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Taxes in McKinney, Texas

Complete tax guide for McKinney, TX. No state income tax, 1.77% property tax, 8.25% sales tax. Calculate your total tax burden.

State Income Tax

None

Texas

Property Tax

1.77%

Effective rate

Sales Tax

8.25%

Combined rate

Tax Burden

High

McKinney, TX Tax Overview

No state income tax

Population

195,308

Median Income

$95,618

Cost of Living

107.8 (100 = avg)

State Income Tax

None

Median Home Price

$395,000

McKinney Tax Calculator

Pre-filled with McKinney median: $95,618

Total Tax Burden in McKinney

$19,965

Take-Home: $75,653 · Effective Rate: 20.88%

Federal Tax

$12,650

13.23% eff.

TX State

$0

0.00% eff.

FICA

$7,315

7.65% eff.

Take-Home

$75,653

79.12% kept

Tax Breakdown

Take-Home 79.12%
Federal
FICA
Take-Home Federal Tax FICA
ItemAnnualMonthly
Gross Income$95,618.00$7,968.17
Federal Income Tax-$12,649.96-$1,054.16
Texas State Tax$0.00$0.00
Social Security (6.2%)-$5,928.32-$494.03
Medicare (1.45%)-$1,386.46-$115.54
Take-Home Pay$75,653.26$6,304.44

Property Tax in McKinney

Median Home

$395,000

Annual Tax

$6,992

Monthly Tax

$583

Effective Rate

1.77%

vs. National Average (1.1%)+$2,647/yr
Median Property Tax Paid$6,992/yr

Sales Tax in McKinney

Combined Rate

8.25%

State Portion

~5.8%

Local Portion

~2.5%

The combined sales tax rate in McKinney is 8.25%, which is above the national average of 7.12%. On a $100 purchase, you would pay $8.25 in sales tax.

Tax Burden Comparison

Tax TypeMcKinneyTexas AvgNational Avg
Income TaxNoneNone4.6%
Property Tax1.77%~1.77%1.1%
Sales Tax8.25%~8.25%7.12%
Overall BurdenHighModerate

About Taxes in McKinney

McKinney has a population of approximately 195,308 residents with a median household income of $95,618. The cost of living index is 107.8 (7.8% higher than the national average of 100).

Local context: No state income tax

Tax burden classification: High. Effective combined tax rate of 30.7% includes federal, state, FICA, property, and sales taxes for a typical McKinney household.

Official Tax Resources for Texas

For authoritative Texas tax forms, filing deadlines, and the latest legislative updates, consult these official government resources:

Tax Saving Tips for McKinney Residents

  • Texas has no state income tax, meaning your income is only subject to federal taxes and FICA. Consider investing your tax savings into a Roth IRA for tax-free growth.
  • Property tax in McKinney (1.77%) is above the national average. Check if you qualify for homestead exemptions or assessment appeals to reduce your property tax bill.
  • The combined sales tax rate of 8.25% is relatively high. Consider making large purchases in lower-tax jurisdictions or online retailers that do not charge local tax rates.
  • Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,400 individual, $8,750 family), growth is tax-free, and withdrawals for medical expenses are tax-free.

Sources & Methodology

Tax rate data on this page is compiled from official government sources and updated for the 2026 tax year. Calculations follow the IRS-published 2026 federal tax brackets, FICA rates (6.2% Social Security up to $176,100 wage base, 1.45% Medicare), and Texas state tax provisions. Property tax estimates use McKinney's median home value of $395,000and the local effective property tax rate of 1.77%.

Disclaimer: Estimates are for informational purposes only. Actual tax liability depends on filing status, deductions, credits, and individual circumstances. Consult a licensed tax professional or your state revenue agency for binding tax guidance.

Reviewed by LevyIO Tax Research Team · Published 2026-01-15 · Last updated 2026-04-30

Calculate Your Full Texas Tax Burden

See detailed state tax brackets, FICA breakdown, and compare to neighboring states.

Frequently Asked Questions

What are the tax rates in McKinney, TX?

McKinney, Texas has no state income tax. The property tax rate is 1.77% and the combined sales tax rate is 8.25%. No state income tax

How much is property tax in McKinney?

The effective property tax rate in McKinney is 1.77%. On the median home price of $395,000, this equals approximately $6,992 per year or $583 per month. This is above the national average of 1.1%.

What is the sales tax rate in McKinney?

The combined sales tax rate in McKinney is 8.25%, which includes both state and local components. This is above the national average combined rate of approximately 7.12%.

How does McKinney's tax burden compare to other cities?

McKinney has a high overall tax burden. The effective total tax rate for a median-income household is approximately 30.7%. The absence of state income tax significantly reduces the overall burden. Cost of living index is 107.8 (100 = national average).

Are there any local taxes in McKinney?

McKinney does not impose a separate local or city income tax. Residents pay no state income tax, federal income tax, and FICA (Social Security and Medicare). No state income tax