City comparison
Ann Arbor, MI vs Birmingham, AL
What a paycheck is really worth in each city: prices, rent and state taxes.
Key findings
- Prices in Ann Arbor, MI are 10.1% higher than in Birmingham, AL. Someone earning $100,000 in Birmingham, AL would need about $110,100 in Ann Arbor, MI to live the same way.
- Rent is the bigger story: a typical 1-bedroom costs $1,387 a month in Ann Arbor, MI versus $1,155 in Birmingham, AL. On $100,000, that's 22% of take-home pay in Ann Arbor, MI and 19% in Birmingham, AL.
- On $100,000, estimated state income tax is about $736 a year higher in Birmingham, AL than in Ann Arbor, MI.
- For federal employees, locality pay changes a GS-13 step 1 salary by −8.4% moving from Ann Arbor, MI to Birmingham, AL ($117,402 → $107,510), while prices change by −9.2%. Net effect of the transfer: +0.8% in real buying power.
- Ann Arbor, MI: price level 100.9 (about average)
- Birmingham, AL: price level 91.6 (much cheaper)
Map drawn from Census Bureau state boundaries and metro locations9,10; dot colours show BEA price levels2.
Side by side
| Ann Arbor, MI | Birmingham, AL | |
|---|---|---|
| Price level (U.S. = 100)2 | 100.9 | 91.6 |
| $100,000 is worth, in the other city2 | $90,845 in Birmingham | $110,078 in Ann Arbor |
| Typical 1-bedroom rent3 | $1,387/mo | $1,155/mo |
| Take-home on $100,00014,15,8 | $75,181 | $74,445 |
| State income tax on $100,000 (estimate)8 | $3,999 (MI) | $4,735 (AL) |
| Rent burden on $100,000 | 22% | 19% |
| Median pay, all jobs4 | $55,380 | $47,770 |
| Federal locality pay area7 | Detroit-Warren-Ann Arbor, MI | Birmingham-Hoover-Talladega, AL |
Rent areas: Ann Arbor, MI MSA and Birmingham-Hoover, AL HUD Metro FMR Area. Metro areas: Ann Arbor, MI and Birmingham, AL.
What costs more or less
| Price level (U.S. = 100) | Ann Arbor | Birmingham |
|---|---|---|
| Housing (rent) | 125.3 | 71.9 |
| Goods | 93.7 | 96.4 |
| Utilities | 98.2 | 83.8 |
| Other services | 99.6 | 96.7 |
| Overall | 100.9 | 91.6 |
Moving with the same $100,000 salary
Ann Arbor, MI → Birmingham, AL
Same pay goes further
Buying power +10.1%; rent takes 19% of take-home; state tax +$736/yr.
100 Strong offer
Birmingham, AL → Ann Arbor, MI
Same pay buys less
Buying power −9.2%; rent takes 22% of take-home; state tax −$736/yr.
40 Weak offer
On the GS pay scale?
Ann Arbor, MI is in the Detroit-Warren-Ann Arbor, MI pay area; Birmingham, AL is in Birmingham-Hoover-Talladega, AL. The last column shows what a transfer from Ann Arbor, MI to Birmingham, AL at the same grade and step does to real buying power.
| Grade5,2 | Ann Arbor, MI | Birmingham, AL | Real change, Ann Arbor → Birmingham |
|---|---|---|---|
| GS-9 step 1 | $68,081 | $62,344 | +0.8% |
| GS-11 step 1 | $82,372 | $75,431 | +0.8% |
| GS-12 step 1 | $98,729 | $90,410 | +0.8% |
| GS-13 step 1 | $117,402 | $107,510 | +0.8% |
| GS-14 step 1 | $138,734 | $127,044 | +0.8% |
Pay for common jobs
| Median annual pay4 | Ann Arbor, MI | Birmingham, AL | Birmingham pay in Ann Arbor dollars |
|---|---|---|---|
| Elementary School Teachers, Except Special Education | $64,060 | $62,630 | $68,942 (+7.6%) |
| Software Developers | $126,830 | $125,410 | $138,049 (+8.8%) |
| Accountants and Auditors | $80,040 | $78,660 | $86,587 (+8.2%) |
| Registered Nurses | $103,450 | $78,680 | $86,609 (−16.3%) |
"Not published" means BLS doesn't release an estimate for that job in that metro.