Everything is bigger and bolder in Texas, and this easy, budget-friendly Texas Chili is no exception. Grab your cowboy hat, kick up your boots, and cozy up with a bowl of pure, smoky flavor. I gave this recipe a Budget Bytes twist to keep it easy on your wallet, but don’t worry, there are NO beans here! This version leans on simple, affordable ingredients like jalapeños, chipotles, a mix of spices, and a pinch of cocoa powder for depth, while still giving you those bold chili-forward flavors people love. I also use ground beef to keep things quick on busy nights, and it still turns out hearty and rich. Think of this recipe as a budget-friendly shortcut with plenty of Texas spirit!
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Budget-friendly Texas Chili Recipe
Texas chili is typically made with chunks of beef (though some recipes use ground beef) and a base made from dried chiles. The addition of tomatoes is up for debate depending on who you ask, but one thing is for sure: unlike the classic chili most of us know, Texas chili never contains beans. You can serve them on the side, but they don’t get cooked in the pot!
The recipe I’m sharing here isn’t technically traditional, but it still brings the deep, savory chili flavor you expect from a bowl of Texas-style chili. I use canned chipotles, fresh jalapeño, and a handful of spices like chili powder and cinnamon to emulate those rich flavors without the extra cost or time. I also use ground beef because it cooks fast and is cheaper than chuck or stew meat, but feel free to have fun with this recipe and really lean into the Texas flair as desired! My best friend, Tucker, was born and raised in Texas and approved of this budget-conscious twist, so I know you’ll enjoy it, too.
Recipe Success Tips
- Texas chili is typically made with chuck roast, brisket, or stew beef. I chose ground beef instead to keep costs low (which is what we’re all about here at Budget Bytes!) If you choose another cut of beef, you may need to cook it longer.
- I seasoned this recipe for Texas-style chili with chili powder, paprika, cumin, dried oregano, cocoa, brown sugar, and cinnamon. Other Texas chili recipes can include garlic powder, cayenne, hot sauce, Worcestershire sauce, bay leaves, and/or coriander. Feel free to season as desired and make it as spicy as you want!
- If you really want a Texas twist, I know some recipes deglaze the pot with beer or coffee. Add it after the spices and reduce until it’s almost cooked out.
- Some traditional recipes also add masa harina at the end to help thicken this bean-free chili. Whisk the masa with some hot water to create a slurry if you want to try this, so it doesn’t clump in the pot.
- To add a little brightness, add a fresh squeeze of lime juice or a splash of vinegar at the end.
- Don’t have any ground beef? Feel free to try this recipe with ground chicken, ground pork, or ground turkey, too! These choices might not be traditional, but they’ll still taste delicious if it’s what you’ve got to hand.
- Add your favorite toppings! I went with shredded cheddar, diced onion, cilantro, and sliced jalapeños in the photos here. Sour cream, different cheeses, avocado, lime, corn chips, or cooked bacon are also great toppings.
Texas Chili
Cost $9.14 recipe / $2.29 serving
Ingredients
- 1 lb. ground beef ($5.94*)
- ½ tsp salt ($0.02)
- ½ tsp black pepper (freshly cracked, $0.08)
- 1 onion (small dice, (265g, 2 cups) $0.72)
- 1 jalapeño (deseeded, small dice (30g, 2 Tbsp) $0.11)
- 3 garlic cloves (minced (9g, 1 heaping Tbsp) $0.18)
- 2 Tbsp tomato paste ($0.14)
- ½ Tbsp chili powder ($0.05**)
- ½ Tbsp paprika ($0.06)
- ½ tsp ground cumin ($0.02)
- ½ tsp dried oregano ($0.06)
- ¼ tsp unsweetened cocoa powder ($0.05)
- 1 tsp brown sugar ($0.01)
- ¼ tsp ground cinnamon ($0.01)
- 2 chipotle pepper in adobo sauce (finely chopped, (50g) $0.41)
- 14.5 oz. can petite diced tomatoes (in juice, $0.96)
- 2 cups beef broth ($0.32***)
Instructions
- Gather and prepare all ingredients.
