Cost of Living: Austin vs Salem (2026)

Salem has a 26% lower overall cost of living than Austin as of Q1 2026. A one-bedroom apartment runs $1,450/mo in Salem vs $1,800/mo in Austin โ€” a 24% difference. Austin has no state income tax, giving residents more take-home pay than those in Salem (9.9% rate).

  • Salem is 26% cheaper overall (COL index: 122 vs 97)
  • 1BR rent: $1,450/mo in Salem vs $1,800/mo โ€” 19% savings
  • Austin has 0% state income tax โ€” saves ~$3,300+/yr at a $75K salary
  • Higher median household income: Austin ($72,000/yr vs $57,000/yr)
  • Median home price: $380,000 in Salem vs $480,000 โ€” 21% difference
Category
Austin
Texas
Salem
Oregon
๐Ÿ  HousingQ1 2026
Studio rent/mo$1,500$1,150Best
1BR rent/mo$1,800$1,450Best
2BR rent/mo$2,400$1,950Best
Median home price$480K$380KBest
๐Ÿ›’ Food & GroceriesQ1 2026
Groceries index (100 = US avg)98Best100
Budget meal (1 person)$14Best$14
Mid-range dinner (2)$60$56Best
๐ŸšŒ TransportationQ1 2026
Monthly transit pass/mo$50Best$72
Gas price/gal$3.10Best$3.80
Car insurance/mo$175$145Best
โšก UtilitiesQ1 2026
Monthly utilities bundle/mo$170$125Best
Internet/mo$65$63Best
๐Ÿ’ฐ Income & TaxesQ1 2026
Median household income/yr$72KBest$57K
State income tax%0.0%Best9.9%
Sales tax (combined)%8.3%0.0%Best
๐ŸŽฌ LeisureQ1 2026
Movie ticket$15.00$14.00Best
Gym membership/mo$40Best$40
Beer at restaurant$7.00$6.00Best
๐Ÿ“Š OverviewQ1 2026
Overall COL index (100 = US avg)12297Best
Walk score / 10042Best42

Frequently asked questions

Is Austin cheaper than Salem?

No. Salem is 26% cheaper than Austin based on overall cost of living indices (97 vs 122, where 100 = US average).

What is the average rent in Austin vs Salem?

As of Q1 2026, the median 1-bedroom rent in Austin is $1,800/month and in Salem is $1,450/month. Austin is more expensive by 24%.

How much do I need to earn in Salem to match a $75,000 salary in Austin?

To maintain a similar lifestyle, you would need approximately $59,631/year in Salem to match a $75,000 salary in Austin. This estimate is based on overall cost of living indices and does not account for individual spending patterns.

Which city has lower taxes โ€” Austin or Salem?

Austin has the lower state income tax rate at 0% vs 9.9%. Austin has no state income tax at all, which can save thousands of dollars per year depending on your income. Note that sales tax and local taxes also vary โ€” see the full breakdown in the table above.

Is it worth moving from Austin to Salem?

It depends on your priorities. Salem offers lower overall costs and tax advantages, but both cities have different job markets, weather, and lifestyle trade-offs. Use the comparison table above to evaluate rent, groceries, transportation, and income potential side by side based on your specific budget.

Data sourced from Zillow, BLS, Numbeo, Tax Foundation, and US Census ACS ยท Updated Q1 2026 ยท For general guidance only

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