Is it cheaper to live in Paterson or Salem?

Salem, OR is cheaper. Its monthly baseline of $1,170 (1BR rent + utilities) runs about 18% below Paterson, NJ's $1,430, mainly because of rent.

How much more do you need to earn to live in Paterson than in Salem?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $47,000 a year in Paterson versus $40,000 in Salem.

Which has lower taxes, Paterson or Salem?

Paterson is taxed under New Jersey's rules (a top state income tax rate of 10.75% and a 6.625% state sales tax); Salem under Oregon's (a top state income tax rate of 9.90% and no state sales tax).

Paterson vs Salem Cost of Living 2026

Paterson

New Jersey

$1,430/mo est.

Salem

Oregon

$1,170/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,430 in Paterson, NJ versus $1,170 in Salem, OR. Overall, Salem, OR is roughly 18% cheaper to live in day-to-day than Paterson, NJ, driven mainly by rent.

Median household income is $53,766 in Paterson, NJ and $71,900 in Salem, OR — about 25% higher in Salem, OR. New Jersey has a top state income tax rate of 10.75% and a 6.625% state sales tax; Oregon has a top state income tax rate of 9.90% and no state sales tax.

Paterson, NJ

Salem, OR

Rent

Studio

$786

$1,075

+37% in Salem, OR

1 Bedroom

$1,183

$989

+16% in Paterson, NJ

2 Bedroom

$1,468

$1,337

+9% in Paterson, NJ

3 Bedroom

$1,729

$1,778

+3% in Salem, OR

Buying a Home

Median Home Value

$335,400

$382,400

+14% in Salem, OR

Income

Median Household Income

$53,766

$71,900

+34% in Salem, OR

Metro Median Wage (annual)

$61,430

$55,310

+10% in Paterson, NJ

People & Lifestyle

Median Age

33.3 yr

35.7 yr

+2.4 yr in Salem, OR

Homeownership

26.2%

55.7%

+29.5 pp in Salem, OR

Bachelor's+ (25+)

12.5%

31.4%

+18.9 pp in Salem, OR

Avg Commute

23.1 min

22.4 min

+0.7 min in Paterson, NJ

Crime (per 100k/yr)

Violent Crime

1,010.1

540.6

+46% in Paterson, NJ

Property Crime

2,391.4

2,878.6

+20% in Salem, OR

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

Climate

Avg Annual Temperature

52.2°F

53.0°F

+0.8°F in Salem, OR

Annual Precipitation

49.0 in

39.7 in

+9.4 in in Paterson, NJ

Gas

Regular Gasoline

$3.94/gal

$5.21/gal

+32% in Salem, OR

Area: East Coast (PADD 1) vs West Coast (PADD 5).

Utilities

Electricity (¢/kWh)

24.9

16.3

+35% in Paterson, NJ

Natural Gas ($/MCF)

$17.68

$21.60

+22% in Salem, OR

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

Groceries

Milk (gal)

$4.31

$4.82

+12% in Salem, OR

Bread (lb)

$1.92

$2.04

+6% in Salem, OR

Eggs (doz)

$2.19

about equal

Ground Beef (lb)

$6.90

$7.36

+7% in Salem, OR

Chicken (lb)

$2.19

$2.01

+8% in Paterson, NJ

Bananas (lb)

$0.69

$0.70

about equal

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

State Taxes

Sales Tax (NJ / OR)

6.625%

None

+6.6 pp in NJ

Income Tax (top rate)

10.75%

9.90%

+0.8 pp in NJ

Paterson vs Salem — FAQ

Is it cheaper to live in Paterson or Salem?: Salem, OR is cheaper. Its monthly baseline of $1,170 (1BR rent + utilities) runs about 18% below Paterson, NJ's $1,430, mainly because of rent.
How much more do you need to earn to live in Paterson than in Salem?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $47,000 a year in Paterson versus $40,000 in Salem.
Which has lower taxes, Paterson or Salem?: Paterson is taxed under New Jersey's rules (a top state income tax rate of 10.75% and a 6.625% state sales tax); Salem under Oregon's (a top state income tax rate of 9.90% 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).