Cost of living in Tennessee
Prices in Tennessee are 8.1% below the US average (38th highest of 51). Tennessee has no income tax on wages. State sales tax: 7%.
Price levels in Tennessee
| BEA RPP 2024 | Tennessee | vs US (100) |
|---|---|---|
| All items | 91.9 | −8.1% |
| Goods | 96.2 | −3.8% |
| Housing (rents) | 79.1 | −20.9% |
| Utilities | 72.1 | −27.9% |
| Other services | 95.1 | −4.9% |
Metros in Tennessee
Metros whose principal city is in Tennessee. “Left over” = a single renter earning $60,000, after 2026 taxes (including the principal city’s local tax) and modeled costs.
| Metro | Population | Price level | 2-BR FMR | Infant care / wk* | Left over / mo |
|---|---|---|---|---|---|
| Nashville, TN | 2,197,416 | 96.3 | $1,798 | $212 | $953 |
| Memphis, TN-MS-AR | 1,341,412 | 92.2 | $1,301 | $212 | $1,411 |
| Knoxville, TN | 968,137 | 92.6 | $1,475 | $212 | $1,425 |
| Chattanooga, TN-GA | 594,530 | 91.5 | $1,340 | $212 | $1,374 |
| Clarksville, TN-KY | 349,001 | 90.9 | $1,307 | $212 | $1,533 |
| Kingsport, TN-VA | 314,834 | 86.4 | $1,091 | $212 | $1,755 |
| Johnson City, TN | 216,416 | 87.9 | $1,211 | $212 | $1,655 |
| Jackson, TN | 184,569 | 85.5 | $1,375 | $212 | $1,552 |
| Cleveland, TN | 134,057 | 88.1 | $1,270 | $212 | $1,632 |
| Morristown, TN | 128,867 | 86.4 | $1,153 | $131 | $1,691 |
*Center-based, DOL 2022 price for the metro’s principal county; a year in brackets marks an older latest-available price. “No data”: DOL publishes no price for that county, and childcare is left out of its budgets.
Taxes in Tennessee (2026)
| Annual tax | Single, $50,000 | Single, $75,000 | Single, $120,000 | Couple, 2 kids, $120,000 |
|---|---|---|---|---|
| Federal income tax | $3,820 | $7,670 | $17,570 | $5,640 |
| Social Security + Medicare | $3,825 | $5,738 | $9,180 | $9,180 |
| Tennessee income tax | $0 | $0 | $0 | $0 |
| Tennessee payroll taxes | $0 | $0 | $0 | $0 |
| Take-home pay / month | $3,530 | $5,133 | $7,771 | $8,765 |
Annual liability, standard deduction, Child Tax Credit; local income taxes are not included in this state-level table (see each metro).
Childcare prices across Tennessee
| Age band | Center, median county / wk (2022) | Center / yr today* | Home-based / wk (2022) |
|---|---|---|---|
| Infant (under 2) | $131 | $8,326 | $91 |
| Toddler (2) | $110 | $6,992 | $98 |
| Preschool (3–4) | $110 | $6,992 | $98 |
| School-age (5–12) | $50 | $3,178 | $100 |
Center-based infant care ranges from $112 a week in Decatur County to $212 in Anderson County (2022 prices).
DOL National Database of Childcare Prices, 2022; median across 95 counties with 2022 data. *52 weeks × 1.2224 BLS CPI for day care and preschool, 2022 average to 2026-08. Look up a county.
Property taxes by county
Effective rate = Census median real estate taxes ÷ median home value (ACS 2020-2024), metro-area counties.
| County | Median value | Median tax | Effective rate |
|---|---|---|---|
| Shelby County | $249,100 | $2,429 | 0.98% |
| Gibson County | $156,900 | $1,039 | 0.66% |
| Hamilton County | $312,800 | $1,925 | 0.62% |
| Montgomery County | $280,200 | $1,697 | 0.61% |
| Davidson County | $417,400 | $2,506 | 0.60% |
| Campbell County | $186,500 | $691 | 0.37% |
| Union County | $204,000 | $752 | 0.37% |
| Trousdale County | $337,600 | $1,166 | 0.35% |
| Fayette County | $340,800 | $1,140 | 0.33% |
| Loudon County | $348,000 | $1,162 | 0.33% |
Five highest and five lowest of 44 counties.
Energy and fuel
EIA: electricity 2025, natural gas 2024, gasoline week ending 2026-10-05.
Who moves to and from Tennessee
Census state-to-state migration flows (2024 ACS 1-year; people 1 year and over, ± margin of error at 90%). Totals cover moves between states and DC only: 191,844 in, 156,435 out (net +35,409).
- California19,670 ±4,848
- Florida18,526 ±3,217
- Texas12,798 ±2,792
- North Carolina11,741 ±3,542
- Illinois10,866 ±3,232
- Georgia10,786 ±2,605
- Alabama9,789 ±2,113
- Kentucky7,819 ±1,873
- Florida16,211 ±4,653
- Kentucky14,181 ±4,150
- Alabama11,339 ±2,639
- Georgia10,017 ±2,556
- North Carolina8,763 ±3,119
- Mississippi8,457 ±2,868
- California7,972 ±3,477
- Texas7,588 ±2,431
Frequently asked questions
Is Tennessee expensive to live in?+
BEA’s Regional Price Parities put Tennessee’s overall price level at 91.9 in 2024 (US = 100), the 38th highest of 51 states and DC. Housing is 79.1 and goods 96.2.
Does Tennessee have a state income tax?+
No — Tennessee does not tax wages.
What is the sales tax in Tennessee?+
The state rate is 7% (as of 2026-10-13); groceries are taxed at 4%. Local sales taxes can add to this.
What is the most affordable metro in Tennessee?+
For a single renter earning $60,000, Kingsport, TN-VA leaves the most each month after taxes and modeled costs ($1,755), and Nashville, TN the least ($953).