Alabama by the numbers
A decision-oriented profile: what it costs to live here, what the job market looks like, and how it stacks up against where you are now. Every figure identifies its source and vintage.
Compare Alabama with where you live now
See how far your income would go here versus your current state, adjusted for local prices.
Compare your income in Alabama →The bottom line on Alabama
The cost-of-living picture
Overall prices in Alabama run at 88.8 on the BEA index, where 100 is the US average — among the most affordable states in the country. That puts it 11% below the national level, the 7th-cheapest state of 51. The component furthest from the national level is housing rents, at 61.8 — 38% below the national norm.
Housing
The typical renter pays $1,007 a month — 29% below the national median of $1,413, the 43rd-highest rent in the country. Buying is a bigger gap: the median home is worth $209,900, 37% below the national median. 70.2% of homes are owner-occupied, making it an ownership-heavy state. The statewide median gross-rent-to-income ratio is 29.5%, below the commonly used 30% cost-burden threshold. Owner-occupied homes report median real estate taxes of $788 a year; that figure is context for owners, not a household-specific tax quote.
Do paychecks keep up with prices?
Median household income is $63,999, the 46th-highest of 51 states. But income only matters relative to prices: adjusted for local costs, that is worth $72,071 in national-average terms. Its rank barely moves after adjusting for costs, so pay and prices here are broadly in step.
The tax trade-off
Income is taxed through graduated brackets, topping out at 5.00%. Combined sales tax averages 9.46%. These headline rates do not by themselves measure a household's total tax burden. (Tax figures are hand-verified from the Tax Foundation and dated on the page below.)
The job market
Unemployment stands at 3.4% (July 2026), 0.7 percentage points below the national rate of 4.1%. That is a tighter labor market than the country as a whole. It is also the one figure here that refreshes monthly, rather than annually.
Every figure above is drawn from the published data on this page. Missing values are never modeled or filled in.
What it costs to live here
Price level by component, 100 = US average. Higher means more expensive than the national average.
| Component | Alabama | vs US avg |
|---|---|---|
| All items | 88.8 | −11.2% |
| Housing rents | 61.8 | −38.2% |
| Goods | 96.4 | −3.6% |
| Utilities | 84.6 | −15.4% |
| Other services | 96.7 | −3.3% |
BEA Regional Price Parities · SARPP · 2024 · rel. February 19, 2026 · Official data
Housing & income (ACS)
| Median gross rent | $1,007/mo ±$8 |
|---|---|
| Median home value | $209,900 ±$1,076 |
| Median household income | $63,999/yr ±$399 |
| Homeownership rate | 70.2% |
| Median rent as % of income | 29.5% ±0.3% |
| Median owner costs as % of income | 14.8% ±0.1% |
| Median real estate taxes paid | $788/yr ±$6 |
| Median taxes ÷ median home value | 0.38% US 0.94% |
| Median home value ÷ median household income | 3.3× US 4.1× |
The ± values are Census 90% margins of error. Property-tax figures cover owner-occupied homes and are not estimates for a particular property. The two ratio rows divide one statewide median by another: a quick screen of the tax and price burden, not a rate any household pays.
US Census ACS 5-Year Estimates · ACS5 · 2024 · rel. December 2025 · Official data
Everyday costs in dollars
The price index above is relative. These are the actual dollar figures behind it: rent by home size, energy bills, and what residents spend per person each year.
Rent by number of bedrooms
| Home size | Alabama | US | vs US |
|---|---|---|---|
| Studio | $789/mo ±$30 | $1,248/mo | −36.8% |
| 1 bedroom | $850/mo ±$18 | $1,235/mo | −31.2% |
| 2 bedrooms | $960/mo ±$10 | $1,407/mo | −31.8% |
| 3 bedrooms | $1,127/mo ±$12 | $1,584/mo | −28.9% |
| 4 bedrooms | $1,318/mo ±$36 | $1,957/mo | −32.7% |
US Census ACS 5-Year Estimates (summary file) · ACS5 · 2020–2024 · rel. December 2025 · Official data
Home energy bills
Residential customers, 2024. The bill reflects both the price and how much electricity homes use, which depends heavily on climate and heating fuel. In Alabama, 67% of homes heat mainly with electricity, 26% with piped gas. Why bills differ by state →
EIA residential electricity (Table 5A) and natural gas prices · EIA-861 · 2024 · rel. October 7, 2025 · Official data
What residents spend per person
| Category | Alabama | US | vs US | Since 2019 (current dollars) |
|---|---|---|---|---|
| All consumer spending | $48,725 | $61,062 | −20.2% | +37.7% |
| Housing and utilities | $8,697 | $11,159 | −22.1% | +41.7% |
| Health care services | $8,408 | $10,442 | −19.5% | +34.2% |
| Groceries | $4,019 | $4,459 | −9.9% | +38.2% |
| Restaurants and hotels | $3,486 | $4,377 | −20.4% | +43.9% |
| Financial services and insurance | $3,379 | $4,825 | −30.0% | +37.4% |
| Vehicles and parts | $2,397 | $2,240 | +7.0% | +39.9% |
| Gasoline and other energy goods | $1,371 | $1,225 | +11.9% | +25.2% |
| Transportation services | $1,206 | $2,058 | −41.4% | +49.4% |
| Recreation services | $1,460 | $2,354 | −38.0% | +40.0% |
| Clothing and footwear | $1,408 | $1,638 | −14.0% | +34.4% |
Annual spending per resident, 2025, in current dollars. Higher spending can reflect higher prices, higher incomes, or both. Housing includes the rent BEA estimates owners would pay; health care covers services, not prescriptions.
