Is it cheaper to live in Billings or Little Rock?

Billings, MT is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 5% below Little Rock, AR's $1,080, mainly because of natural gas costs.

How much more do you need to earn to live in Billings than in Little Rock?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Billings versus $36,000 in Little Rock.

Which has lower taxes, Billings or Little Rock?

Billings is taxed under Montana's rules (a top state income tax rate of 5.65% and no state sales tax); Little Rock under Arkansas's (a top state income tax rate of 3.90% and a 6.5% state sales tax).

Billings vs Little Rock Cost of Living 2026

Billings

Montana

$1,030/mo est.

Little Rock

Arkansas

$1,080/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,030 in Billings, MT versus $1,080 in Little Rock, AR. Overall, Billings, MT is roughly 5% cheaper to live in day-to-day than Little Rock, AR, driven mainly by natural gas costs.

Median household income is $71,855 in Billings, MT and $60,583 in Little Rock, AR — about 16% higher in Billings, MT. Montana has a top state income tax rate of 5.65% and no state sales tax; Arkansas has a top state income tax rate of 3.90% and a 6.5% state sales tax.

Billings, MT

Little Rock, AR

Rent

Studio

$877

$981

+12% in Little Rock, AR

1 Bedroom

$889

$904

+2% in Little Rock, AR

2 Bedroom

$1,102

$1,064

+3% in Billings, MT

3 Bedroom

$1,398

$1,292

+8% in Billings, MT

Buying a Home

Median Home Value

$311,800

$221,200

+29% in Billings, MT

Income

Median Household Income

$71,855

$60,583

+16% in Billings, MT

Metro Median Wage (annual)

$49,060

$45,790

+7% in Billings, MT

People & Lifestyle

Median Age

38.1 yr

36.4 yr

+1.7 yr in Billings, MT

Homeownership

64.8%

54.2%

+10.6 pp in Billings, MT

Bachelor's+ (25+)

37.0%

44.0%

+7.0 pp in Little Rock, AR

Avg Commute

16.7 min

18.3 min

+1.6 min in Little Rock, AR

Crime (per 100k/yr)

Violent Crime

750.2

1,673

+123% in Little Rock, AR

Property Crime

3,123.5

5,251.5

+68% in Little Rock, AR

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

Climate

Avg Annual Temperature

48.2°F

62.7°F

+14.5°F in Little Rock, AR

Annual Precipitation

13.7 in

49.8 in

+36.1 in in Little Rock, AR

Gas

Regular Gasoline

$4.29/gal

$3.62/gal

+15% in Billings, MT

Area: Rocky Mountain (PADD 4) vs Gulf Coast (PADD 3).

Utilities

Electricity (¢/kWh)

14.7

14.4

+2% in Billings, MT

Natural Gas ($/MCF)

$8.77

$25.93

+196% in Little Rock, AR

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

Groceries

Milk (gal)

$4.82

$4.00

+17% in Billings, MT

Bread (lb)

$2.04

$1.75

+14% in Billings, MT

Eggs (doz)

$2.19

$2.21

+1% in Little Rock, AR

Ground Beef (lb)

$7.36

$6.45

+12% in Billings, MT

Chicken (lb)

$2.01

$1.90

+6% in Billings, MT

Bananas (lb)

$0.70

$0.62

+12% in Billings, MT

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

State Taxes

Sales Tax (MT / AR)

None

6.5%

+6.5 pp in AR

Income Tax (top rate)

5.65%

3.90%

+1.8 pp in MT

Billings vs Little Rock — FAQ

Is it cheaper to live in Billings or Little Rock?: Billings, MT is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 5% below Little Rock, AR's $1,080, mainly because of natural gas costs.
How much more do you need to earn to live in Billings than in Little Rock?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Billings versus $36,000 in Little Rock.
Which has lower taxes, Billings or Little Rock?: Billings is taxed under Montana's rules (a top state income tax rate of 5.65% and no state sales tax); Little Rock under Arkansas's (a top state income tax rate of 3.90% and a 6.5% 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).