Net Worth in Texas: What Makes You Poor, Middle Class or Rich?

If you’re considering moving to Texas, it can be important to understand the financial landscape of the state .

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Once you figure out how much it may cost, you may want to look at your own income level to see whether you’re considered poor, middle class or rich in Texas .

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Poor Texans

For starters, let’s define net worth. In simple terms, your net worth is the value of all of your assets minus the total of all of your liabilities.

As you might expect, net worth would likely be quite low or even negative for individuals in Texas classified as poor. The net worth for this group could be estimated between $0 and $15,000. These numbers consider minimal or no significant assets, little to no home equity or retirement savings and possibly some debt.

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Middle-Class Texans

According to SmartAsset , the middle-income salary range for Texas is about $48k to $145k. In Texas, according to Zillow , the average home value is about $308,000. If you take these amounts and figure in retirement account savings, a safe estimate would be that the net worth for the middle class in Texas might range from $50k to $450k.

Upper Middle-Class and Rich Texans

Texas is no stranger to the rich. In fact, cities like Dallas and Houston are home to tens of thousands of millionaires and billionaires. While the rich category would start from around $1 million in Texas, you don’t need that much to be considered upper-middle-class in the state. For that category, you might have a net worth starting around $450,000 and going toward $1 million. For this category, an individual in Texas would likely have higher equity in real estate and have other investments.

The Cost of Living

So how do these levels compare to the cost of living in Texas? According to MERIC , Texans have the 14th lowest cost of living in the United States. The average total personal consumption cost in Texas is about $49,000, according to the Bureau of Economic Analysis .

This article originally appeared on GOBankingRates.com : Net Worth in Texas: What Makes You Poor, Middle Class or Rich?