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Cost & Benefits

Compare / Chicago to Houston

Chicago, IL vs Houston, TX

Simple answer

You'd likely save $514 a month in Houston.

This is the HUD 2-bedroom fair-market rent for October 2026 through September 2027. It is not your lease.

The largest cost gap in this pair is Fair Market Rent. The 2-bedroom Fair Market Rent gap is $514: Chicago is higher at $2,011 versus $1,497.

Illinois taxes wages at a flat 4.95%. Texas has no tax on wages. Combined sales tax differs by 0.8 percentage points, higher in Illinois. The effective property tax gap is 0.61 percentage points, higher in Illinois.

After a move from Illinois to Texas, these benefit results change for a family of four at $40,000 and a single adult at $18,000: Marketplace premium tax credits, Medicaid and CHIP.

A $75,000 salary in Chicago lines up with about $71,405 in Houston on the 2024 all-items price parity. Census median gross rent and the commute figures are 2024. Fair Market Rents are fiscal year 2027.

Chicago

Chicago-Naperville-Elgin, IL-IN

2-bedroom Fair Market Rent
$2,011
HUD area
Chicago-Joliet-Naperville, IL HUD Metro FMR Area
Census median gross rent
$1,469
All-items price parity
103.6
Goods price parity
107.3
Utilities price parity
83.6
Mean commute
30.9 min
Median household income
$90,770

Houston

Houston-Pasadena-The Woodlands, TX

2-bedroom Fair Market Rent
$1,497
HUD area
Houston-The Woodlands-Sugar Land, TX HUD Metro FMR Area
Census median gross rent
$1,469
All-items price parity
98.6
Goods price parity
100.6
Utilities price parity
95.3
Mean commute
31.1 min
Median household income
$81,417

Equivalent salary

The first number keeps the same place in the national price level. The second also runs 2026 federal income tax, employee Social Security and Medicare, and a simplified state income tax. Groceries use the BEA goods price parity, not a grocery receipt.

Same buying power

$71,405

Salary in Houston that matches the 2024 all-items regional price parity.

After state and federal tax

$66,040

Gross salary in Houston whose after-tax pay buys the same basket, using price parities.

Rent only

$55,830

Scales the salary by the ratio of HUD 2-bedroom Fair Market Rents. Rent is not the whole budget.

Taxes on the two sides of the move

TaxIllinoisTexas
State income tax on wages4.95% flatNo wage tax
Combined sales tax, Jan 1, 20269.0%8.2%
Effective property tax, ACS 2024 median / median1.92%1.31%

On a $400,000 home, the state median effective rate implies about $7,694 a year in Illinois and $5,246 in Texas. That illustration is not a local bill. Childcare prices are not in the verified dataset for these metros.

Benefits if you land in Texas

Same household, $40,000 a year, scored once in Illinois and once in Texas. This is an illustration, not your application.

  • Food stamps (SNAP)

    ChicagoLikely eligible

    HoustonLikely eligible

  • Medicaid and CHIP

    ChicagoLikely eligible

    HoustonLikely eligible

  • WIC

    ChicagoLikely eligible

    HoustonLikely eligible

  • School meals

    ChicagoLikely eligible

    HoustonLikely eligible

  • LIHEAP

    ChicagoMaybe

    HoustonMaybe

  • Earned Income Tax Credit

    ChicagoLikely eligible

    HoustonLikely eligible

  • Child Tax Credit

    ChicagoLikely eligible

    HoustonLikely eligible

  • Marketplace premium tax credits

    ChicagoUnlikely

    HoustonLikely eligible

  • Lifeline phone and internet

    ChicagoLikely eligible

    HoustonLikely eligible

  • SSI

    ChicagoUnlikely

    HoustonUnlikely

Marketplace premium tax credits changes. In Chicago the result is “Unlikely — Medicaid is the closer program.” In Houston it is “Likely inside the 2026 subsidy range.” Illinois expanded Medicaid, and this income is in the Medicaid range. Marketplace subsidies are usually not the program in that case.

Medicaid guide for Texas · SNAP guide

Related comparisons

From Chicago

The eight largest 2-bedroom Fair Market Rent gaps from Chicago.

Nearby metros

How the salary and tax math works · The reverse city order redirects to this address.