BEA Personal Consumption Expenditures by State · SAPCE2 · 2025 · rel. September 30, 2026 · Official data
What salary you need in Alabama
Pre-tax salary in Alabama with the same purchasing power as an income earned at US-average prices. Calculated as income × 0.888 (the state's price level as a decimal).
| Income at US-average prices | Equivalent in Alabama | Difference |
|---|---|---|
| $40,000 | $35,520 | −$4,480 |
| $60,000 | $53,280 | −$6,720 |
| $80,000 | $71,040 | −$8,960 |
| $100,000 | $88,800 | −$11,200 |
| $150,000 | $133,200 | −$16,800 |
| $200,000 | $177,600 | −$22,400 |
Rent check: paying the median rent of $1,007/mo at no more than 30% of income takes about $40,280 a year — less than the statewide median household income of $63,999.
BEA Regional Price Parities · SARPP · 2024 · rel. February 19, 2026 · Official data
Have a specific offer? Compare it against your current state →
What common jobs pay in Alabama
Median annual wage (May 2025) for 10 occupations, and the same wage restated at national-average prices. The rank compares that cost-adjusted wage across every state with a published estimate.
| Occupation | Median wage | vs US median | Cost-adjusted | Real-pay rank |
|---|---|---|---|---|
| Registered Nurses | $77,080 | −21.0% | $86,802 | 49 of 51 |
| Software Developers | $122,540 | −9.9% | $137,995 | 9 of 50 |
| Elementary School Teachers | $61,380 | −4.0% | $69,122 | 22 of 51 |
| Electricians | $55,690 | −11.9% | $62,714 | 40 of 51 |
| Heavy & Tractor-Trailer Truck Drivers | $52,120 | −11.1% | $58,694 | 33 of 51 |
| Accountants and Auditors | $74,880 | −10.5% | $84,324 | 24 of 51 |
| Police & Sheriff’s Patrol Officers | $51,270 | −32.7% | $57,736 | 48 of 51 |
| Pharmacists | $134,630 | −4.5% | $151,610 | 17 of 51 |
| Dental Hygienists | $61,160 | −37.7% | $68,874 | 50 of 50 |
| Welders, Cutters, Solderers & Brazers | $48,490 | −9.8% | $54,606 | 37 of 51 |
Green means the Alabama median pays more than the national median for that job. Medians cover all industries and experience levels.
BLS Occupational Employment and Wage Statistics · OEWS · May 2025 · rel. May 15, 2026 · Official data
BEA Regional Price Parities · SARPP · 2024 · rel. February 19, 2026 · Official data
The job market
The seasonally-adjusted unemployment rate in Alabama is 3.4% as of July 2026 (preliminary). This is the one figure here that updates monthly.
Minimum wage: $7.25 an hour (the federal minimum applies), about $15,080 for a full-time year of 2,080 hours. No state minimum wage law; FLSA-covered employers must pay the federal $7.25. Can it pay the rent? →
BLS Local Area Unemployment Statistics · LAUS · July 2026 · rel. Aug. 21, 2026 · Official data
U.S. Department of Labor, Wage and Hour Division — State Minimum Wage Laws / Consolidated State Minimum Wage Update Table · Min. wage · 2026 · rel. DOL table effective 2026-07-01 · Manually maintained · verified 2026-10-24
Who lives in Alabama, and who is moving
Alabama had 5,193,088 residents on July 1, 2025, up 3.2% since July 1, 2020 (+160,126 people) against 3.1% for the US. That is the 20th-fastest growth of 51.
