Arizona vs California: Tax & Cost of Living Comparison
A comprehensive side-by-side comparison of taxes, cost of living, housing, income, and insurance costs between Arizona and California.
State 1
Arizona
AZ
State 2
California
CA
| Category | Arizona | California |
|---|---|---|
| Income Tax Rate | 2.50%Better | 13.30% |
| Property Tax Rate | 0.62%Better | 0.71% |
| Property Tax (on Median Home) | $2,449/yrBetter | $5,325/yr |
| Sales Tax Rate | 5.60%Better | 7.25% |
| Cost of Living Index | 103Better | 140 |
| Median Home Price | $395,000Better | $750,000 |
| Median Household Income | $68,000 | $85,300Better |
| Avg. Auto Insurance | $1,860/yrBetter | $2,200/yr |
| Avg. Home Insurance | $1,950/yr | $1,500/yrBetter |
Cost of Living Comparison
Index relative to national average (100)
Median Home Price
Arizona
$395,000
Property Tax: $2,449/yr
California
$750,000
Property Tax: $5,325/yr
Arizona homes are 47.3% cheaper than California homes.
Median Household Income
Arizona
$68,000
California
$85,300
California households earn $17,300 more per year on average.
Insurance Costs
| Type | Arizona | California | Difference |
|---|---|---|---|
| Auto Insurance | $1,860/yr | $2,200/yr | $340/yr |
| Home Insurance | $1,950/yr | $1,500/yr | $450/yr |
| Total Insurance | $3,810/yr | $3,700/yr | $110/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.
Arizona
36.5
More Affordable
California
150.3
The Bottom Line
Arizona offers lower income tax, lower property tax, lower sales tax, lower cost of living, more affordable housing compared to California. Meanwhile, California offers higher median income. Overall, Arizona edges ahead in our weighted financial comparison.
Arizona Advantages
- +Lower income tax
- +Lower property tax
- +Lower sales tax
- +Lower cost of living
- +More affordable housing
California Advantages
- +Higher median income