$40K in Austin = $33,770 in Tempe

Your $40K salary in Austin (COL 122) has the same purchasing power as $33,770 in Tempe (COL 103). Tempe is cheaper — your money goes 16% further there.

$40K in Austin, TX
$2,728/mo take-home
Rent: $1,800/mo (66% of take-home)
Difficult
$33,770/yr in Tempe, AZ
$2,233/mo take-home
Rent: $1,600/mo (72% of take-home)
Difficult

Budget breakdown — $40K in both cities

What $40K actually buys you in each city after taxes and core expenses.

Expense
Austin
$40K
Tempe
$40K (same salary)
Monthly take-home$2,728$2,645
1BR rent$1,800$1,600
Groceries$372$380
Transport$50$55
Utilities$170$210
Internet$65$62
Left after essentials$271/month$338/month
To match your Austin purchasing power in Tempe, you'd need to earn $33,770/year (16% less than $40K). At that salary, you'd have $-74/mo left after essentials — vs $271/mo in Austin.

Frequently asked questions

What is $40K in Austin equivalent to in Tempe?

$40K in Austin (COL index 122) has the same purchasing power as $33,770 in Tempe (COL index 103). That's 16% less than your current salary.

If I move from Austin to Tempe keeping my $40K salary, will I be better off?

Yes. If you keep earning $40K after moving to Tempe, you'd have $67 more per month after core expenses — because Tempe is cheaper than Austin.

How is the salary equivalent calculated?

The equivalent salary is calculated by multiplying your current salary by the ratio of the two cities' overall cost of living indices: $40K × (103 ÷ 122) = $33,770. This adjusts for differences in housing, food, transport, and general cost of living.

Other salary amounts — Austin to Tempe

$50K → $42,213$60K → $50,656$75K → $63,320$80K → $67,541$100K → $84,426$120K → $101,311$150K → $126,639
$40K in Tempe → AustinMoving from Austin to TempeAustin vs Tempe — full comparisonCan I afford Austin vs Tempe on $40K?

Equivalency uses overall COL index ratio. Take-home uses simplified federal/state brackets. Zillow · BLS · Numbeo · Q1 2026 · For general guidance only