Data table
| Year | Alabama |
|---|---|
| 2020 | 5.03M |
| 2021 | 5.05M |
| 2022 | 5.08M |
| 2023 | 5.12M |
| 2024 | 5.16M |
| 2025 | 5.19M |
Net migration counts July 1, 2020 to June 30, 2025. Census attributes a small residual to no component, so the three parts may not add exactly to the change.
US Census Bureau Population Estimates · PEP · Vintage 2025 · rel. January 27, 2026 · Official data
Where movers come from and go (2024)
Moved here from
- Florida 16,423 ±4,099
- Georgia 15,194 ±2,860
- Tennessee 11,339 ±2,639
- Mississippi 7,574 ±2,264
- Texas 7,428 ±2,159
Left for
- Georgia 15,804 ±5,475
- Florida 11,110 ±3,108
- Tennessee 9,789 ±2,113
- Mississippi 8,215 ±3,035
- Texas 7,015 ±1,777
In 2024, about 119,890 people living in Alabama had lived in another state a year earlier, and about 22,494 had lived abroad. Survey estimates; ± values are 90% margins of error.
Census Bureau State-to-State Migration Flows · Migration · 2024 · rel. January 21, 2026 · Official data
Where Americans are moving, and what they trade →
Who lives here
| Measure | Alabama | US |
|---|---|---|
| Median age | 39.3 yrs | 38.9 yrs |
| Adults 25+ with a bachelor's degree or higher | 28.4% | 35.7% |
| Per capita income | $36,087 | $44,673 |
| Below the poverty line | 15.6% | 12.5% |
| No health insurance | 9.2% | 8.4% |
| Households with broadband | 87.5% | 91.0% |
| Workers who work from home | 8.8% | 15.1% |
| Average commute (one way) | 25.5 min | 26.4 min |
US Census ACS 5-Year Estimates (summary file) · ACS5 · 2020–2024 · rel. December 2025 · Official data
How much prices vary within Alabama
BEA metro price levels for metropolitan areas that include part of Alabama. Cross-state metros may appear in more than one state.
Show all 13 metro areas
| Metro area | All items | Housing rents | vs US |
|---|---|---|---|
| Dothan, AL | 83.8 | 46.9 | −16.2% |
| Florence-Muscle Shoals, AL | 84.8 | 47.7 | −15.2% |
| Gadsden, AL | 85.7 | 53.7 | −14.3% |
| Anniston-Oxford, AL | 85.9 | 54.7 | −14.1% |
| Decatur, AL | 87.2 | 58.1 | −12.8% |
| Tuscaloosa, AL | 87.7 | 58.2 | −12.3% |
| Auburn-Opelika, AL | 87.9 | 62.1 | −12.1% |
| Mobile, AL | 88.1 | 60.1 | −11.9% |
| Columbus, GA-AL | 89.3 | 61.2 | −10.7% |
| Montgomery, AL | 89.7 | 64.3 | −10.3% |
| Birmingham, AL | 91.6 | 71.9 | −8.4% |
| Huntsville, AL | 93.1 | 77.9 | −6.9% |
| Daphne-Fairhope-Foley, AL | 94.7 | 89.2 | −5.3% |
BEA Regional Price Parities by metro area · MARPP · 2024 · rel. February 19, 2026 · Official data
How the statewide price level has changed
BEA Regional Price Parity over time. This shows prices relative to the US average in each year; it is not a consumer-price inflation series.
Data table
| Year | Alabama |
|---|---|
| 2008 | 88.9 |
| 2009 | 87.8 |
| 2010 | 89.8 |
| 2011 | 90.0 |
| 2012 | 90.6 |
| 2013 | 90.3 |
| 2014 | 90.2 |
| 2015 | 89.7 |
| 2016 | 90.6 |
| 2017 | 90.1 |
| 2018 | 87.4 |
| 2019 | 88.3 |
| 2020 | 87.6 |
| 2021 | 88.1 |
| 2022 | 88.0 |
| 2023 | 89.1 |
| 2024 | 88.8 |
BEA Regional Price Parities · SARPP · 2024 · rel. February 19, 2026 · Official data
Housing and jobs over complete calendar years
Home prices (FHFA index) · +50.5% since 2020
Home prices in Alabama are up 98% since 2005 (FHFA index). That's roughly in line with the 95% rise nationally over the same period.
