What it costs to live and work in Louisiana: the minimum wage, state income tax, sales tax and median rent, from official sources, and what they mean for your monthly budget.
| Louisiana | Source | |
|---|---|---|
| Minimum wage | $7.25 an hour | US Department of Labor, State Minimum Wage Laws (updated July 1, 2026) |
| State income tax | 3 % flat | Tax Foundation, State Individual Income Tax Rates and Brackets, 2026 |
| State sales tax | 5 % | Tax Foundation, State and Local Sales Tax Rates, Midyear 2026 (as of July 1, 2026) |
| Median gross rent | $1,064 a month (2024) | US Census Bureau, ACS 2024 1-year estimates, table B25064 Median Gross Rent |
Louisiana has no state minimum wage law, so the federal $7.25 applies.
Louisiana taxes income at a flat 3 % in 2026.
The state sales tax is 5 %; parishes and cities add an average of 5.13 %, for a combined 10.13 %, the highest in the country.
What income does rent in Louisiana take?
A common rule of thumb is to keep rent at or below 30 % of gross income. At the median rent of $1,064 a month, that means a household income of about $42,600 a year before tax.
Good to know
- Local sales taxes more than double the state rate: the average combined rate was 10.13 % on July 1, 2026, the highest of any state.
Sources
- US Department of Labor, State Minimum Wage Laws (updated July 1, 2026) (2026-07-01)
- Tax Foundation, State Individual Income Tax Rates and Brackets, 2026 (2026-02-19)
- Tax Foundation, State and Local Sales Tax Rates, Midyear 2026 (as of July 1, 2026) (2026-07-06)
- US Census Bureau, ACS 2024 1-year estimates, table B25064 Median Gross Rent (2025-09)