Can I Afford to Live in Birmingham vs Waco on $120K?
Here's how a $120K/year salary plays out in both cities after taxes, rent, and core living expenses — based on Q1 2026 data.
Monthly budget breakdown
| Expense | Birmingham AL | Waco TX |
|---|---|---|
| Monthly take-home (est.) | $6,655 | $7,155 |
| 1BR rent | $1,200 | $1,000 |
| Groceries (est.) | $357 | $350 |
| Transport (est.) | $40 | $38 |
| Utilities | $175 | $172 |
| Internet | $58 | $60 |
| Left after essentials | $4,825/month | $5,535/month |
Frequently asked questions
Is $120K a good salary in Birmingham?
At $120K/year in Birmingham, your estimated monthly take-home is $6,655. With 1BR rent around $1,200/month, rent takes up 18% of your take-home. That's considered very comfortable.
Is $120K a good salary in Waco?
At $120K/year in Waco, your estimated monthly take-home is $7,155. With 1BR rent around $1,000/month, rent takes up 14% of your take-home. That's considered very comfortable.
Which city is more affordable on a $120K salary?
Waco leaves you with more money after core expenses — $5,535/month vs $4,825/month in Birmingham.
Can I afford to live alone in Birmingham on $120K?
Yes. At $120K in Birmingham, rent takes 18% of your take-home, leaving $4,825/month after essentials. Most financial planners recommend keeping rent below 30%.
See the full cost-of-living comparison
Rent, groceries, taxes, transportation, and more — side by side.
Take-home estimates use simplified federal/state brackets and do not account for pre-tax deductions, 401(k), or local taxes. Data: Zillow, BLS, Numbeo · Q1 2026 · For general guidance only