Phoenix

Phoenix, Arizona is a major metro with a population of approximately 1,650,070. The overall cost of living index sits at 104, which is near the national average of 100. This means everyday expenses — housing, groceries, transportation, and healthcare — are roughly 4% more expensive compared to the typical U.S. city.

Housing is the largest cost driver in Phoenix. Median rent is $1,556 per month, while the median home price is $407,665. At a median household income of $77,041, rent consumes roughly 24% of gross income, which remains manageable relative to local incomes. The housing sub-index of 109 sits close to the national norm.

Beyond housing, healthcare is the most elevated non-shelter expense in Phoenix with a sub-index of 107, while utilities is comparatively more affordable at 95. State-level taxes also shape the true cost of living: Arizona applies a 2.50% income tax rate, and property tax averages 0.51% of assessed home value. The combined sales tax rate is 8.37%. Local income tax may apply in some municipalities.

Over the past twelve months, the cost of living in Phoenix has trended upward. Among the 12 tracked cities in Arizona, Phoenix ranks #3 from most to least affordable. Whether you're evaluating a job offer, planning a relocation, or comparing salary purchasing power, these numbers give a grounded, data-backed view of what life in Phoenix actually costs.