Is it cheaper to live in Allentown or Madison?

Allentown, PA is cheaper. Its monthly baseline of $1,320 (1BR rent + utilities) runs about 6% below Madison, WI's $1,410, mainly because of rent.

How much more do you need to earn to live in Allentown than in Madison?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $44,000 a year in Allentown versus $49,000 in Madison.

Which has lower taxes, Allentown or Madison?

Allentown is taxed under Pennsylvania's rules (a top state income tax rate of 3.07% and a 6% state sales tax); Madison under Wisconsin's (a top state income tax rate of 7.65% and a 5% state sales tax).

Allentown vs Madison Cost of Living 2026

Allentown

Pennsylvania

$1,320/mo est.

Madison

Wisconsin

$1,410/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,320 in Allentown, PA versus $1,410 in Madison, WI. Overall, Allentown, PA is roughly 6% cheaper to live in day-to-day than Madison, WI, driven mainly by rent.

Median household income is $53,403 in Allentown, PA and $76,983 in Madison, WI — about 31% higher in Madison, WI. Pennsylvania has a top state income tax rate of 3.07% and a 6% state sales tax; Wisconsin has a top state income tax rate of 7.65% and a 5% state sales tax.

Allentown, PA

Madison, WI

Rent

Studio

$1,043

$1,018

+2% in Allentown, PA

1 Bedroom

$1,100

$1,219

+11% in Madison, WI

2 Bedroom

$1,271

$1,432

+13% in Madison, WI

3 Bedroom

$1,431

$1,766

+23% in Madison, WI

Buying a Home

Median Home Value

$188,900

$346,900

+84% in Madison, WI

Income

Median Household Income

$53,403

$76,983

+44% in Madison, WI

Metro Median Wage (annual)

$48,990

$58,080

+19% in Madison, WI

People & Lifestyle

Median Age

32.4 yr

31.8 yr

+0.6 yr in Allentown, PA

Homeownership

42.3%

46.6%

+4.3 pp in Madison, WI

Bachelor's+ (25+)

19.4%

59.2%

+39.8 pp in Madison, WI

Avg Commute

24.8 min

19.4 min

+5.4 min in Allentown, PA

Crime (per 100k/yr)

Violent Crime

274.5

259.5

+5% in Allentown, PA

Property Crime

1,591.5

1,884.5

+18% in Madison, WI

FBI Crime Data Explorer. Offenses per 100,000 residents per year; agency reporting practices vary, so this is approximate.

Climate

Avg Annual Temperature

51.2°F

46.5°F

+4.7°F in Allentown, PA

Annual Precipitation

45.4 in

34.5 in

+10.9 in in Allentown, PA

Gas

Regular Gasoline

$3.86/gal

$3.94/gal

+2% in Madison, WI

Area: East Coast (PADD 1) vs Midwest (PADD 2).

Utilities

Electricity (¢/kWh)

21.6

19.7

+8% in Allentown, PA

Natural Gas ($/MCF)

$19.17

$11.79

+38% in Allentown, PA

Residential, state-level averages (EIA). MCF = 1,000 cubic feet.

Groceries

Milk (gal)

$4.31

about equal

Bread (lb)

$1.92

$1.66

+14% in Allentown, PA

Eggs (doz)

$2.19

$3.63

+66% in Madison, WI

Ground Beef (lb)

$6.90

$6.77

+2% in Allentown, PA

Chicken (lb)

$2.19

$2.10

+4% in Allentown, PA

Bananas (lb)

$0.69

$0.62

+11% in Allentown, PA

Average prices — Northeast vs Midwest (BLS). Regional where available, otherwise U.S. average.

State Taxes

Sales Tax (PA / WI)

+1.0 pp in PA

Income Tax (top rate)

3.07%

7.65%

+4.6 pp in WI

Allentown vs Madison — FAQ

Is it cheaper to live in Allentown or Madison?: Allentown, PA is cheaper. Its monthly baseline of $1,320 (1BR rent + utilities) runs about 6% below Madison, WI's $1,410, mainly because of rent.
How much more do you need to earn to live in Allentown than in Madison?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $44,000 a year in Allentown versus $49,000 in Madison.
Which has lower taxes, Allentown or Madison?: Allentown is taxed under Pennsylvania's rules (a top state income tax rate of 3.07% and a 6% state sales tax); Madison under Wisconsin's (a top state income tax rate of 7.65% and a 5% state sales tax).

Sources: US Census Bureau, ACS 5-Year (rent, income, home value, demographics); NOAA Climate Normals 1981–2010 (climate); EIA weekly retail (gas); Tax Foundation 2026 (state taxes).