Cost of living in Alabama
Statewide averages from BEA, with every metro area in the state compared.
What the numbers say
- Overall prices in Alabama are 11.2% below the national average, the 45th most expensive of 51 states and DC (BEA 2024).
- Housing is the main reason prices in Alabama differ from the national level: housing costs (rents) are 38.2% below the US average, while goods are 3.6% below average and other services 3.3% below average.
- Utilities stand out in Alabama: household electricity, gas, water and sewer prices are 15.4% below the US average.
- Within Alabama, metro price levels run from 83.8 in Dothan, AL to 94.7 in Daphne, AL (US = 100).
- After adjusting for local prices, personal income per person is $52,216 in 2017 dollars, 48th of 51 (BEA 2024).
- Relative to the US, the price level in Alabama has barely moved: 88.9 in 2008, 88.3 in 2019 and 88.8 in 2024.
Written from this page's own figures. Price levels are for an average household basket and do not include taxes. How we calculate.
Where the money goes
Statewide price levels by category. Cities and rural areas within the state can differ a lot; see the metro table below.
In Alabama, housing is the category furthest from the US average: 38.2% below
Price level by category, 2024. US average = 100.
Bars to the right of the line cost more than the US average; to the left, less.
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Alabama | |
|---|---|
| All items | 88.8 |
| Goods | 96.4 |
| Housing (rents) | 61.8 |
| Utilities | 84.6 |
| Other services | 96.7 |
Gas prices
Regular gasoline averaged $3.78 a gallon in the Gulf Coast region in the week of October 19, 2026, $0.50 less than the US average of $4.28. EIA does not publish a separate weekly figure for Alabama, so this is the regional average. official
Work out your commute's gas cost
Source: U.S. Energy Information Administration, weekly retail gasoline prices, regular grade, including taxes.
Cheapest places to live in Alabama
By overall prices, the cheapest of the 13 metro areas BEA measures in Alabama are Dothan, AL (83.8), Florence, AL (84.8) and Gadsden, AL (85.7); the most expensive is Daphne, AL (94.7). US average = 100, BEA 2024. Rural areas are not listed separately.
Dothan, AL is the cheapest metro area in Alabama (83.8); Daphne, AL the most expensive (94.7)
Overall price level, 2024. US average = 100.
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by metropolitan area, 2024 (US = 100).
Show the numbers
| All items | |
|---|---|
| Dothan, AL | 83.8 |
| Florence, AL | 84.8 |
| Gadsden, AL | 85.7 |
| Anniston, AL | 85.9 |
| Decatur, AL | 87.2 |
| Tuscaloosa, AL | 87.7 |
| Auburn, AL | 87.9 |
| Mobile, AL | 88.1 |
| Columbus, GA | 89.3 |
| Montgomery, AL | 89.7 |
| Birmingham, AL | 91.6 |
| Huntsville, AL | 93.1 |
| Daphne, AL | 94.7 |
| Metro area | Overall | Housing | Goods | Utilities | Other services | Typical rent |
|---|---|---|---|---|---|---|
| Dothan, AL | 83.8 | 46.9 | 96.4 | 84.3 | 96.7 | $1,211 |
| Florence, AL | 84.8 | 47.7 | 96.4 | 85.8 | 96.7 | $1,073 |
| Gadsden, AL | 85.7 | 53.7 | 96.4 | 86.7 | 96.7 | $1,072 |
| Anniston, AL | 85.9 | 54.7 | 96.4 | 87.1 | 96.7 | $965 |
| Decatur, AL | 87.2 | 58.1 | 96.4 | 84.7 | 96.7 | $1,082 |
| Tuscaloosa, AL | 87.7 | 58.2 | 96.4 | 84.4 | 96.7 | $1,668 |
| Auburn, AL | 87.9 | 62.1 | 96.4 | 83.9 | 96.7 | $1,595 |
| Mobile, AL | 88.1 | 60.1 | 96.4 | 84.2 | 96.7 | $1,280 |
| Columbus, GA | 89.3 | 61.2 | 96.3 | 89.7 | 98.6 | $1,353 |
| Montgomery, AL | 89.7 | 64.3 | 96.4 | 84.9 | 96.7 | $1,383 |
| Birmingham, AL | 91.6 | 71.9 | 96.4 | 83.8 | 96.7 | $1,404 |
| Huntsville, AL | 93.1 | 77.9 | 96.4 | 83.9 | 96.7 | $1,387 |
| Daphne, AL | 94.7 | 89.2 | 96.4 | 83.3 | 96.7 | $1,701 |
Price levels: BEA, 2024, US = 100. Rent: Data Provided by Zillow Group, September 2026.
How prices have changed since 2008
Price levels relative to the whole country in each year, not inflation.
