Alabama vs Texas: cost of living compared

Statewide price levels and incomes from BEA (2024); gas prices from EIA (weekly).

Is it cheaper to live in Alabama or Texas?

  • Overall, Texas is 9.3% more expensive than Alabama (BEA, 2024).
  • To keep the same standard of living, $75,000 in Alabama works out to about $82,000 in Texas, before taxes.
  • Most of the difference is housing, which costs 56.2% more in Texas. Goods are 1.7% higher and other services 0.4% higher.
  • After adjusting for local prices, personal income per person is $58,219 in Texas and $52,216 in Alabama (11.5% higher in Texas; BEA, 2024, in 2017 dollars).
  • Inside each state, metro price levels run from 83.8 in Eagle Pass, TX to 103.1 in Dallas, TX (Texas) and from 83.8 in Dothan, AL to 94.7 in Daphne, AL (Alabama), US = 100.
  • The gap has narrowed since 2019, when Texas was 11.6% more expensive than Alabama.

derived Calculated from BEA Regional Price Parities and real personal income by state. Statewide averages mix cities and rural areas; taxes are not included. How we calculate.

Try your own salary

18% matches BEA's average basket. Set your own share if housing takes more or less of your budget.

Category by category

Both states against the US average (100).

Housing drives the gap: 56.2% higher in Texas than in Alabama

Price level by category, 2024. US average = 100.

  • Alabama
  • Texas
All items
Alabama: 88.8 Texas: 97.1
Goods
Alabama: 96.4 Texas: 98.1
Housing (rents)
Alabama: 61.8 Texas: 96.5
Utilities
Alabama: 84.6 Texas: 87.5
Other services
Alabama: 96.7 Texas: 97.1

Source: U.S. Bureau of Economic Analysis, Regional Price Parities by metropolitan area, 2024 (US = 100).

Show the numbers
AlabamaTexas
All items88.897.1
Goods96.498.1
Housing (rents)61.896.5
Utilities84.687.5
Other services96.797.1
CategoryAlabamaTexasTexas vs Alabama
All items88.897.1+9.3%
Goods96.498.1+1.7%
Housing (rents)61.896.5+56.2%
Utilities84.687.5+3.4%
Other services96.797.1+0.4%
Income per person, adjusted for prices $52,216 $58,219 +11.5%
Regular gas, week of October 19, 2026* $3.78 $3.70 −2.1%
Salary to match $75,000 in Alabama $75,000 $82,000 +9.3%

Index values: BEA, 2024, US = 100. Income: BEA real personal income per person, 2017 dollars. Gas: EIA weekly retail prices. *Gulf Coast region average (EIA has no separate Alabama figure).

Cheapest and most expensive places in each state

Metro areas ordered from cheapest to most expensive. BEA, 2024, US = 100.

How the gap has changed since 2008

The price gap between Alabama and Texas has been fairly stable since 2008

Overall price level each year, 2008–2024. US average = 100.

  • Alabama
  • Texas
US average = 100

Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).

Show the numbers
AlabamaTexas
200888.997.1
200987.896.7
201089.897.7
201190.097.0
201290.697.7
201390.398.1
201490.298.4
201589.798.3
201690.698.1
201790.197.4
201887.497.8
201988.398.5
202087.698.8
202188.198.4
202288.097.4
202389.197.1
202488.897.1

Goods

  • Alabama
  • Texas
US = 100

Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).

Show the numbers
AlabamaTexas
200896.097.1
200994.096.1
201096.498.1
201196.096.5
201295.297.6
201396.297.6
201496.397.4
201595.297.1
201696.198.4
201795.597.1
201892.597.1
201994.697.9
202094.498.2
202193.998.5
202294.797.2
202394.698.1
202496.498.1

Housing (rents)

  • Alabama
  • Texas
US = 100

Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).

Show the numbers
AlabamaTexas
200859.988.0
200960.188.2
201061.589.3
201160.989.7
201262.391.1
201361.491.4
201459.993.6
201559.294.0
201660.595.6
201761.195.2
201859.695.2
201960.395.8
202059.695.8
202160.695.6
202257.597.0
202361.697.5
202461.896.5

Utilities

  • Alabama
  • Texas
US = 100

Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).

Show the numbers
AlabamaTexas
200890.9101.4
200991.096.2
201093.098.1
201193.194.4
201295.193.1
201393.595.7
201494.394.9
201594.791.1
201694.791.9
201793.788.0
201888.087.5
201986.487.7
202084.885.0
202186.686.2
202288.088.7
202389.992.4
202484.687.5

Other services

  • Alabama
  • Texas
US = 100

Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).

Show the numbers
AlabamaTexas
200897.8100.0
200996.7100.4
201098.4100.3
201199.8100.1
2012100.8100.4
201399.9101.0
201499.9101.1
2015100.0101.1
2016100.699.0
201799.098.9
201895.999.8
201996.9100.5
202096.5101.3
202196.1100.0
202297.198.2
202398.296.6
202496.797.1

What incomes buy in each state

Income per person after adjusting for prices: $58,219 in Texas, $52,216 in Alabama

Real personal income per person, constant 2017 dollars (adjusted for each state's price level and for inflation).

  • Alabama
  • Texas
  • United States

Source: U.S. Bureau of Economic Analysis, real personal income by state (SARPI), 2008–2024.

Show the numbers
AlabamaTexasUnited States
2008$42,219$46,068$45,816
2009$41,966$43,349$44,204
2010$41,709$44,078$44,808
2011$41,819$46,663$45,957
2012$41,592$47,554$46,796
2013$41,325$47,301$46,358
2014$41,984$48,959$47,661
2015$43,809$48,983$49,396
2016$43,554$47,686$49,828
2017$44,481$49,918$51,006
2018$46,440$51,551$52,242
2019$47,130$52,343$53,683
2020$50,186$53,181$56,514
2021$52,875$56,442$59,365
2022$50,649$56,452$57,104
2023$50,902$57,708$58,088
2024$52,216$58,219$59,195

More

Related state comparisons

What this comparison leaves out

  • Taxes. State income, sales and property taxes differ a lot between states and are not included.
  • Where you live inside the state. Statewide figures average cities and rural areas; the metro lists above show the spread.
  • Your own spending mix. The default uses an average household. Use the housing slider if housing is a bigger share of your budget.
  • Timing. BEA price levels and incomes are for 2024; gas prices are weekly.

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