In the event that the cost of living data was unavailable for this city, estimates based upon nearby cities were used. Each cost of living index is based on a national average of 100. If the amount is below 100, it is lower than the national average. If the amount is above 100, it is higher than the national average.
The above illustration supplies generalized information for the Waco, TX cost of living index. Compared to other cities in Texas and cities across the country, the cost of living index in Waco, TX is 85, which is 7% lower than the Texas average and 15% lower than that for the entire country. The index is comprised of the following criteria: cost of retail goods and services (33%), groceries (13%), health care (5%), housing (30%), cost of public/private transportation (9%) and utilities (10%). Everyday goods and services, along with housing account for 63 percent of the total cost of living index. Goods and services that are a necessity regardless of location provide an accurate general sense of the cost of living in one city versus another. As seen above, the cost of retail goods and services in Waco, TX are 2% higher than the average for Texas and 5% lower than the rest of the country.
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The cost of living in Waco is 7% lower than the Texas average.
The cost of living in Waco is 15% lower than the national average.
The cost of housing in Waco is 38% lower than the national average.
Texas general sales tax is 23% higher than the national average.
Texas state income tax is 100% lower than the national average.
This is how much you would need to earn in Price difference in compared to
Cost of living index
Goods & Services index
Groceries index
Health care index
Housing index
Transportation index
Utilities index
Use the salary calculator to compare your current salary in Waco, TX to any other city. The salary calculator will tell you how much you would need to earn in any given city to maintain the same standard of living based on the cost of living in each city. For example, if the cost of living in the city you are looking to relocate to is higher than the cost of living in Waco, TX, then you would need to earn more income in order to maintain the same standard of living. To use the Waco, TX salary calculator, simply enter in the name of the new city, then adjust the slider to your current income. The salary calculator will do the rest and let you know if you need to earn more or less in the new city. You will also see a complete breakdown of the cost of living.
Median Income & Debt-To-Income Ratio
Median Income
Per Year
Per Month
Max Budget (28% DTI)
Max Budget (36% DTI)
Owners
$53,750
$4,479
$1,254
$1,613
Renters
$24,026
$2,002
$561
$721
One can approximate the cost of living and the housing affordability in Waco, TX by the percentage of a person’s income that he or she spends on the monthly housing, otherwise known as the debt-to-income ratio (DTI). To stay on the safe side and keep one’s head above the water, a consumer should never spend more than 28 percent of his or her gross income on housing-related expenses and costs and not more than 36 percent of income on all expenses and debts. Homeowners in Waco, TX have a median income of $53,750. Therefore, the amount that a consumer should spend on housing costs should be no more than $1,254 per month to avoid calamity and poverty. The renters in the city have an income of about $24,026, which would make their monthly maximum allowable rental costs $561.
Texas Sales Tax
State
General Sales Tax
With Max Surtax
Texas
6.25%
8.25%
Texas Income Tax
State
Income Tax (Low)
Income Tax (High)
Texas
0%
0%
One thing to keep in mind when considering the cost of living in Waco, TX is the Texas sales tax and Texas income tax rates. Sales taxes are taxes that are collected on most goods or services sold. Sales taxes can vary by state and can be as high as 7% and as low as 0% as not every state imposes a sales tax. The Texas sales tax rate is 6.25% and the maximum surtax that can be charged is 8.25%. Income tax is the tax imposed on income by both the federal and state government. The income tax rates varies by individual state and will also be higher or lower depending on the applicable tax bracket. The rates of state income tax can vary from 0% to more than 9%. The Texas income tax rates range from 0% to 0%.
Goods & Services
Item
Waco
National avg.
Difference
Haircut
$14.79
$16.09
8.1%
Beauty Salon
$35.33
$37.33
5.4%
Toothpaste
$1.79
$2.45
26.7%
Shampoo
$0.78
$1.00
22.0%
Movie
$7.69
$10.28
25.2%
Bowling
$6.69
$4.93
35.6%
Groceries
Item
Waco
National avg.
Difference
Ground Beef
$3.08
$3.80
19.0%
Fried Chicken
$1.03
$1.40
26.5%
Milk
$1.58
$2.01
21.3%
Potatoes
$1.83
$3.01
39.3%
Pizza
$9.62
$9.89
2.6%
Beer
$8.37
$8.90
5.9%
Health Care
Item
Waco
National avg.
Difference
Optometrist
$98.71
$102.16
3.4%
Doctor
$89.83
$108.36
17.1%
Dentist
$89.05
$92.53
3.8%
Ibuprofen
$7.97
$9.28
14.1%
Lipitor
$434.16
$425.82
2.0%
Housing
Item
Waco
National avg.
Difference
Home Price
$98,800.00
$184,700.00
46.5%
Avg. Mortgage Payment
$909.00
$1,202.44
24.4%
Apartment Rent
$770.00
$949.00
18.9%
Transportation
Item
Waco
National avg.
Difference
Gasoline
$2.01
$2.24
10.4%
Tire Balancing
$51.81
$46.29
11.9%
Utilities
Item
Waco
National avg.
Difference
All Electricity
$160.83
$165.96
3.1%
Phone
$33.67
$28.68
17.4%
Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.
