Birmingham vs Salt Lake City: cost of living compared
Salt Lake City is 38% more expensive than Birmingham overall. State income tax tops out around 4.65% in UT vs 5% in AL.
Indexes use a US average of 100: below 100 is cheaper than the national average. Housing and transportation are derived from median home prices, rents and commute times; figures come from BLS, Census ACS, Numbeo and the MIT Living Wage Calculator.
The big picture
Comparing Birmingham and Salt Lake City reveals a significant difference in overall cost of living. Birmingham is noticeably more affordable, with its overall expenses falling well below the national average. Salt Lake City, in contrast, presents a higher cost of living, exceeding the national average. This substantial gap is primarily driven by housing costs, which are considerably higher in Salt Lake City.
Housing
Housing is where the most substantial cost difference lies. Both buying a home and renting an apartment are much more expensive in Salt Lake City compared to Birmingham. Birmingham offers a more accessible housing market, with median home prices and rental rates being considerably lower. While specific ownership costs like property taxes and insurance vary, the initial investment for housing is a much bigger consideration in Salt Lake City.
Taxes and everyday costs
Daily expenses also differ between these two metros. Birmingham generally offers lower costs for food, healthcare, and utilities. Transportation costs are roughly similar, though Birmingham is slightly more affordable. Regarding state income tax, both states have a similar structure, with top marginal rates that are close, though Alabama's is slightly higher. Overall, everyday spending will be noticeably less in Birmingham.
Lifestyle trade-offs
Beyond costs, lifestyle differences are notable. Birmingham offers a humid subtropical climate with warm summers and mild winters, while Salt Lake City experiences a semi-arid climate with distinct four seasons, including snowy winters. Salt Lake City's proximity to mountains offers abundant outdoor recreation. Both metros have developed transportation networks, but Salt Lake City's urban core is generally denser, while Birmingham has a more spread-out feel.
Bottom line
Moving between Birmingham and Salt Lake City would mean a significant adjustment to your household budget. Birmingham consistently offers a more affordable lifestyle across most spending categories, particularly for housing. While state income tax rates are comparable, the cumulative effect of higher housing, food, and miscellaneous costs in Salt Lake City means a household would need a substantially larger income to maintain a similar standard of living there compared to Birmingham.
| Measure | Birmingham, AL | Salt Lake City, UT |
|---|---|---|
| Overall cost of living (US avg = 100) | 78 | 108 |
| Housing index | 58 | 127 |
| Transportation index | 88 | 89 |
| Food index | 85 | 98 |
| Healthcare index | 88 | 98 |
| Utilities index | 92 | 95 |
| Misc index | 75 | 95 |
| Median home price | $198,000 | $498,000 |
| Median 1-bedroom rent | $925/mo | $1,550/mo |
| Average commute | 25 min | 24 min |
Compare any two metros with the free cost of living tool, or see the true monthly cost of a specific Salt Lake City home with the True Cost Calculator.