Living Cost Compare
Birmingham

Alabama

$1,190/mo est.

vs
Newark

New Jersey

$1,210/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,190 in Birmingham, AL versus $1,210 in Newark, NJ. Overall, Birmingham, AL is roughly 2% cheaper to live in day-to-day than Newark, NJ, driven mainly by electricity costs.

Median household income is $44,376 in Birmingham, AL and $48,416 in Newark, NJ — about 8% higher in Newark, NJ. Alabama has a top state income tax rate of 5.00% and a 4% state sales tax; New Jersey has a top state income tax rate of 10.75% and a 6.625% state sales tax.

Rent

Studio
$857
$1,111
+30% in Newark, NJ
1 Bedroom
$1,004
$978
+3% in Birmingham, AL
2 Bedroom
$1,005
$1,386
+38% in Newark, NJ
3 Bedroom
$1,188
$1,695
+43% in Newark, NJ

Buying a Home

Median Home Value
$138,600
$337,800
+144% in Newark, NJ

Income

Median Household Income
$44,376
$48,416
+9% in Newark, NJ
Metro Median Wage (annual)
$47,770
$61,430
+29% in Newark, NJ

People & Lifestyle

Median Age
35.9 yr
34.8 yr
+1.1 yr in Birmingham, AL
Homeownership
45.1%
24.1%
+21.0 pp in Birmingham, AL
Bachelor's+ (25+)
30.7%
17.4%
+13.3 pp in Birmingham, AL
Avg Commute
21.5 min
33.2 min
+11.7 min in Newark, NJ

Crime (per 100k/yr)

Violent Crime
1,274.7
582.5
+54% in Birmingham, AL
Property Crime
4,233
1,961.8
+54% in Birmingham, AL

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

Climate

Avg Annual Temperature
63.3°F
54.9°F
+8.4°F in Birmingham, AL
Annual Precipitation
53.7 in
46.3 in
+7.5 in in Birmingham, AL

Gas

Regular Gasoline
$3.62/gal
$3.86/gal
+7% in Newark, NJ

Area: Gulf Coast (PADD 3) vs East Coast (PADD 1).

Utilities

Electricity (¢/kWh)
16.8
23.3
+39% in Newark, NJ
Natural Gas ($/MCF)
$22.64
$15.93
+30% in Birmingham, AL

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

Groceries

Milk (gal)
$4.00
$4.31
+8% in Newark, NJ
Bread (lb)
$1.75
$1.92
+10% in Newark, NJ
Eggs (doz)
$2.21
$2.19
+1% in Birmingham, AL
Ground Beef (lb)
$6.45
$6.90
+7% in Newark, NJ
Chicken (lb)
$1.90
$2.19
+15% in Newark, NJ
Bananas (lb)
$0.62
$0.69
+12% in Newark, NJ

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

State Taxes

Sales Tax (AL / NJ)
4%
6.625%
+2.6 pp in NJ
Income Tax (top rate)
5.00%
10.75%
+5.8 pp in NJ

Birmingham vs Newark — FAQ

Is it cheaper to live in Birmingham or Newark?
Birmingham, AL is cheaper. Its monthly baseline of $1,190 (1BR rent + utilities) runs about 2% below Newark, NJ's $1,210, mainly because of electricity costs.
How much more do you need to earn to live in Birmingham than in Newark?
To keep rent near the recommended 30% of gross income, you'd want to earn roughly $40,000 a year in Birmingham versus $39,000 in Newark.
Which has lower taxes, Birmingham or Newark?
Birmingham is taxed under Alabama's rules (a top state income tax rate of 5.00% and a 4% state sales tax); Newark under New Jersey's (a top state income tax rate of 10.75% and a 6.625% 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).