Median rent is 6% lower in Birmingham ($1,107/mo vs $1,181/mo). Buying is cheaper in Birmingham, where the median home runs $158,800 versus $169,000. Households earn more in Memphis ($51,736 vs $46,051 a year). Taken together, Birmingham is the more affordable choice with a cost index of 91.8 against 91.9 — about 0% lower overall prices. After adjusting income for local prices, a typical paycheck stretches further in Memphis, TN.
City A
Birmingham, AL
City B
Memphis, TN
How much would you need to earn in Memphis, TN to maintain your standard of living from Birmingham, AL?
Equivalent salary in Memphis, TN
$75,149
You'd need $149 more (0% higher).
Based on BEA Regional Price Parity (cost index) for each city's metro area. A rough estimate of overall purchasing power, not tax or take-home pay.
Metric
Birmingham
Alabama
Memphis
Tennessee
👥Population
💰Median Household Income
Annual
🏠Median Gross Rent
Per month
🏡Median Home Value
📊Cost of Living Index
US avg = 100
🔑1BR Fair Market Rent
HUD FMR
🔑2BR Fair Market Rent
HUD FMR
🔑3BR Fair Market Rent
HUD FMR
🌬️Air Quality Index
Lower = cleaner
🏛️Top State Income Tax
Top marginal rate
🧾State Sales Tax
Statewide base rate
🎂Median Age
Years
✓ = better value · Sources: US Census ACS, BEA RPP, HUD FMR, EPA AirNow, Tax Foundation
Median rent is modestly lower in Birmingham at $1,107/mo compared to $1,181/mo in Memphis (6% gap). Median home values are within 6% of each other: $158,800 in Birmingham and $169,000 in Memphis.
1BR Fair Market Rent
2BR Fair Market Rent
BLS OEWS 2023 — metro-level data
State tax data is not yet available for these cities.
Birmingham
Income tax: N/A
Sales tax: N/A
Memphis
Income tax: N/A
Sales tax: N/A
Memphis has cleaner air on average: 19.0 AQI (Good) compared to 36.0 AQI (Good) in the other city. Lower AQI means cleaner, healthier air.
Pick Memphis if you prioritize higher median household income ($51,736/yr).
Pick Memphis if you prioritize cleaner air quality (avg AQI 19.0).
Is Birmingham cheaper than Memphis?
Birmingham is cheaper overall, with a cost of living index of 91.8 versus 91.9 (US average = 100). That means prices run about 0% lower in Birmingham.
How much is rent in Birmingham vs Memphis?
Median rent is $1,107/mo in Birmingham, AL and $1,181/mo in Memphis, TN. Birmingham, AL has the lower rent by about 6%.
Which has higher salaries — Birmingham or Memphis?
Median household income is $46,051 in Birmingham, AL and $51,736 in Memphis, TN. Memphis, TN has the higher median income. Note that BLS occupational wages in the table above show wages for specific jobs.
Which city has better air quality?
Memphis, TN has better air quality on average: 19.0 AQI versus 36.0 AQI. Both are EPA AirNow annual averages; lower is better.
Which has lower taxes — Birmingham or Memphis?
State tax data is not yet available for one or both cities.
What salary do I need in Memphis to match my Birmingham income?
To maintain the same purchasing power, a salary of $100,000 in Birmingham, AL is equivalent to roughly $100,198 in Memphis, TN (using the BEA Regional Price Parity ratio). Use the salary calculator above for any income amount.
Data last updated: December 1, 2026 · Sources: US Census ACS, BEA RPP, BLS OEWS, HUD FMR, EPA AirNow, Tax Foundation · Methodology