- Heat a large pot over medium heat. Once hot, add the ground beef and season with salt and pepper. Cook the beef for 5 minutes, breaking it up as it cooks.
- Once browned, remove the ground beef using a slotted spoon, leaving the grease in the pot. Set it aside.
- Next, add the onions, jalapeño, and garlic, and cook for 5 minutes until softened, stirring occasionally.
- Add the tomato paste and cook for 4 minutes, stirring occasionally.
- Sprinkle in the chili powder, paprika, cumin, oregano, cocoa, brown sugar, and cinnamon. Cook for 1 minute.
- Add the beef and any drippings back to the pot. Add the chipotle peppers, diced tomatoes with juices, and beef broth. Bring to a simmer. Once the soup is at a simmer, continue cooking for 30 minutes, stirring occasionally.
- Once the chili has thickened, garnish with your favorite toppings and enjoy.
See how we calculate recipe costs here.
Equipment
- Large Pot or Dutch Oven
Notes
Nutrition
Have you tried this recipe?Mention @budgetbytes or tag #budgetbytes on Instagram!how to make Texas Chili step-by-step photos
Gather all of your ingredients.
Brown the beef: Warm a large pot over medium heat. When it’s hot, add 1 lb. ground beef and season with ½ tsp salt and ½ tsp pepper, then cook for about 5 minutes, breaking it apart as it browns.
Once the beef is browned, scoop it out with a slotted spoon, leaving the grease behind, and set it aside.
Sauté the aromatics: Add 1 diced onion, 1 diced jalapeño, and 3 minced garlic cloves to the pot. Cook for about 5 minutes, stirring occasionally, until they soften.
Now stir in 2 Tbsp tomato paste and let it cook for about 4 minutes, giving it an occasional stir.
Add the seasonings: Add ½ Tbsp chili powder, ½ Tbsp paprika, ½ tsp cumin, ½ tsp oregano, ¼ tsp unsweetened cocoa powder, 1 tsp brown sugar, and ¼ tsp cinnamon. Cook for 1 minute to bloom the spices (doing this allows their flavors to deepen and become more aromatic).
Make the chili: Now return the browned beef and any drippings to the pot. Pour in 2 finely chopped chipotle peppers, 14.5 oz. can petite diced tomatoes, and 2 cups beef broth, and bring everything to a simmer. Once it’s simmering, let it cook for 30 minutes, stirring occasionally.
Serve: When your homemade Texas style chili has thickened, add your favorite toppings and dig in!
Serving Suggestions
I love serving my easy Texas chili recipe with a warm slice of cornbread. But if I want something a little more filling, I’ll spoon it over a baked potato or pair it with a side of Spanish rice. It turns a cozy bowl of this chili into a full meal without much extra effort (my favorite kind of meals!)
Storage & Reheating
Once the chili has cooled, I pour it into an airtight container and keep it in the fridge for up to 3-4 days. It actually tastes even better the next day after the flavors have had time to mingle. Reheat it in the microwave or gently on the stovetop. When I reheat it, I sometimes add a bit of water or broth if it’s thickened too much. It also freezes beautifully for up to 4 months. Let it thaw in the fridge overnight before reheating for the best results.
This is a nice recipe, but my DIL, a real native Texan, shudders at the thought of ground beef in her Texas Red. A funny story–when I moved to Austin, Texas in 1986, the first thing I was assigned to bring to a office potluck was chili. Having grown up in the midwest and lived in the southeast much of my adult life, I immediately researched recipes and made a spectacular pot of Texas Red using round steak in about a 1/2″ dice, and very tender thanks to my pressure cooker–about 4 qts, no tomatoes, no beans, but lots of mild dried chilies and a bottle of beer. Cocoa and cumin are also included. The pot disappeared in almost a flash–at which point I learned from all of my astounded, but pleased, coworkers that they made chili the ordinary American way with tomatoes and beans. In Texas that means pinto beans, or at least it did in Texas in the 80s & 90s. I still make my Texas Red from time to time, but not often–I tend to wait for DIL to do it and invite us over. This recipe is quite delicious, even if not very authentic!