City comparison
Indianapolis, IN vs Montgomery, AL
What a paycheck is really worth in each city: prices, rent and state taxes.
Key findings
- Prices in Indianapolis, IN are 6.7% higher than in Montgomery, AL. Someone earning $100,000 in Montgomery, AL would need about $106,700 in Indianapolis, IN to live the same way.
- Rent is the bigger story: a typical 1-bedroom costs $1,267 a month in Indianapolis, IN versus $870 in Montgomery, AL. On $100,000, that's 20% of take-home pay in Indianapolis, IN and 14% in Montgomery, AL.
- On $100,000, estimated state income tax is about $1,815 a year higher in Montgomery, AL than in Indianapolis, IN.
- For federal employees, locality pay changes a GS-13 step 1 salary by −0.9% moving from Indianapolis, IN to Montgomery, AL ($107,428 → $106,437), while prices change by −6.3%. Net effect of the transfer: +5.7% in real buying power.
- Indianapolis, IN: price level 95.7 (cheaper)
- Montgomery, AL: price level 89.7 (much cheaper)
Map drawn from Census Bureau state boundaries and metro locations9,10; dot colours show BEA price levels2.
Side by side
| Indianapolis, IN | Montgomery, AL | |
|---|---|---|
| Price level (U.S. = 100)2 | 95.7 | 89.7 |
| $100,000 is worth, in the other city2 | $93,716 in Montgomery | $106,706 in Indianapolis |
| Typical 1-bedroom rent3 | $1,267/mo | $870/mo |
| Take-home on $100,00014,15,8 | $76,260 | $74,445 |
| State income tax on $100,000 (estimate)8 | $2,921 (IN) | $4,735 (AL) |
| Rent burden on $100,000 | 20% | 14% |
| Median pay, all jobs4 | $49,340 | $44,950 |
| Federal locality pay area7 | Indianapolis-Carmel-Muncie, IN | Rest of U.S. |
Rent areas: Indianapolis-Carmel, IN HUD Metro FMR Area and Montgomery, AL MSA. Metro areas: Indianapolis-Carmel-Greenwood, IN and Montgomery, AL.
What costs more or less
| Price level (U.S. = 100) | Indianapolis | Montgomery |
|---|---|---|
| Housing (rent) | 88.9 | 64.3 |
| Goods | 94.3 | 96.4 |
| Utilities | 86.4 | 84.9 |
| Other services | 99.1 | 96.7 |
| Overall | 95.7 | 89.7 |
Moving with the same $100,000 salary
Indianapolis, IN → Montgomery, AL
Same pay goes further
Buying power +6.7%; rent takes 14% of take-home; state tax +$1,815/yr.
90 Strong offer
Montgomery, AL → Indianapolis, IN
Same pay buys less
Buying power −6.3%; rent takes 20% of take-home; state tax −$1,815/yr.
49 Fair offer
On the GS pay scale?
Indianapolis, IN is in the Indianapolis-Carmel-Muncie, IN pay area; Montgomery, AL is in Rest of U.S.. The last column shows what a transfer from Indianapolis, IN to Montgomery, AL at the same grade and step does to real buying power.
| Grade5,2 | Indianapolis, IN | Montgomery, AL | Real change, Indianapolis → Montgomery |
|---|---|---|---|
| GS-9 step 1 | $62,297 | $61,722 | +5.7% |
| GS-11 step 1 | $75,374 | $74,678 | +5.7% |
| GS-12 step 1 | $90,341 | $89,508 | +5.7% |
| GS-13 step 1 | $107,428 | $106,437 | +5.7% |
| GS-14 step 1 | $126,947 | $125,776 | +5.7% |
Pay for common jobs
| Median annual pay4 | Indianapolis, IN | Montgomery, AL | Montgomery pay in Indianapolis dollars |
|---|---|---|---|
| Elementary School Teachers, Except Special Education | $60,510 | $59,610 | $63,607 (+5.1%) |
| Software Developers | $106,870 | $110,620 | $118,038 (+10.5%) |
| Accountants and Auditors | $79,290 | $75,040 | $80,072 (+1.0%) |
| Registered Nurses | $84,230 | $79,570 | $84,906 (+0.8%) |
"Not published" means BLS doesn't release an estimate for that job in that metro.