How much does a single mom of one need to earn to live comfortably in Dallas? Thanks. (Houston: sales, rent)

[Melz222]

With so many people moving to Dallas and Houston area, I know the cost of living has increased drastically. How much does a single mom of one need to earn to live in the Dallas area. I'm looking for family-oriented neighborhoods, good schools, safe, yet close enough to entertainment. May have a job lined up near DFW Airport, neighborhoods within a reasonable commute of that area would be ideal. What's a good salary out here? I want to be comfortable. I don't want to struggle to pay the bills. I don't have a fancy lifestyle. I mostly work and come home but on the weekends I want to be able to get out, shop a little, do family events with my daughter, etc.

Oh yea does the no state tax really help or is that a myth. I'm sure they find a way to squeeze a dime or two out of you in some other way. Oh, last but not least I'll be renting, not buying. I have a vehicle already but would like to buy a car once I arrive. Any help will be great.

[JTC Mom]

Of course the answer depends on so many things but I won’t let that stop me from a generic guesstimate of $60-70k. I know several single moms who live comfortably on that amount. Of course tons of people live on far less.

[jdallas]

100-125k if you want to be comfortable and not struggle living near downtown Dallas in a preferred school district and have some measure of retirement and college planning.


You will get more for your money closer to Fort Worth.

[Melz222]

Originally Posted by JTC Mom

Of course the answer depends on so many things but I won’t let that stop me from a generic guesstimate of $60-70k. I know several single moms who live comfortably on that amount. Of course tons of people live on far less.

Thanks. This was the range I was expecting. I know people live off less but that doesn't mean I want to live off less, LOL.

[UnfairPark]

Well, living off of less is usually a necessity not a choice. Anyhow, if you have a paid off house and car then you can manage a simpler life style on relatively less. Those are usually biggest budget drains.

[justsomeguy]

Probably $90k if you are wanting to save for retirement and/or college + buy a car in the future.

No state income tax, sales tax is 8.5% (no tax on groceries), property taxes are high which can lead to big rent increases as property values keep rising. Also toll roads.

[TurtleCreek80]

No state income tax is really felt for the super high earners. Someone making $500k+ a year is going to save upwards of $50k on income taxes living in TX vs NYC or other high tax locations. They can save even more if they keep their housing costs in check here vs spending the tax savings on a $2M+ house.

Of course it helps a little for people making an average wage, too. I moved back from NYC to Dallas making $60k-something and definitely noticed my take home was bigger. But I had to buy a car here which took a big chunk of the difference between tax savings + lower housing costs.

I would think $75k would be a salary where you could live in a good school zone and enjoy some fun while being able to save a little. Hopefully you're in a career that carries that kind of salary in the DFW area. With a job near DFW, Valley Ranch would be a good place to live. You're zoned to Coppell ISD and close to Grapevine and Southlake for entertainment and shopping.

[lepoisson]

I'd say $60-70K to live comfortably, but not lavishly.

Having no state income tax helps, but the high property tax makes up for it. I did some calculations and found out that my tax burden in Dallas would be similar to a state with income tax, but a low property tax.

[some1livesinamerica]

To live a comfortable life style, some rough estimate,
1. rent, 2 bedroom apt, $1,300/month
2. food for 1 adult&1 kid, $700/month
3. car(gas, insurance, depreciation, maintenance), $700/month
4. cellphone, utility, internet, $300/month
5. entertainment, $500/month
6. other, $500/month
Total: $4k/month
Assuming you pay 20% in federal income tax, 4k/0.8=$5k/month, which translates into $60k/year. If you want to save $10 or $20k a year for the rainy days, you probably have to make between $70k or $80k a year.

[some1livesinamerica]

OP, if i am in your shoes, i will try to make some temporary sacrifices now, figure out ways to increase my income and minimize expense, save enough money and buy a house, especially you are planning to stay in DFW for the long term.
If you are willing to spend $1,300/month on rent, you might just as well spend a bit more each month and buy a 250k house. The mortgage on a 30 yrs fixed conventional loan plus property tax is not that much more than the $1,300 rent that you will be paying each month. But once the loan is paid off in 30 years, at least you will own a house, after you live in apt for 30 yrs and paying $1,300/month in rent, you won't get anything back in return.