$40K in McAllen = $20,513 in Lima

Your $40K salary in McAllen (COL 78) has the same purchasing power as $20,513 in Lima (COL 40). Lima is cheaper — your money goes 49% further there.

$40K in McAllen, TX
$2,728/mo take-home
Rent: $950/mo (35% of take-home)
Manageable
$20,513/yr in Lima, PE
$1,399/mo take-home
Rent: $500/mo (36% of take-home)
Tight

Budget breakdown — $40K in both cities

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

Expense
McAllen
$40K
Lima
$40K (same salary)
Monthly take-home$2,728$2,728
1BR rent$950$500
Groceries$338$380
Transport$35$150
Utilities$165$55
Internet$60$25
Left after essentials$1,180/month$1,618/month
To match your McAllen purchasing power in Lima, you'd need to earn $20,513/year (49% less than $40K). At that salary, you'd have $289/mo left after essentials — vs $1,180/mo in McAllen.

Frequently asked questions

What is $40K in McAllen equivalent to in Lima?

$40K in McAllen (COL index 78) has the same purchasing power as $20,513 in Lima (COL index 40). That's 49% less than your current salary.

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

Yes. If you keep earning $40K after moving to Lima, you'd have $438 more per month after core expenses — because Lima is cheaper than McAllen.

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 × (40 ÷ 78) = $20,513. This adjusts for differences in housing, food, transport, and general cost of living.

Other salary amounts — McAllen to Lima

$50K → $25,641$60K → $30,769$75K → $38,462$80K → $41,026$100K → $51,282$120K → $61,538$150K → $76,923
$40K in Lima → McAllenMoving from McAllen to LimaMcAllen vs Lima — full comparisonCan I afford McAllen vs Lima on $40K?

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