Jefferson County · Alabama
Cost of living in Birmingham, AL
Price levels published by the Bureau of Economic Analysis for Birmingham, AL, with the national average set to 100 — so 108 means things cost 8% more here than the US average.
Quick answer
Living in Birmingham, AL costs 8.4% below the national average — an all-items price level of 91.6. To match the buying power of a $100,000 national-average salary you would need about $91,644 here.
- All items
- 91.6US average = 100
- Housing
- 71.928.1% below the national average
- Goods
- 96.43.6% below the national average
- Other services
- 96.73.3% below the national average
Price level by component
Where the difference actually comes from.
| Component | Index | vs US | What it covers |
|---|---|---|---|
| Goods | 96.4 | -3.6% | Groceries, fuel, clothing, durable purchases. |
| Housing | 71.9 | -28.1% | Rents and imputed rents — the biggest single swing factor. |
| Utilities | 83.8 | -16.2% | Electricity, gas, water and other household energy. |
| Other services | 96.7 | -3.3% | Healthcare, dining, repairs, personal services. |
What your salary is worth in Birmingham, AL
Enter a salary. We deflate it by the local price level (91.6 where 100 is the US average) and show what you would need to earn here to match the same pay somewhere average.
- Real value here
- $48,328
- Needed to match US average
- $40,589
- Monthly difference
- $-308
What a local paycheck is really worth
Nominal pay is only half the story.
The median household in Birmingham earns $44,290. Deflated by the local price level, that is $48,328 in national-average dollars — the BEA calls this real income, and it is simply income × 100 ÷ 91.6.
More on Birmingham
Same city, other datasets.
2024 BEA Regional Price Parities, published for Birmingham, AL. Parities are metro-wide, so a single neighbourhood can sit well above or below these figures.