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Taxes in Waco, Texas

Complete tax guide for Waco, TX. No state income tax, 1.74% property tax, 8.25% sales tax. Calculate your total tax burden.

State Income Tax

None

Texas

Property Tax

1.74%

Effective rate

Sales Tax

8.25%

Combined rate

Tax Burden

Low

Waco, TX Tax Overview

No state income tax; Baylor University

Population

138,486

Median Income

$44,812

Cost of Living

84.7 (100 = avg)

State Income Tax

None

Median Home Price

$185,000

Waco Tax Calculator

Pre-filled with Waco median: $44,812

Total Tax Burden in Waco

$6,767

Take-Home: $38,045 · Effective Rate: 15.10%

Federal Tax

$3,339

7.45% eff.

TX State

$0

0.00% eff.

FICA

$3,428

7.65% eff.

Take-Home

$38,045

84.90% kept

Tax Breakdown

Take-Home 84.90%
FICA
Take-Home Federal Tax FICA
ItemAnnualMonthly
Gross Income$44,812.00$3,734.33
Federal Income Tax-$3,338.94-$278.25
Texas State Tax$0.00$0.00
Social Security (6.2%)-$2,778.34-$231.53
Medicare (1.45%)-$649.77-$54.15
Take-Home Pay$38,044.94$3,170.41

Property Tax in Waco

Median Home

$185,000

Annual Tax

$3,219

Monthly Tax

$268

Effective Rate

1.74%

vs. National Average (1.1%)+$1,184/yr
Median Property Tax Paid$3,219/yr

Sales Tax in Waco

Combined Rate

8.25%

State Portion

~5.8%

Local Portion

~2.5%

The combined sales tax rate in Waco 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 TypeWacoTexas AvgNational Avg
Income TaxNoneNone4.6%
Property Tax1.74%~1.74%1.1%
Sales Tax8.25%~8.25%7.12%
Overall BurdenLowModerate

Tax Saving Tips for Waco 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 Waco (1.74%) 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 ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.

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 Waco, TX?

Waco, Texas has no state income tax. The property tax rate is 1.74% and the combined sales tax rate is 8.25%. No state income tax; Baylor University

How much is property tax in Waco?

The effective property tax rate in Waco is 1.74%. On the median home price of $185,000, this equals approximately $3,219 per year or $268 per month. This is above the national average of 1.1%.

What is the sales tax rate in Waco?

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

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

Waco has a low overall tax burden. The effective total tax rate for a median-income household is approximately 24.6%. The absence of state income tax significantly reduces the overall burden. Cost of living index is 84.7 (100 = national average).

Are there any local taxes in Waco?

Waco 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; Baylor University