City comparison
Birmingham, AL vs Indianapolis, IN
What a paycheck is really worth in each city: prices, rent and state taxes.
Key findings
- Prices in Indianapolis, IN are 4.4% higher than in Birmingham, AL. Someone earning $100,000 in Birmingham, AL would need about $104,400 in Indianapolis, IN to live the same way.
- Rent is the bigger story: a typical 1-bedroom costs $1,267 a month in Indianapolis, IN versus $1,155 in Birmingham, AL. On $100,000, that's 20% of take-home pay in Indianapolis, IN and 19% in Birmingham, AL.
- On $100,000, estimated state income tax is about $1,815 a year higher in Birmingham, AL than in Indianapolis, IN.
- For federal employees, locality pay changes a GS-13 step 1 salary by −0.1% moving from Birmingham, AL to Indianapolis, IN ($107,510 → $107,428), while prices change by +4.4%. Net effect of the transfer: −4.3% in real buying power.
- Birmingham, AL: price level 91.6 (much cheaper)
- Indianapolis, IN: price level 95.7 (cheaper)
Map drawn from Census Bureau state boundaries and metro locations9,10; dot colours show BEA price levels2.
Side by side
| Birmingham, AL | Indianapolis, IN | |
|---|---|---|
| Price level (U.S. = 100)2 | 91.6 | 95.7 |
| $100,000 is worth, in the other city2 | $104,421 in Indianapolis | $95,766 in Birmingham |
| Typical 1-bedroom rent3 | $1,155/mo | $1,267/mo |
| Take-home on $100,00014,15,8 | $74,445 | $76,260 |
| State income tax on $100,000 (estimate)8 | $4,735 (AL) | $2,921 (IN) |
| Rent burden on $100,000 | 19% | 20% |
| Median pay, all jobs4 | $47,770 | $49,340 |
| Federal locality pay area7 | Birmingham-Hoover-Talladega, AL | Indianapolis-Carmel-Muncie, IN |
Rent areas: Birmingham-Hoover, AL HUD Metro FMR Area and Indianapolis-Carmel, IN HUD Metro FMR Area. Metro areas: Birmingham, AL and Indianapolis-Carmel-Greenwood, IN.
What costs more or less
| Price level (U.S. = 100) | Birmingham | Indianapolis |
|---|---|---|
| Housing (rent) | 71.9 | 88.9 |
| Goods | 96.4 | 94.3 |
| Utilities | 83.8 | 86.4 |
| Other services | 96.7 | 99.1 |
| Overall | 91.6 | 95.7 |
Moving with the same $100,000 salary
Birmingham, AL → Indianapolis, IN
Same pay buys less
Buying power −4.2%; rent takes 20% of take-home; state tax −$1,815/yr.
56 Fair offer
Indianapolis, IN → Birmingham, AL
Same pay goes further
Buying power +4.4%; rent takes 19% of take-home; state tax +$1,815/yr.
83 Strong offer
On the GS pay scale?
Birmingham, AL is in the Birmingham-Hoover-Talladega, AL pay area; Indianapolis, IN is in Indianapolis-Carmel-Muncie, IN. The last column shows what a transfer from Birmingham, AL to Indianapolis, IN at the same grade and step does to real buying power.
| Grade5,2 | Birmingham, AL | Indianapolis, IN | Real change, Birmingham → Indianapolis |
|---|---|---|---|
| GS-9 step 1 | $62,344 | $62,297 | −4.3% |
| GS-11 step 1 | $75,431 | $75,374 | −4.3% |
| GS-12 step 1 | $90,410 | $90,341 | −4.3% |
| GS-13 step 1 | $107,510 | $107,428 | −4.3% |
| GS-14 step 1 | $127,044 | $126,947 | −4.3% |
Pay for common jobs
| Median annual pay4 | Birmingham, AL | Indianapolis, IN | Indianapolis pay in Birmingham dollars |
|---|---|---|---|
| Elementary School Teachers, Except Special Education | $62,630 | $60,510 | $57,948 (−7.5%) |
| Software Developers | $125,410 | $106,870 | $102,345 (−18.4%) |
| Accountants and Auditors | $78,660 | $79,290 | $75,933 (−3.5%) |
| Registered Nurses | $78,680 | $84,230 | $80,663 (+2.5%) |
"Not published" means BLS doesn't release an estimate for that job in that metro.