Alabama vs Alaska Cost of Living
Purchasing power
Your $75,000 is worth different amounts in each state
$85,131
in Alabama
$59,195
in Alaska
Each cell = 1% of purchasing power. Green = value, red = gap.
Spending breakdown
Estimated annual spending on a $75,000 salary
What things actually cost
Real dollar costs side by side
Category breakdown
| Category | Alabama | Alaska | Difference |
|---|---|---|---|
| Housing | 71.2 | 123.6 | -42% |
| Groceries | 97.5 | 125.0 | -22% |
| Utilities | 98.0 | 156.5 | -37% |
| Transportation | 90.5 | 120.2 | -25% |
| Healthcare | 91.2 | 139.2 | -34% |
| Dining & Misc | 95.1 | 122.6 | -22% |
| Overall | 88.1 | 126.7 | -30% |
Index values relative to national average (100). Positive difference = more expensive in Alabama.
What things actually cost
| Item | Alabama | Alaska | Difference |
|---|---|---|---|
| Median home price | $220,000 | $340,000 | $120,000 |
| Average 2BR rent | $997/mo | $1,730/mo | $733 |
| Gas price | $3.13/gal | $3.95/gal | $0.82 |
| Electric bill | $105/mo | $196/mo | $91 |
| Infant childcare | $7,871/yr | $20,943/yr | $13,072 |
Salary equivalent: Alabama → Alaska
What a Alabama salary buys you in Alaska, adjusted for cost of living.
| Salary in Alabama | Equivalent in Alaska | Difference |
|---|---|---|
| $50,000 | $71,907 | $-21,907 |
| $75,000 | $107,860 | $-32,860 |
| $100,000 | $143,814 | $-43,814 |
| $150,000 | $215,721 | $-65,721 |
| $200,000 | $287,628 | $-87,628 |
Positive = your money goes further in Alaska. Based on overall COL index ratio.
Based on MERIC/C2ER 2025 composite indices. Dollar amounts from AAA, EIA, Zillow, and Child Care Aware.
Overview
Alaska is 30% more expensive than Alabama overall. Alaska has an index of 126.7 vs 88.1 for Alabama (national average = 100).
FAQ
Is it cheaper to live in Alabama or Alaska?
Alabama is cheaper to live in. Alaska is 30% more expensive overall. The biggest driver is housing — median home prices are $220,000 in Alabama vs $340,000 in Alaska.
Is Alabama cheaper than Alaska?
Yes, Alabama is 30% cheaper than Alaska overall based on the MERIC/C2ER cost-of-living index. Housing, groceries, and utilities all factor into the difference.
Is Alaska more expensive than Alabama?
Yes, Alaska is 30% more expensive than Alabama based on the MERIC/C2ER composite index. Housing is typically the largest factor in the difference.
What salary in Alaska equals $100,000 in Alabama?
To maintain the same purchasing power as a $100,000 salary in Alabama, you would need approximately $143,814 in Alaska. This is based on the overall cost-of-living index (88.1 vs 126.7).
How do housing costs compare between Alabama and Alaska?
Housing is significantly cheaper in Alabama. Median home prices are $220,000 in Alabama vs $340,000 in Alaska — a $120,000 difference. Average 2-bedroom rent is $997/mo vs $1,730/mo.
What costs more in Alabama vs Alaska?
Utilities is 37% lower in Alabama (index 98 vs 156.5). Housing is 42% lower in Alabama (index 71.2 vs 123.6). Healthcare is 34% lower in Alabama (index 91.2 vs 139.2).
Is gas cheaper in Alabama or Alaska?
Gas averages $3.13/gallon in Alabama and $3.95/gallon in Alaska — a $0.82 difference per gallon.
Alabama vs Alaska cost of living — how do they compare?
Alabama has an overall cost-of-living index of 88.1 and Alaska has 126.7 (national average = 100). Alaska is 30% more expensive overall. Use the calculator above to see how this affects your specific salary.
How do taxes compare between Alabama and Alaska?
Cost of living is only part of the picture — state income taxes also affect your take-home pay. Alabama allows a full deduction of federal income taxes paid on state returns, which is unusual among states. Alaska has no state income tax and no state sales tax. It funds government primarily through oil revenue. Use the Alabama vs Alaska paycheck comparison to see how a specific salary compares after federal and state taxes, FICA, and deductions.
Do I need to file state tax returns in Alabama and Alaska?
Alabama requires residents to file a state income tax return annually, typically due April 15. Alaska has no state income tax, so residents do not file a state tax return. If you move between states mid-year, you typically file a part-year resident return in each state for the income earned while living there.
Where does this cost of living data come from?
Cost-of-living indices are from the MERIC/C2ER 2025 Annual Average. Dollar amounts use AAA gas prices (March 2025), EIA electricity rates (2024), Child Care Aware childcare costs (2024), Zillow home values (2024-2025), and BEA Regional Price Parities.
Related tools
- Alabama Cost of Living — Housing, groceries, gas, and more
- Alaska Cost of Living — Housing, groceries, gas, and more
- Alabama vs Alaska Paycheck Comparison — Compare take-home pay after taxes
- House Affordability in Alabama — How much house can you afford?
- House Affordability in Alaska — How much house can you afford?
- Alabama Tax Brackets — See 2026 marginal rates
- Alaska Tax Brackets — See 2026 marginal rates
- Alabama Mortgage Calculator — Estimate monthly payments with local rates
- Alaska Mortgage Calculator — Estimate monthly payments with local rates
- Alabama Bonus Tax Calculator — See how bonuses are taxed differently
- Alaska Bonus Tax Calculator — See how bonuses are taxed differently
- Gross-Up Calculator — Find the salary you need to hit a target take-home
- Salary to Hourly Converter — Convert annual salary to hourly rate
- Compare any two states
Based on MERIC/C2ER 2025 composite indices and publicly available price data. Cost of living varies significantly by metro area within a state. These are statewide averages.