zero state income tax, lower cost of living than coastal states, and strong job growth, Texas offers exceptional value. The Lone Star State combines competitive wages with favorable tax policy, creating superior purchasing power and quality of life. 🤠
Related Salary Resources: Use our Salary Percentile Calculator to see where your Texas salary ranks nationally, Salary Shock Indicator to evaluate job offers, and Salary to Hourly Calculator for wage conversions. Compare with neighboring states like Louisiana, Oklahoma, or New Mexico.
Last Updated: March 13, 2026 | Data sources: U.S. Bureau of Labor Statistics, Texas Workforce Commission, American Community Survey, verified salary surveys from Texas employers, and economic analysis from Federal Reserve Bank of Dallas. Individual salaries vary by specific role, company, education, negotiation, and local market conditions.
Hey there! I’m Kumar, the owner of DollarHire. Alongside working as an Executive SEO Specialist, I studied at a finance institute to strengthen my skills in finance and marketing.