Phoenix wins overall by ~3% (COL index)
Cost of living: Phoenix vs Tempe (2026)
A $66,500 salary in Phoenix buys roughly what $68,495 does in Tempe (COL-adjusted). Your real trade-offs are taxes, rent, and day-to-day prices — we break them down and personalize below.
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Tell us about your household — we calculate your real annual savings.
Estimated annual swing
+$1,622/yr
Favoring Phoenix for this income & household (illustrative).
With an extra $135/mo in Phoenix, you could max a Roth IRA contribution faster and still grow your savings buffer.
Studio rent/mo
1BR rent/mo
2BR rent/mo
Median home price
Groceries index (100 = US avg)
Budget meal (1 person)
Mid-range dinner (2)
Monthly transit pass/mo
Gas price/gal
Car insurance/mo
Monthly utilities bundle/mo
Internet/mo
Median household income/yr
State income tax%
Sales tax (combined)%
Movie ticket
Gym membership/mo
Beer at restaurant
Overall COL index (100 = US avg)
Walk score / 100
| Category | Phoenix Arizona | Tempe Arizona | Who wins | Your impact at $67K · 1br · 1 car |
|---|---|---|---|---|
| 🏠 HousingQ1 2026 | ||||
| Studio rent/mo | $1,200Better | $1,250 | Phoenix wins +$50/mo | $600/yr saves in Phoenix |
| 1BR rent/mo | $1,500Better | $1,600 | Phoenix wins +$100/mo | $1,200/yr saves in Phoenix |
| 2BR rent/mo | $1,900Better | $2,100 | Phoenix wins +$200/mo | $2,400/yr saves in Phoenix |
| Median home price | $380KBetter | $430K | Phoenix wins +$50K | — |
| 🛒 Food & GroceriesQ1 2026 | ||||
| Groceries index (100 = US avg) | 97Better | 100 | Phoenix wins +3 | — |
| Budget meal (1 person) | $13Better | $14 | Phoenix wins +$1/mo | — |
| Mid-range dinner (2) | $55Better | $58 | Phoenix wins +$3/mo | — |
| 🚌 TransportationQ1 2026 | ||||
| Monthly transit pass/mo | $64 | $55Wins | Tempe wins −$9/mo | — |
| Gas price/gal | $3.20Better | $3.20 | — | — |
| Car insurance/mo | $160 | $158Better | Tempe wins −$2/mo | — |
| ⚡ UtilitiesQ1 2026 | ||||
| Monthly utilities bundle/mo | $210Better | $210 | — | — |
| Internet/mo | $60Better | $62 | Phoenix wins +$2/mo | — |
| 💰 Income & TaxesQ1 2026 | ||||
| Median household income/yr | $65K | $68KBetter | Tempe wins +$3K more/yr | — |
| State income tax% | 2.5%Better | 2.5% | — | — |
| Sales tax (combined)% | 8.6%Better | 8.6% | — | — |
| 🎬 LeisureQ1 2026 | ||||
| Movie ticket | $15.00Better | $15.00 | — | — |
| Gym membership/mo | $35Wins | $40 | Phoenix wins +$5/mo | — |
| Beer at restaurant | $6.00Better | $6.50 | Phoenix wins +$0.50 | — |
| 📊 OverviewQ1 2026 | ||||
| Overall COL index (100 = US avg) | 100Better | 103 | Phoenix wins +3 | — |
| Walk score / 100 | 41 | 46Better | Tempe wins +5 more/yr | — |
Complete the Picture
While you’re comparing — don’t leave money on the table.
Tax-smart rewards
Maximize everyday spend in your new city
Phoenix fits your move math — cash-back cards stack on groceries, gas, and dining you're already doing.
Home + auto bundle
New state — new insurance rates
Bundling often saves hundreds/yr. Compare before you sign a lease in Phoenix.
High-yield savings
Grow your move fund while you shop for homes
Don't let relocation cash sit at 0% — put it to work until closing day.
More ways to compare this move
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Frequently asked questions
Is Phoenix cheaper than Tempe?
Yes. Phoenix is 3% cheaper than Tempe based on overall cost of living indices (100 vs 103, where 100 = US average).
What is the average rent in Phoenix vs Tempe?
As of Q1 2026, the median 1-bedroom rent in Phoenix is $1,500/month and in Tempe is $1,600/month. Phoenix is cheaper by 6%.
How much do I need to earn in Tempe to match a $75,000 salary in Phoenix?
To maintain a similar lifestyle, you would need approximately $77,250/year in Tempe to match a $75,000 salary in Phoenix. This estimate is based on overall cost of living indices and does not account for individual spending patterns.
Which city has lower taxes — Phoenix or Tempe?
Tempe has the lower state income tax rate at 2.5% vs 2.5%. The difference is 0.0 percentage points. Note that sales tax and local taxes also vary — see the full breakdown in the table above.
Is it worth moving from Phoenix to Tempe?
It depends on your priorities. Phoenix offers lower overall costs, 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 · Updated Q1 2026 · For general guidance only
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