Cost of Living

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Carrollton delivers a clear cost advantage within the Dallas-Fort Worth region. With a cost of living index of 101.6, the city is significantly more affordable than major U.S. markets.

This affordability strengthens workforce attraction and retention while allowing companies to manage labor and operating costs more effectively.

Cost of living index across major U.S. markets.
City Cost of Living Index
Carrollton, TX 101.6
Los Angeles- Long Beach, CA 147.9 
New York- Newark, NY 142.3
Chicago- Naperville, IL 110.5
Denver, CO 109.5
Phoenix- Mesa, AZ 104.3

Source: JobsEQ


Tax Exemptions offered by the City of Carrollton:

  • Homestead Exemption (20%)
  • $110,000 Over 65 Exemption
  • $110,000 Disabled Person Exemption
  • Disabled Veterans Exemption


Lower Cost of Municipal Services

Lower combined costs for property taxes and essential services place Carrollton among the more affordable communities in North Texas. These savings contribute to overall value for both residents and employers.

Comparison of total household costs for municipal services across North Texas communities.

City Amount
Coppell $3,400
Lewisville $3,600
Carrollton $3,800
Plano $4,000
Farmers Branch $4,000 
Frisco $4,000
Addison $4,000
Allen $4,100
Irving $4,100 
Fort Worth $4,300 
McKinney $4,300
Arlington $4,400
Grand Prairie $4,400
Denton $4,400
Dallas $4,700
The Colony  $4,700
Richardson $4,800 
Garland $5,300 
Mesquite $6,000 


Ad Valorem/Sale and Use Tax Rates

Carrollton’s property tax structure supports a cost-competitive environment for both businesses and residents. Competitive rates across city, county and school districts contribute to overall affordability while maintaining the infrastructure and services needed to support growth.

2026 Ad Valorem tax rates.
FY 2026 Ad Valorem Tax Rates (Cents Per $100 Valuation)
City of Carrollton 0.537500
Dallas County 0.215500
Denton County 0.187869
Carrollton/Farmers Branch Independent School District 0.979735
Lewisville Independent School District 1.117800
Dallas Independent School District 0.993835 
Valwood Improvement Authority 0.040000 
Dallas College  0.106575 
Dallas County Hospital District  0.212000 

Source: cityofcarrollton.com


Sales and Use Tax

Carrollton’s 8.25 percent sales and use tax rate aligns with the Texas standard, providing a consistent and predictable framework for businesses. The breakdown below outlines how the rate is distributed across local and state entities.

Sales and use tax rates breakdown.
Sales and Use Tax Rates
City of Carrollton 1.0%
Dallas Area Rapid Transit 1.0% 
State of Texas  6.25% 
Total Rate 8.25%

Source: cityofcarrollton.com