Living Cost Compare
Anchorage

Alaska

$1,320/mo est.

vs
Billings

Montana

$1,030/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,320 in Anchorage, AK versus $1,030 in Billings, MT. Overall, Billings, MT is roughly 22% cheaper to live in day-to-day than Anchorage, AK, driven mainly by rent.

Median household income is $98,152 in Anchorage, AK and $71,855 in Billings, MT — about 27% higher in Anchorage, AK. Alaska has no state income tax and no state sales tax; Montana has a top state income tax rate of 5.65% and no state sales tax.

Anchorage, AK
Billings, MT

Rent

Studio
$1,001
$877
+12% in Anchorage, AK
1 Bedroom
$1,052
$889
+15% in Anchorage, AK
2 Bedroom
$1,433
$1,102
+23% in Anchorage, AK
3 Bedroom
$1,952
$1,398
+28% in Anchorage, AK

Buying a Home

Median Home Value
$375,900
$311,800
+17% in Anchorage, AK

Income

Median Household Income
$98,152
$71,855
+27% in Anchorage, AK
Metro Median Wage (annual)
$60,200
$49,060
+19% in Anchorage, AK

People & Lifestyle

Median Age
34.9 yr
38.1 yr
+3.2 yr in Billings, MT
Homeownership
63.7%
64.8%
+1.1 pp in Billings, MT
Bachelor's+ (25+)
37.7%
37.0%
+0.7 pp in Anchorage, AK
Avg Commute
19.0 min
16.7 min
+2.3 min in Anchorage, AK

Crime (per 100k/yr)

Violent Crime
1,016.5
750.2
+26% in Anchorage, AK
Property Crime
2,796.2
3,123.5
+12% in Billings, MT

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

Climate

Avg Annual Temperature
37.4°F
48.2°F
+10.8°F in Billings, MT
Annual Precipitation
17.9 in
13.7 in
+4.3 in in Anchorage, AK

Gas

Regular Gasoline
$5.09/gal
$4.29/gal
+16% in Anchorage, AK

Area: West Coast (PADD 5) vs Rocky Mountain (PADD 4).

Utilities

Electricity (¢/kWh)
28.2
14.7
+48% in Anchorage, AK
Natural Gas ($/MCF)
$14.40
$8.77
+39% in Anchorage, AK

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

Groceries

Milk (gal)
$4.82
$4.82
about equal
Bread (lb)
$2.04
$2.04
about equal
Eggs (doz)
$2.19
$2.19
about equal
Ground Beef (lb)
$7.36
$7.36
about equal
Chicken (lb)
$2.01
$2.01
about equal
Bananas (lb)
$0.70
$0.70
about equal

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

State Taxes

Sales Tax (AK / MT)
None
None
about equal
Income Tax (top rate)
None
5.65%
+5.7 pp in MT

Anchorage vs Billings — FAQ

Is it cheaper to live in Anchorage or Billings?
Billings, MT is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 22% below Anchorage, AK's $1,320, mainly because of rent.
How much more do you need to earn to live in Anchorage than in Billings?
To keep rent near the recommended 30% of gross income, you'd want to earn roughly $42,000 a year in Anchorage versus $36,000 in Billings.
Which has lower taxes, Anchorage or Billings?
Anchorage is taxed under Alaska's rules (no state income tax and no state sales tax); Billings under Montana's (a top state income tax rate of 5.65% and no 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).