Data table
| Year | Alabama | US |
|---|---|---|
| 2005 | 272 | 362 |
| 2006 | 292 | 379 |
| 2007 | 301 | 375 |
| 2008 | 301 | 348 |
| 2009 | 292 | 330 |
| 2010 | 285 | 324 |
| 2011 | 278 | 313 |
| 2012 | 276 | 315 |
| 2013 | 272 | 328 |
| 2014 | 279 | 345 |
| 2015 | 286 | 362 |
| 2016 | 294 | 382 |
| 2017 | 304 | 403 |
| 2018 | 315 | 422 |
| 2019 | 334 | 443 |
| 2020 | 357 | 471 |
| 2021 | 419 | 556 |
| 2022 | 468 | 616 |
| 2023 | 489 | 648 |
| 2024 | 519 | 683 |
| 2025 | 537 | 707 |
Unemployment rate
The annual unemployment rate peaked at 10.4% in 2010; the latest complete-year average is 3.0% for 2024 — a long recovery from that high.
Data table
| Year | Alabama | US |
|---|---|---|
| 2005 | 4.5% | 5.1% |
| 2006 | 4% | 4.6% |
| 2007 | 4.1% | 4.6% |
| 2008 | 5.9% | 5.8% |
| 2009 | 9.7% | 9.3% |
| 2010 | 10.4% | 9.6% |
| 2011 | 9.6% | 8.9% |
| 2012 | 8.2% | 8.1% |
| 2013 | 7.4% | 7.4% |
| 2014 | 6.8% | 6.2% |
| 2015 | 6.1% | 5.3% |
| 2016 | 5.8% | 4.9% |
| 2017 | 4.5% | 4.4% |
| 2018 | 3.9% | 3.9% |
| 2019 | 3.2% | 3.7% |
| 2020 | 6.4% | 8.1% |
| 2021 | 3.4% | 5.4% |
| 2022 | 2.5% | 3.7% |
| 2023 | 2.5% | 3.6% |
| 2024 | 3% | 4% |
FRED (FHFA House Price Index & state unemployment) · FRED · home prices through 2025, unemployment through 2024 · rel. continuously updated · Official data
What the weather is like
Statewide averages for 1991–2020 from NOAA. They average mountains, coasts, and cities together, so a particular city can run noticeably warmer or cooler.
NOAA NCEI Climate at a Glance (statewide) · nClimDiv · 1991–2020 average · rel. monthly · Official data
Crime in Alabama
Alabama recorded an estimated 348.3 violent crimes per 100,000 residents in 2025, 6% above the national rate of 327.6. That is the 19th-highest rate of 51. In 2020, the rate was 453.6.
FBI estimates for the whole state population, including areas whose police agencies did not report every month. Agencies serving 99.3% of residents submitted data in 2025. Violent crime counts murder, rape, robbery, and aggravated assault; property crime counts burglary, larceny-theft, and motor vehicle theft. Rates vary widely between cities and neighborhoods.
FBI Uniform Crime Reporting estimates (Crime Data Explorer) · CIUS · 2025 · rel. August 2026 · Official data
What you'd pay in tax
| Individual income tax | 5.00% top rate (graduated) |
|---|---|
| Sales tax (state) | 4.00% |
| Sales tax (combined avg) | 9.46% |
Tax Foundation — 2026 State Individual Income Tax Rates and Brackets · Income · 2026 · rel. tax year 2026 · Manually maintained · verified 2026-07-20
Tax Foundation — State and Local Sales Tax Rates, 2026 · Sales · 2026 · rel. tax year 2026 · Manually maintained · verified 2026-07-20
Alabama vs neighboring states
Every state that borders Alabama, sorted by overall price level. Real income is median household income divided by the price level.
| State | Price level | Median rent | Median home | Real income | Unemployment | Top income tax | Compare |
|---|---|---|---|---|---|---|---|
| Florida | 103.4 | $1,669 | $359,000 | $72,116 | 4.6% | None | vs → |
| Georgia | 96.3 | $1,393 | $303,300 | $80,325 | 3.3% | 5.19% | vs → |
| Tennessee | 91.9 | $1,189 | $286,700 | $75,729 | 3.4% | None | vs → |
| Alabama | 88.8 | $1,007 | $209,900 | $72,071 | 3.4% | 5.00% | |
| Mississippi | 87.0 | $954 | $169,800 | $64,882 | 3.6% | 4.00% | vs → |
Sources: BEA RPP 2024, Census ACS 2024, BLS LAUS July 2026, Tax Foundation 2026.
Where Alabama ranks
Alabama cost of living: common questions
Is Alabama expensive to live in?
Alabama's overall price level is 88.8 on the BEA Regional Price Parity index (US = 100), 11.2% below the national average. It ranks 45 of 51 from most to least expensive. Housing rents sit at 61.8, which is usually what separates expensive states from cheap ones.
