Side-by-side cost of living comparison for 2026
13% cheaper
Birmingham is 13% more affordable than Phoenix. A $75,000 salary in Phoenix is equivalent to $65,250 in Birmingham.
Index values shown. National average = 100. Lower is cheaper.
To maintain the same standard of living:
See exact take-home pay: Alabama salaries · Arizona salaries
Housing is typically the biggest factor in any cost-of-living comparison. Birmingham has a housing index of 67 while Phoenix sits at 102 (national average = 100). The median home in Birmingham costs $165,000 compared to $350,000 in Phoenix, a difference of $185,000. Monthly rent follows a similar pattern: $1,000 in Birmingham versus $1,400 in Phoenix.
Groceries and everyday expenses show a narrower gap: Birmingham scores 96 while Phoenix scores 99. Both cities are close to the national average for grocery costs.
Healthcare costs in Birmingham (91) are lower than Phoenix (95).
Median household income in Birmingham is $38,178 compared to $57,459 in Phoenix. When adjusted for cost of living, income goes further in Birmingham.
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