Is it cheaper to live in Hilo or Montgomery?

Montgomery, AL is cheaper. Its monthly baseline of $1,020 (1BR rent + utilities) runs about 34% below Hilo, HI's $1,550, mainly because of electricity costs.

How much more do you need to earn to live in Hilo than in Montgomery?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $39,000 a year in Hilo versus $33,000 in Montgomery.

Which has lower taxes, Hilo or Montgomery?

Hilo is taxed under Hawaii's rules (a top state income tax rate of 11.00% and a 4% state sales tax); Montgomery under Alabama's (a top state income tax rate of 5.00% and a 4% state sales tax).

Hilo vs Montgomery Cost of Living 2026

Hilo

Hawaii

$1,550/mo est.

Montgomery

Alabama

$1,020/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,550 in Hilo, HI versus $1,020 in Montgomery, AL. Overall, Montgomery, AL is roughly 34% cheaper to live in day-to-day than Hilo, HI, driven mainly by electricity costs.

Median household income is $78,713 in Hilo, HI and $55,687 in Montgomery, AL — about 29% higher in Hilo, HI. Hawaii has a top state income tax rate of 11.00% and a 4% state sales tax; Alabama has a top state income tax rate of 5.00% and a 4% state sales tax.

Hilo, HI

Montgomery, AL

Rent

Studio

$1,180

$864

+27% in Hilo, HI

1 Bedroom

$964

$831

+14% in Hilo, HI

2 Bedroom

$1,283

$982

+23% in Hilo, HI

3 Bedroom

$1,587

$1,172

+26% in Hilo, HI

Buying a Home

Median Home Value

$455,100

$148,500

+67% in Hilo, HI

Income

Median Household Income

$78,713

$55,687

+29% in Hilo, HI

Metro Median Wage (annual)

$51,820

$44,950

+13% in Hilo, HI

People & Lifestyle

Median Age

42.6 yr

36.2 yr

+6.4 yr in Hilo, HI

Homeownership

65.5%

54.3%

+11.2 pp in Hilo, HI

Bachelor's+ (25+)

34.0%

33.5%

+0.5 pp in Hilo, HI

Avg Commute

20.1 min

20.5 min

+0.4 min in Montgomery, AL

Crime (per 100k/yr)

Violent Crime

245.4

605.5

+147% in Montgomery, AL

Property Crime

2,043.9

2,258.3

+10% in Montgomery, AL

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

Climate

Avg Annual Temperature

73.9°F

65.1°F

+8.8°F in Hilo, HI

Annual Precipitation

126.7 in

53.1 in

+73.7 in in Hilo, HI

Gas

Regular Gasoline

$5.21/gal

$3.62/gal

+31% in Hilo, HI

Area: West Coast (PADD 5) vs Gulf Coast (PADD 3).

Utilities

Electricity (¢/kWh)

52.7

16.4

+69% in Hilo, HI

Natural Gas ($/MCF)

$66.84

$24.06

+64% in Hilo, HI

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

Groceries

Milk (gal)

$4.82

$4.00

+17% in Hilo, HI

Bread (lb)

$2.04

$1.75

+14% in Hilo, HI

Eggs (doz)

$2.19

$2.21

+1% in Montgomery, AL

Ground Beef (lb)

$7.36

$6.45

+12% in Hilo, HI

Chicken (lb)

$2.01

$1.90

+6% in Hilo, HI

Bananas (lb)

$0.70

$0.62

+12% in Hilo, HI

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

State Taxes

Sales Tax (HI / AL)

about equal

Income Tax (top rate)

11.00%

5.00%

+6.0 pp in HI

Hilo vs Montgomery — FAQ

Is it cheaper to live in Hilo or Montgomery?: Montgomery, AL is cheaper. Its monthly baseline of $1,020 (1BR rent + utilities) runs about 34% below Hilo, HI's $1,550, mainly because of electricity costs.
How much more do you need to earn to live in Hilo than in Montgomery?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $39,000 a year in Hilo versus $33,000 in Montgomery.
Which has lower taxes, Hilo or Montgomery?: Hilo is taxed under Hawaii's rules (a top state income tax rate of 11.00% and a 4% state sales tax); Montgomery under Alabama's (a top state income tax rate of 5.00% and a 4% 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).