Philadelphia, PA vs Denver, CO Cost of Living (2026)

Philadelphia has a cost of living index of 107.2, about 7.2% above the national average. The housing index is 108.2, so housing still does a lot to shape the local budget. Typical apartment rent is about $2,147 a month, and median home values are around $524,116. The median household income is approximately $66,000.

A $100,000 salary in an average-cost city buys about $93,300 worth of lifestyle in Philadelphia. The premium is noticeable, but it is not on the same level as New York or San Francisco. Outside housing, utilities and miscellaneous costs also run above the national baseline.

Pennsylvania has a flat state income tax of 3.07%, one of the lower rates in the Northeast. Philadelphia adds a city wage tax of 3.75% for residents and 3.44% for non-residents who work in the city. That combined burden is meaningful: a Philadelphia resident earning $80,000 pays approximately $5,500 in combined city and state income taxes. New Jersey residents who commute into the city pay the non-resident rate, which is still notable.

One specific cost of living observation: Philadelphia's property taxes are relatively low on paper due to the homestead exemption and the city's assessment practices, but the real estate transfer tax on home purchases is among the highest in the country at 4% (combined state and city). Buyers of a $250,000 home pay $10,000 in transfer taxes at closing, which is a real cost that should factor into purchase decisions.

Denver has a cost of living index of 110, about 10% above the national average. The housing index is 120.3, so housing still does a lot to shape the local budget. Typical apartment rent is about $1,836 a month, and median home values are around $661,458. The median household income is approximately $86,000.

A $100,000 salary in an average-cost city buys about $90,900 worth of lifestyle in Denver. The premium is noticeable, but it is not on the same level as New York or San Francisco. Outside housing, healthcare and miscellaneous costs also run above the national baseline.

Colorado has a flat income tax rate of 4.4%, which is moderate. There's no additional city income tax for Denver residents, keeping the tax picture relatively simple. Groceries and transportation costs are close to the national average. The city's climate means lower heating costs than the Midwest but higher cooling costs than the Pacific Northwest.

One specific cost pressure in Denver is the combination of high property values and rising property tax bills. Colorado voters approved property tax relief measures in recent years, but effective rates on new or reassessed properties can still be significant. Renters are also affected indirectly since landlords pass rising property costs through in rent increases. Areas in Denver's eastern suburbs and in cities like Aurora and Lakewood offer somewhat lower rents while still providing access to the metro's job market.