Alaska vs California: Tax & Cost of Living Comparison

A comprehensive side-by-side comparison of taxes, cost of living, housing, income, and insurance costs between Alaska and California.

State 1

Alaska

AK

State 2

California

CA

No Income Tax State

Alaska has no state income tax, which can mean significant savings for residents compared to California (13.30% top rate).

CategoryAlaskaCalifornia
Income Tax RateNo Income TaxBetter13.30%
Property Tax Rate1.04%0.71%Better
Property Tax (on Median Home)$3,536/yrBetter$5,325/yr
Sales Tax RateNo Sales TaxBetter7.25%
Cost of Living Index127Better140
Median Home Price$340,000Better$750,000
Median Household Income$77,800$85,300Better
Avg. Auto Insurance$1,480/yrBetter$2,200/yr
Avg. Home Insurance$1,200/yrBetter$1,500/yr

Cost of Living Comparison

Index relative to national average (100)

Alaska127
California140
National Average100

Median Home Price

Alaska

$340,000

Property Tax: $3,536/yr

California

$750,000

Property Tax: $5,325/yr

Alaska homes are 54.7% cheaper than California homes.

Median Household Income

Alaska

$77,800

California

$85,300

California households earn $7,500 more per year on average.

Insurance Costs

TypeAlaskaCaliforniaDifference
Auto Insurance$1,480/yr$2,200/yr$720/yr
Home Insurance$1,200/yr$1,500/yr$300/yr
Total Insurance$2,680/yr$3,700/yr$1,020/yr

Overall Financial Comparison

Weighted score combining income tax, property tax, sales tax, cost of living, housing, insurance, and income. A lower score indicates better overall financial affordability.

Alaska

-27.1

More Affordable

California

150.3

The Bottom Line

Alaska offers lower income tax, lower sales tax, lower cost of living, more affordable housing compared to California. Meanwhile, California offers lower property tax, higher median income. Overall, Alaska edges ahead in our weighted financial comparison.

Alaska Advantages

  • +Lower income tax
  • +Lower sales tax
  • +Lower cost of living
  • +More affordable housing

California Advantages

  • +Lower property tax
  • +Higher median income

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