CITY COMPARISON
San Francisco vs Austin Cost of Living: Which Is Cheaper in 2026?
Data updated May 2026. Rent from Zillow ZORI, taxes from the Tax Foundation, cost-of-living index from BEA.
San Francisco to Austin became a well-worn path for tech workers, and the spreadsheet explains why. California's top income tax rate is among the highest in the country. Texas has none. Add San Francisco's housing costs and the gap gets wide fast.
Austin is not cheap by Texas standards. It is the priciest major metro in the state. But next to San Francisco it still looks like a discount: lower rent, much lower overall cost of living, and no state income tax skimming your paycheck.
Is San Francisco or Austin cheaper to live in?
At a $100,000 salary, moving from San Francisco to Austin frees up roughly $36,700 a year in disposable income. At $150,000 the gap widens to about $41,400 a year in Austin's favor.
Austin wins decisively. You drop a high state income tax to zero, cut rent substantially, and lower your everyday costs. San Francisco only makes financial sense if a specific job there pays a premium big enough to swallow all three gaps at once.
DISPOSABLE INCOME: MOVING SAN FRANCISCO → AUSTIN
AT A $100,000 SALARY
in Austin's favor
AT A $150,000 SALARY
in Austin's favor
Assumes the same gross salary in both cities (the remote-work case) and a single filer renting at the local median. Positive means Austin leaves more money after tax, housing, and everyday costs.
Full cost breakdown: San Francisco vs Austin
Here is where every dollar goes in each city, at two salary levels. Taxes, housing, and everyday costs are all in.
AT A $100,000 SALARY
| Line item | San Francisco | Austin |
|---|---|---|
| Gross salary | $100,000 | $100,000 |
| Federal income tax | -$15,000 | -$15,000 |
| State income tax (9.3%) Austin: (0%) | -$9,300 | -$0 |
| FICA (Social Security + Medicare) | -$7,650 | -$7,650 |
| Housing (median rent) ($2,500/mo) Austin: ($1,250/mo) | -$30,000 | -$15,000 |
| Other living costs (COL index 196) Austin: (COL index 119) | -$44,400 | -$32,850 |
| Sales tax on spending (8.85%) Austin: (8.2%) | -$2,751 | -$1,886 |
| Disposable income / year | -$9,101 | $27,614 |
AT A $150,000 SALARY
| Line item | San Francisco | Austin |
|---|---|---|
| Gross salary | $150,000 | $150,000 |
| Federal income tax | -$27,000 | -$27,000 |
| State income tax (9.3%) Austin: (0%) | -$13,950 | -$0 |
| FICA (Social Security + Medicare) | -$11,475 | -$11,475 |
| Housing (median rent) ($2,500/mo) Austin: ($1,250/mo) | -$30,000 | -$15,000 |
| Other living costs (COL index 196) Austin: (COL index 119) | -$44,400 | -$32,850 |
| Sales tax on spending (8.85%) Austin: (8.2%) | -$2,751 | -$1,886 |
| Disposable income / year | $20,424 | $61,789 |
San Francisco vs Austin: taxes, rent, and schools at a glance
| Metric | San Francisco | Austin |
|---|---|---|
| State income tax | 9.3% | None |
| Median 1-bedroom rent | $2,500/mo | $1,250/mo |
| Combined sales tax | 8.85% | 8.2% |
| Cost-of-living index (US avg = 100) | 196 | 119 |
| School composite rating (1-10) | 7/10 | 7/10 |
Who should pick San Francisco?
Stay in San Francisco if you are deep in a venture-backed career where being in the room still matters, and your equity or salary reflects that. For a narrow band of tech and startup roles, the Bay Area premium is real enough to justify the cost.
Who should pick Austin?
Choose Austin if you work remote or can land a role that holds most of your Bay Area comp. Austin has a real tech scene, no income tax, and a cost of living that lets you actually save the raise instead of handing it to rent.
How we calculated this
Disposable income is gross salary minus federal income tax, state income tax, FICA, housing, everyday non-housing costs, and sales tax on discretionary spending. Federal tax uses 2026 effective rates after the standard deduction for a single filer. State income tax is a single-bracket approximation for mid-six-figure earners. Housing is the median 1-bedroom rent. Non-housing costs scale with the BEA cost-of-living index. Sales tax is applied to roughly 70 percent of discretionary spending, since groceries and many services are reduced-rate or exempt in most states.
The numbers on this page assume the same gross salary in both cities. That is the remote-work scenario, and it is the cleanest way to isolate the cost-of-living difference. If a new job would rebase your salary by city, plug both real offers into the tool below.
Run your own San Francisco vs Austin numbers
The interactive Move-To-City tool lets you set different salaries for each city, enter your actual rent, switch filing status, and see the full FIRE-timeline impact of the move.
Open the Move-To-City tool →KEEP READING
Educational only, not financial advice. Cost-of-living estimates are modeled approximations from public data and will not match any individual budget exactly. Verify rent, tax, and salary figures for your own situation before making a move.