Cost of Living: Memphis, TN vs Tuscaloosa, AL (2026)

Memphis

Tennessee
68
VS

Tuscaloosa

Alabama
73

Memphis is 5% cheaper than Tuscaloosa.

$1,123/mo ↑ 12%
Median Rent
$1,005/mo ↓ 11%
$51,211/yr ↑ 6%
Median Income
$48,536/yr ↓ 5%
$157,100 ↓ 34%
Home Value
$236,600 ↑ 51%
$1,087/mo ↑ 5%
Owner Costs
$1,038/mo ↓ 5%
629,063
Population
107,699

Tax Comparison

0%
Income Tax
5.0%
7.0%
Sales Tax
4.0%
0.64%
Property Tax
0.41%

Affordability

26.3%
rent-to-income
Affordability
24.8%
rent-to-income

Detailed Comparison

When comparing Memphis, TN and Tuscaloosa, AL, the overall cost of living indices are 68 and 73 respectively (national median = 100). Rent is $118/month cheaper in Tuscaloosa, saving renters about $1,416/year.

Median household income is $2,675/year higher in Memphis. Home values also differ significantly — the median in Memphis is $157,100 compared to $236,600 in Tuscaloosa.

Tennessee has no state income tax, giving Memphis residents a significant tax advantage over Alabama's 5.0% rate.

Frequently Asked Questions

Memphis vs Tuscaloosa — common questions

Is Memphis or Tuscaloosa cheaper to live in?
Based on our cost index, Memphis is cheaper to live in with an index of 68 compared to 73 (US average = 100).
What is the rent difference between Memphis and Tuscaloosa?
Median rent in Memphis is $1,123/month and in Tuscaloosa it's $1,005/month — a difference of $118/month.
Which city has higher income, Memphis or Tuscaloosa?
Median household income is $51,211 in Memphis and $48,536 in Tuscaloosa. Median household income is $2,675/year higher in Memphis.
How do taxes compare between Tennessee and Alabama?
Tennessee has 0% income tax, 7.0% sales tax, and 0.64% property tax. Alabama has 5.0% income tax, 4.0% sales tax, and 0.41% property tax.
Should I move to Memphis or Tuscaloosa?
It depends on your priorities. Memphis has a cost index of 68 with median rent of $1,123/mo, while Tuscaloosa has a cost index of 73 with rent of $1,005/mo. Consider income potential, tax burden, and lifestyle preferences alongside raw cost data.
View Memphis details → View Tuscaloosa details →