Dallas vs Sacramento: cost of living compared
Sacramento is 22% more expensive than Dallas overall. Dallas (TX) has no state income tax; CA tops out around 9.3%.
Indexes use a US average of 100: below 100 is cheaper than the national average. Housing and transportation are derived from median home prices, rents and commute times; figures come from BLS, Census ACS, Numbeo and the MIT Living Wage Calculator.
The big picture
Moving between Dallas and Sacramento involves a noticeable shift in overall expenses. Sacramento generally presents a significantly higher cost of living compared to Dallas. This difference is largely driven by housing expenses, which are substantially greater in the California capital. While other categories also show Sacramento as more expensive, housing creates the biggest gap in a household budget.
Housing
Housing costs are a primary differentiator. Median home prices in Sacramento are considerably higher than in Dallas, and typical one-bedroom rents follow a similar pattern. Dallas offers more affordable homeownership and rental options. Property taxes and insurance costs can also vary, impacting the total cost of homeownership beyond the mortgage, though Dallas generally features a more expansive suburban housing stock.
Taxes and everyday costs
Daily expenses are also higher in Sacramento. Transportation, food, healthcare, and utilities all contribute to a greater cost burden there. A major factor is California's state income tax, which is absent in Texas, meaning a larger portion of earnings goes to taxes in Sacramento. This difference impacts disposable income for everyday spending and savings.
Lifestyle trade-offs
Beyond costs, these metros offer distinct lifestyles. Dallas has a hot, humid climate with distinct seasons, while Sacramento experiences a Mediterranean climate with dry, hot summers and mild, wet winters. Dallas is a sprawling, car-centric city with extensive highways, whereas Sacramento, while also car-dependent, has a more established downtown core and a slightly more compact feel. Both offer diverse amenities.
Bottom line
For those considering a move, the financial implications are clear: Sacramento presents a substantially higher cost of living across the board, primarily due to housing and the presence of state income tax. A household's budget will stretch further in Dallas, allowing for potentially greater savings or a higher standard of living for the same income. This financial disparity is a key consideration for any relocation.
| Measure | Dallas, TX | Sacramento, CA |
|---|---|---|
| Overall cost of living (US avg = 100) | 105 | 128 |
| Housing index | 99 | 132 |
| Transportation index | 104 | 110 |
| Food index | 98 | 108 |
| Healthcare index | 102 | 108 |
| Utilities index | 105 | 125 |
| Misc index | 98 | 105 |
| Median home price | $358,000 | $498,000 |
| Median 1-bedroom rent | $1,450/mo | $1,750/mo |
| Average commute | 29 min | 30 min |
Compare any two metros with the free cost of living tool, or see the true monthly cost of a specific Sacramento home with the True Cost Calculator.