St. Louis, MO vs Birmingham, AL Cost of Living (2026)

St. Louis has a cost of living index of 89.4, about 10.6% below the national average. Housing runs below the national baseline, with a housing index of 78.8. Typical apartment rent is about $1,216 a month, and median home values are around $424,572. The median household income is approximately $54,000. The metro area's established suburbs carry higher values, but still significantly below coastal comparable markets. The city has faced economic challenges related to population decline and a shrinking tax base.

A $100,000 salary in an average-cost city stretches to about $111,900 in St. Louis. That extra room can make it easier to save, pay down debt, or stretch for a better housing setup. Several everyday categories, especially utilities and miscellaneous costs, stay below the national baseline.

Missouri has a progressive income tax that tops out at 4.95%. St. Louis city collects its own earnings tax of 1% on residents and non-residents who work within the city limits. Residents of St. Louis County, which is a separate jurisdiction from the city, do not pay the city earnings tax. That distinction matters: some workers choose to live in the county specifically to avoid the city tax while still commuting in for work. Property taxes vary across the metro, with St. Louis City having higher effective rates than most surrounding counties.

St. Louis is one of the more affordable places in the country to eat at restaurants. A meal at a mid-range restaurant often costs 20 to 30% less than equivalent dining in major coastal cities. Grocery costs also run below the national average. The city is primarily car-dependent, but traffic is manageable even during peak hours by large-metro standards. The MetroLink light rail system runs from the airport through downtown to Clayton, covering a useful corridor for some commuters.

Birmingham has a cost of living index of 90.3, about 9.7% below the national average. Housing runs below the national baseline, with a housing index of 76.1. Typical apartment rent is about $1,126 a month, and median home values are around $417,139. The median household income is approximately $56,000. Birmingham has a significant healthcare sector, with the University of Alabama at Birmingham and its affiliated hospital system being among the largest employers in the region, providing wages at the higher end of the local scale for medical professionals.

A $100,000 salary in an average-cost city stretches to about $110,700 in Birmingham. That extra room can make it easier to save, pay down debt, or stretch for a better housing setup. Most everyday categories stay manageable here, although utilities still run a bit high.

Alabama has a progressive income tax that tops out at 5%. Birmingham charges an occupational tax of 1% on income earned within the city. Jefferson County previously had a county occupational tax, but that was repealed. The combined state and city burden is moderate. Sales tax in Jefferson County runs around 10%, including city and county levies, which is on the higher end nationally.

Birmingham's cost structure reflects both its genuine affordability and the underlying economic factors that produce it. Average wages in the region are below national norms, and high-wage employment is concentrated in healthcare, law, and a smaller technology sector. Workers who secure jobs paying national salaries, or who work remotely for coastal employers, occupy a financially favorable position. The metro has seen investment in its Midtown and Lakeview neighborhoods, with restaurant and retail activity growing, though at prices that remain significantly below comparable urban neighborhoods in more expensive cities.