Texas’ budget increased cumulatively less than the maximum rate of population growth plus inflation in state funds and all funds from 2016-25, meaning taxes are lower in state funds and all funds than the average taxpayer can afford. These data are from NASBO, so they may not reflect the state’s full spending.

  • The 2025 state funds budget is $11.4 billion lower than it would have been had spending grown at the rate of population growth plus inflation over the past decade.
  • Because the state funds budget grew slower than population growth plus inflation for the last ten years, the state spent $79.8 billion less than possible.
  • The 2025 all funds budget is $11.0 billion lower than it would have been had spending grown at the rate of population growth plus inflation over the past decade.
  • Because the all funds budget grew slower than population growth plus inflation over the past decade, the state spent $13.1 billion less than possible.

State Funds Budget Data

  • Estimated FY 2026 Only State Funds Budget ($ Billions): $ 98.20
  • FY 2027 Only State Funds Budget Limit ($ Billions): $ 102.83
  • FY 2027 Only State Funds Budget Limit Growth (%): 4.71%
  • Cost per person of only state funds budgeting more than pop+inf over the last decade in 2025 budget: $ 31,484
  • Cost per family of 4 of only state funds budgeting more than pop+inf over the last decade in 2025 budget: $ (358)
  • Cumulative cost per person of only state funds budgeting more than pop+inf over the last decade from 2016-25: $ (2,516)
  • Cumulative cost per family of 4 of only state funds budgeting more than pop+inf over the last decade from 2016-25: $ (10,062)

All Funds Budget Data

  • Estimated FY 2026 All Funds Budget ($ Billions): $ 153.24
  • FY 2027 All Funds Budget Limit ($ Billions): $ 160.45
  • FY 2027 All Funds Budget Limit Growth (%): 4.7%
  • Cost per person of all funds budgeting more than pop+inf over the last decade in 2025 budget: $ 47,124
  • Cost per family of 4 of all funds budgeting more than pop+inf over the last decade in 2025 budget: $ (348)
  • Cumulative cost per person of all funds budgeting more than pop+inf over the last decade from 2016-25: $ (413)
  • Cumulative cost per family of 4 of all funds budgeting more than pop+inf over the last decade from 2016-25: $ (1,653)

Other Economic and Fiscal Considerations