Did you know that the state of Arkansas raised the minimum wage to $10 per hour? As of January 1st, the new minimum wage is $10 per hour and on January 1st of 2021, it will be $11 an hour. The state of Texas still has its minimum wage at $7.25 so I asked the question what state would you live in?

As you can see in the comments some folks look at it as a blessing while some are weary because of the possible taxes if the decision to live on the Arkansas side of town.

Jason in the comments said that you should live in Texas and work in Arkansas, and that is partially true, that it is a better deal. But here is the big thing everyone that lives in this border town needs to take into account in these situations.

There is a border city tax exemption for Texarkana residents. This means if you work in Arkansas and live inside the Texarkana, Arkansas or Texas city limits you are Arkansas State Income tax exempt.

So as long as you are in the city limits you are in good shape as far as taxes go. It was a big deal for me and my family as we were looking for a home, and it is something everyone needs to investigate thoroughly before you move anywhere in this border city town.