Horseshoe Bay is a city in Llano and Burnet counties in the U.S. state of Texas. Prior to its incorporation in September 2005, it was a census-designated place (CDP). The CDP population was 3,337 at the 2000 census. The 2010 census put the population at 3,418. Horseshoe Bay is located at 30°32’41″N 98°22’06″W. It is located in primarily in Llano County and extends eastward into Burnet County, on the southern shore of Lake Lyndon B. Johnson. It is about 28 miles southeast of Llano and 51 miles northwest of downtown Austin. The Llano County portion of Horseshoe Bay is served by the Llano Independent School District. The Burnet County portion is served by the Marble Falls Independent School District.
The median income for a household in the CDP was $54,073, and the median income for a family was $65,324. Males had a median income of $39,375 versus $23,019 for females. The per capita income for the CDP was $36,254. About 5.8% of families and 6.1% of the population were below the poverty line, including 9.2% of those under age 18 and 4.7% of those age 65 or over.