Work and taxes in Texas

Work legally in Texas

Texas has no state income tax on wages, but property taxes and campus health insurance weigh on the budget. Without a car it is difficult outside the centres: Austin and Houston are partial exceptions.

Minimum wage and tips in Texas

• Minimum:$7.25/hr
• Tips:$2.13/h (subminimum)
• Paid family leave: No statewide programs (federal unpaid FMLA only)
• Maximum weekly unemployment: approximately $577 (if you qualify — F-1 usually doesn’t)

CPT and OPT: practice sequence

Read Texas Jobs Only

• At will: at-will
• Non-competes: enforceable
• OSHA: Federal OSHA (DOL regions)

On-campus vs. off-campus

• On-campus— Up to 20 hours/week per term; CPT is not needed in many cases (check DSO policy).
• Off-campus CPT— Must be integral to the program; part-time hours in session.
• OPT / STEM OPT— After completion or during thesis in some cases; limited unemployment days.

Payroll taxes

In Texas there are no state payroll withholdings, but FICA (if applicable) and federal tax remain.

Mistakes that cost your status

• Work before CPT/OPT approval.
• Exceeding permitted hours or working for an unauthorized employer.
• Do not report job loss to the DSO during OPT (unemployment days).
• Accept “cash” work below minimum without documentation.

Energy, oil & gas and part-time work

• Energy sector offers CPT internships — major verification and authorization.
• Pure at-will: dismissal without cause with contractual notice only if written.
• Non-compete enforceable — read duration/geography limits.

STEM OPT and grace period

• 24-month extension for USCIS-listed STEM majors — verify course CIP code.
• Report employment every 6 months on myUSCIS during STEM OPT.
• 90 cumulative days of unemployment during standard OPT; 150 during STEM (check current rules).

Typical on-campus jobs

• Dining, library, recreation, research assistant (often linked to major).
• Minimum hourly payout $7.25 — check pay stub.