Is it cheaper to live in Montgomery or Reno?

Montgomery, AL is cheaper. Its monthly baseline of $1,020 (1BR rent + utilities) runs about 24% below Reno, NV's $1,350, mainly because of rent.

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

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $33,000 a year in Montgomery versus $48,000 in Reno.

Which has lower taxes, Montgomery or Reno?

Montgomery is taxed under Alabama's rules (a top state income tax rate of 5.00% and a 4% state sales tax); Reno under Nevada's (no state income tax and a 6.85% state sales tax).

Montgomery vs Reno Cost of Living 2026

Montgomery

Alabama

$1,020/mo est.

Reno

Nevada

$1,350/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,020 in Montgomery, AL versus $1,350 in Reno, NV. Overall, Montgomery, AL is roughly 24% cheaper to live in day-to-day than Reno, NV, driven mainly by rent.

Median household income is $55,687 in Montgomery, AL and $78,448 in Reno, NV — about 29% higher in Reno, NV. Alabama has a top state income tax rate of 5.00% and a 4% state sales tax; Nevada has no state income tax and a 6.85% state sales tax.

Montgomery, AL

Reno, NV

Rent

Studio

$864

$964

+12% in Reno, NV

1 Bedroom

$831

$1,206

+45% in Reno, NV

2 Bedroom

$982

$1,518

+55% in Reno, NV

3 Bedroom

$1,172

$1,885

+61% in Reno, NV

Buying a Home

Median Home Value

$148,500

$498,600

+236% in Reno, NV

Income

Median Household Income

$55,687

$78,448

+41% in Reno, NV

Metro Median Wage (annual)

$44,950

$49,660

+10% in Reno, NV

People & Lifestyle

Median Age

36.2 yr

37.3 yr

+1.1 yr in Reno, NV

Homeownership

54.3%

49.4%

+4.9 pp in Montgomery, AL

Bachelor's+ (25+)

33.5%

35.7%

+2.2 pp in Reno, NV

Avg Commute

20.5 min

20.6 min

+0.1 min in Reno, NV

Crime (per 100k/yr)

Violent Crime

605.5

528.9

+13% in Montgomery, AL

Property Crime

2,258.3

2,489.3

+10% in Reno, NV

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

Climate

Avg Annual Temperature

65.1°F

53.8°F

+11.3°F in Montgomery, AL

Annual Precipitation

53.1 in

7.4 in

+45.7 in in Montgomery, AL

Gas

Regular Gasoline

$3.62/gal

$5.21/gal

+44% in Reno, NV

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

Utilities

Electricity (¢/kWh)

16.4

13.1

+20% in Montgomery, AL

Natural Gas ($/MCF)

$24.06

$13.83

+43% in Montgomery, AL

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

Groceries

Milk (gal)

$4.00

$4.82

+20% in Reno, NV

Bread (lb)

$1.75

$2.04

+17% in Reno, NV

Eggs (doz)

$2.21

$2.19

+1% in Montgomery, AL

Ground Beef (lb)

$6.45

$7.36

+14% in Reno, NV

Chicken (lb)

$1.90

$2.01

+6% in Reno, NV

Bananas (lb)

$0.62

$0.70

+14% in Reno, NV

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

State Taxes

Sales Tax (AL / NV)

6.85%

+2.8 pp in NV

Income Tax (top rate)

5.00%

None

+5.0 pp in AL

Montgomery vs Reno — FAQ

Is it cheaper to live in Montgomery or Reno?: Montgomery, AL is cheaper. Its monthly baseline of $1,020 (1BR rent + utilities) runs about 24% below Reno, NV's $1,350, mainly because of rent.
How much more do you need to earn to live in Montgomery than in Reno?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $33,000 a year in Montgomery versus $48,000 in Reno.
Which has lower taxes, Montgomery or Reno?: Montgomery is taxed under Alabama's rules (a top state income tax rate of 5.00% and a 4% state sales tax); Reno under Nevada's (no state income tax and a 6.85% 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).