Cost of Living: Montgomery, AL vs Richardson, TX (2026)

Montgomery

Alabama
64
VS

Richardson

Texas
128

Montgomery is 50% cheaper than Richardson.

$1,059/mo ↓ 42%
Median Rent
$1,825/mo ↑ 72%
$55,687/yr ↓ 42%
Median Income
$96,257/yr ↑ 73%
$148,500 ↓ 63%
Home Value
$405,600 ↑ 173%
$1,023/mo ↓ 43%
Owner Costs
$1,796/mo ↑ 76%
198,440
Population
118,269

Tax Comparison

5.0%
Income Tax
0%
4.0%
State Sales Tax
6.25%
0.41%
Property Tax
1.6%

Affordability

22.8%
rent-to-income
Affordability
22.8%
rent-to-income

Detailed Comparison

When comparing Montgomery, AL and Richardson, TX, the overall cost of living indices are 64 and 128 respectively (national median = 100). Rent is $766/month cheaper in Montgomery, saving renters about $9,192/year.

Median household income is $40,570/year higher in Richardson. Home values also differ significantly — the median in Montgomery is $148,500 compared to $405,600 in Richardson.

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

Frequently Asked Questions

Montgomery vs Richardson — common questions

Is Montgomery or Richardson cheaper to live in?
Based on our cost index, Montgomery is cheaper to live in with an index of 64 compared to 128 (US average = 100).
What is the rent difference between Montgomery and Richardson?
Median rent in Montgomery is $1,059/month and in Richardson it's $1,825/month — a difference of $766/month.
Which city has higher income, Montgomery or Richardson?
Median household income is $55,687 in Montgomery and $96,257 in Richardson. Median household income is $40,570/year higher in Richardson.
How do taxes compare between Alabama and Texas?
Alabama has 5.0% income tax, 4.0% sales tax, and 0.41% property tax. Texas has 0% income tax, 6.25% sales tax, and 1.6% property tax.
Should I move to Montgomery or Richardson?
It depends on your priorities. Montgomery has a cost index of 64 with median rent of $1,059/mo, while Richardson has a cost index of 128 with rent of $1,825/mo. Consider income potential, tax burden, and lifestyle preferences alongside raw cost data.
View Montgomery details → View Richardson details →

More Comparisons

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