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HEAD-TO-HEAD TAX COMPARISON · 2026

COUNTRY A Louisiana VS COUNTRY B Texas

Side-by-side analysis of income tax, effective rates, and take-home pay for Louisiana and Texas in 2026.

OVERVIEW
The I-10 corridor decision for oil and gas workers. Louisiana has relatively low income taxes (1.85-4.25% progressive) compared to other states, but Texas has 0% (constitutionally prohibited). At $100,000: Louisiana $3,425 vs Texas $0. The catch: Louisiana has the lowest property taxes in the nation…
Section 01

The Big Picture

Top-line rates and effective take-home for a typical earner — including income tax, social contributions, and applicable surcharges.
⚜️
COUNTRY A
Louisiana
TAX RATE
4.25%
Progressive Tax
3 brackets 1.85-4.25%
COUNTRY B
Texas
TAX RATE
0%
No Income Tax
Constitutionally prohibited
TYPICAL ANNUAL DIFFERENCE
Moving from TexasLouisiana at $100,000
$3,425
That's $285/month back in your pocket
Section 02

Tax Savings by Income Level

Net take-home after all income tax, social contributions, and surcharges — for a single employee with no dependents.
GROSS INCOME
⚜️ LA TAX
⭐ TX TAX
SAVINGS
10-YEAR
$50,000
$1,356
$0
TX saves $1,356
$13,560
$75,000
$2,419
$0
TX saves $2,419
$24,190
$100,000
$3,425
$0
TX saves $3,425
$34,250
$150,000
$5,550
$0
TX saves $5,550
$55,500
$200,000
$7,675
$0
TX saves $7,675
$76,750
$250,000
$9,800
$0
TX saves $9,800
$98,000
💡

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Louisiana Pros & Cons

+ PROS
  • Lowest property taxes in nation (0.55% average)
  • New Orleans unique culture: food, music, festivals
  • Oil/gas industry presence (refineries, offshore)
  • Lower cost of living than Houston in most categories
− CONS
  • 1.85-4.25% income tax (vs TX 0%)
  • Hurricane risk: Katrina, Ida devastated regions
  • Weak economy outside energy sector
  • Infrastructure and public services lag

Texas Pros & Cons

+ PROS
  • 0% state income tax (constitutionally prohibited)
  • Houston: largest energy hub in US (oil, gas, renewables)
  • Diverse economy: tech, healthcare, aerospace beyond energy
  • Better infrastructure and public services
− CONS
  • Property taxes 1.6% (nearly 3x Louisiana's 0.55%)
  • Houston traffic and sprawl legendary
  • Extreme summer heat with high humidity
  • Less cultural distinctiveness than New Orleans
FAQ

Frequently Asked Questions

How much will I save moving from Louisiana to Texas?

At $100,000 income: save $3,425/year in income tax. However, Texas property taxes are nearly 3x Louisiana's (1.6% vs 0.55%). On a $300K home: TX = $4,800/year, LA = $1,650/year—a $3,150 difference. Net savings at $100K with $300K home: only $275/year. High earners without expensive homes benefit most; homeowners with moderate incomes may lose money.

Is Houston or New Orleans better for oil and gas careers?

Houston dominates. It's the energy capital of the US with every major oil company HQ or major office: ExxonMobil, Chevron, ConocoPhillips, Shell, BP. Louisiana has refineries and offshore operations but fewer corporate jobs. For engineering, finance, or management roles in energy, Houston offers 10x the opportunities. For field work, both states have positions.

What about Louisiana's incredibly low property taxes?

Louisiana's 0.55% average property tax is the lowest in the nation (Texas is 1.6%, nearly 3x higher). On a $400K home: Louisiana = $2,200/year, Texas = $6,400/year. This $4,200 annual difference exceeds the income tax savings for earners under $125K. If you plan to buy an expensive home, Louisiana's property tax advantage is massive.

Should I consider Lake Charles or Beaumont (border area)?

The I-10 corridor from Lake Charles (LA) to Beaumont (TX) is a major petrochemical region. Lake Charles has Louisiana's low property taxes; Beaumont has Texas's zero income tax. For the border region specifically: Lake Charles is better for homeowners with moderate incomes; Beaumont is better for renters and high earners. Many workers live in one state and commute to the other.

Is New Orleans worth the tax disadvantage for quality of life?

For many, yes. New Orleans offers culture, cuisine, and lifestyle unmatched by Houston—but the tax and economic trade-offs are real. New Orleans' economy is tourism/hospitality-heavy with lower salaries. A $100K Houston salary might be $75-80K in New Orleans. Combined with 4.25% income tax, total compensation gap is significant. Choose New Orleans for lifestyle; Houston for career and finances.