Alabama has stayed below the US average since 2008
Overall price level each year, 2008–2024. US average = 100.
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| 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 |
Goods: 96.0 in 2008, 96.4 in 2024
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Alabama | |
|---|---|
| 2008 | 96.0 |
| 2009 | 94.0 |
| 2010 | 96.4 |
| 2011 | 96.0 |
| 2012 | 95.2 |
| 2013 | 96.2 |
| 2014 | 96.3 |
| 2015 | 95.2 |
| 2016 | 96.1 |
| 2017 | 95.5 |
| 2018 | 92.5 |
| 2019 | 94.6 |
| 2020 | 94.4 |
| 2021 | 93.9 |
| 2022 | 94.7 |
| 2023 | 94.6 |
| 2024 | 96.4 |
Housing (rents): 59.9 in 2008, 61.8 in 2024
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Alabama | |
|---|---|
| 2008 | 59.9 |
| 2009 | 60.1 |
| 2010 | 61.5 |
| 2011 | 60.9 |
| 2012 | 62.3 |
| 2013 | 61.4 |
| 2014 | 59.9 |
| 2015 | 59.2 |
| 2016 | 60.5 |
| 2017 | 61.1 |
| 2018 | 59.6 |
| 2019 | 60.3 |
| 2020 | 59.6 |
| 2021 | 60.6 |
| 2022 | 57.5 |
| 2023 | 61.6 |
| 2024 | 61.8 |
Utilities: 90.9 in 2008, 84.6 in 2024
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Alabama | |
|---|---|
| 2008 | 90.9 |
| 2009 | 91.0 |
| 2010 | 93.0 |
| 2011 | 93.1 |
| 2012 | 95.1 |
| 2013 | 93.5 |
| 2014 | 94.3 |
| 2015 | 94.7 |
| 2016 | 94.7 |
| 2017 | 93.7 |
| 2018 | 88.0 |
| 2019 | 86.4 |
| 2020 | 84.8 |
| 2021 | 86.6 |
| 2022 | 88.0 |
| 2023 | 89.9 |
| 2024 | 84.6 |
Other services: 97.8 in 2008, 96.7 in 2024
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Alabama | |
|---|---|
| 2008 | 97.8 |
| 2009 | 96.7 |
| 2010 | 98.4 |
| 2011 | 99.8 |
| 2012 | 100.8 |
| 2013 | 99.9 |
| 2014 | 99.9 |
| 2015 | 100.0 |
| 2016 | 100.6 |
| 2017 | 99.0 |
| 2018 | 95.9 |
| 2019 | 96.9 |
| 2020 | 96.5 |
| 2021 | 96.1 |
| 2022 | 97.1 |
| 2023 | 98.2 |
| 2024 | 96.7 |
What incomes buy here
BEA divides personal income by local prices, so a dollar in a cheap state counts for more. This is income per resident (wages, benefits, investment income), not household or take-home pay.
After adjusting for prices, income per person in Alabama is $52,216, 48th of 51
Real personal income per person, constant 2017 dollars (adjusted for local price levels and inflation).
- Alabama
- United States
Source: U.S. Bureau of Economic Analysis, real personal income by state (SARPI), 2008–2024.
Show the numbers
| Alabama | United States | |
|---|---|---|
| 2008 | $42,219 | $45,816 |
| 2009 | $41,966 | $44,204 |
| 2010 | $41,709 | $44,808 |
| 2011 | $41,819 | $45,957 |
| 2012 | $41,592 | $46,796 |
| 2013 | $41,325 | $46,358 |
| 2014 | $41,984 | $47,661 |
| 2015 | $43,809 | $49,396 |
| 2016 | $43,554 | $49,828 |
| 2017 | $44,481 | $51,006 |
| 2018 | $46,440 | $52,242 |
| 2019 | $47,130 | $53,683 |
| 2020 | $50,186 | $56,514 |
| 2021 | $52,875 | $59,365 |
| 2022 | $50,649 | $57,104 |
| 2023 | $50,902 | $58,088 |
| 2024 | $52,216 | $59,195 |
Compare Alabama with other states
States with similar prices
- Iowa 87.8
- Mississippi 87.0
- South Dakota 88.6
- Kentucky 90.2
- Missouri 90.8
Sources and limits
- Price levels and real income: U.S. Bureau of Economic Analysis (BEA), Regional Price Parities and real personal income by state, 2008–2024. Last updated February 19, 2026: new statistics for 2024; revised statistics for 2008-2023. Downloaded 2026-10-21.
- Metro price levels: BEA Regional Price Parities by metro area. Typical rent: Data Provided by Zillow Group.
- State figures average cities and rural areas. Taxes are not included. BEA figures lag by about 18 months.