What salary in Alabama equals $100,000 at national-average prices?
About $88,800. Multiply a national-average income by Alabama's price level as a decimal (0.888) to get the salary with the same pre-tax purchasing power. That figure ignores taxes and your own housing situation, which can move the answer either way.
How much income do you need to afford the median rent in Alabama?
Median gross rent in Alabama is $1,007 a month. Keeping rent at or below the common 30% guideline takes an annual income of about $40,280, compared with a statewide median household income of $63,999. Rents in the metro you are targeting may be higher or lower than the statewide median.
Does Alabama have a state income tax?
Alabama has a graduated income tax with a top rate of 5.00% for tax year 2026. The combined state-and-local sales tax averages 9.46%, of which the statewide rate is 4.00%. Owners report median real estate taxes of $788 a year.
Is Alabama's population growing?
Alabama had 5,193,088 residents on July 1, 2025, up 3.2% from July 1, 2020 (US: +3.1%). Over that period, net moves from other states added about 131,598 people and net international migration added about 53,868, according to Census population estimates.
How much is the average electric bill in Alabama?
Residential customers in Alabama paid an average of $174 a month for electricity in 2024, against $142 nationally. They used about 1,143 kWh a month at 15.18¢ per kWh (US: 863 kWh at 16.48¢), according to the EIA.
What is the minimum wage in Alabama?
Alabama follows the federal minimum of $7.25 an hour, about $15,080 for a full-time year. No state minimum wage law; FLSA-covered employers must pay the federal $7.25. Some cities and counties set higher local minimums.
What is the weather like in Alabama?
Averaged across the state for 1991–2020, Alabama's July high is 90.7°F and its January low is 34.5°F, with an annual mean of 63.6°F and 56.9 inches of precipitation a year. The 2016–2025 average was 64.9°F. Statewide averages blend regions, so check the specific city.
How does crime in Alabama compare with other states?
The FBI estimates 348.3 violent crimes per 100,000 residents in Alabama for 2025 (US: 327.6), the 19th-highest rate of 51, and 1,461.8 property crimes per 100,000 (US: 1,534.8). Crime is concentrated in particular places, so city and neighborhood figures matter more than the statewide rate.
How fast have home prices risen in Alabama?
The FHFA house price index for Alabama rose 50.5% from 2020 to 2025, compared with 50.1% for the United States. The index follows repeated sales and refinance appraisals of the same single-family homes, so it measures price change rather than the price of a typical home.
Sources for every figure on this page
BEA Regional Price Parities ·
SARPP· 2024 · rel. February 19, 2026 · Official dataBEA Regional Price Parities by metro area ·
MARPP· 2024 · rel. February 19, 2026 · Official dataBLS Local Area Unemployment Statistics ·
LAUS· July 2026 · rel. Aug. 21, 2026 · Official dataUS Census ACS 5-Year Estimates ·
ACS5· 2024 · rel. December 2025 · Official dataFRED (FHFA House Price Index & state unemployment) ·
FRED· home prices through 2025, unemployment through 2024 · rel. continuously updated · Official dataUS Census ACS 5-Year Estimates (summary file) ·
ACS5· 2020–2024 · rel. December 2025 · Official dataUS Census Bureau Population Estimates ·
PEP· Vintage 2025 · rel. January 27, 2026 · Official dataCensus Bureau State-to-State Migration Flows ·
Migration· 2024 · rel. January 21, 2026 · Official dataBEA Personal Consumption Expenditures by State ·
SAPCE2· 2025 · rel. September 30, 2026 · Official dataEIA residential electricity (Table 5A) and natural gas prices ·
EIA-861· 2024 · rel. October 7, 2025 · Official dataNOAA NCEI Climate at a Glance (statewide) ·
nClimDiv· 1991–2020 average · rel. monthly · Official dataU.S. Department of Labor, Wage and Hour Division — State Minimum Wage Laws / Consolidated State Minimum Wage Update Table ·
Min. wage· 2026 · rel. DOL table effective 2026-07-01 · Manually maintained · verified 2026-10-24FBI Uniform Crime Reporting estimates (Crime Data Explorer) ·
CIUS· 2025 · rel. August 2026 · Official dataTax Foundation — 2026 State Individual Income Tax Rates and Brackets ·
Income· 2026 · rel. tax year 2026 · Manually maintained · verified 2026-07-20Tax Foundation — State and Local Sales Tax Rates, 2026 ·
Sales· 2026 · rel. tax year 2026 · Manually maintained · verified 2026-07-20
Occupation wages are available for selected roles in the salary comparison. See the methodology →