Is Alabama a good state for your salary to go far?

Alabama ranks #44 of 51 states on the Gera US Real Pay Index, with a mean index of 95.0 across 367 occupations (100 = the average state). Its 2024 BEA cost of living is 88.8 (US = 100), and its 2025 state income tax schedule is applied to each occupation's median wage.

What is the cost of living in Alabama?

Alabama's Regional Price Parity (All Items) for 2024 is 88.8, where the US average is 100. That is at or below the national average, so a dollar buys as much as or more than it does nationally. The Gera US Real Pay Index divides take-home pay by this figure to express salaries in purchasing-power-equivalent dollars.

GeraJobs / US Real Pay Index / Alabama

Where Your Salary Goes Furthest in Alabama

Alabama ranks #44 of 51 states on the Gera US Real Pay Index (mean 95.0, base = 100). Cost of living 88.8 (US = 100); top income tax 5.00%.

Does a salary go further in Alabama? (cost of living + state tax)

In Alabama, the cost of living is 88.8 on the BEA index (US = 100) and the Gera US Real Pay Index averages 95.0 across 367 occupations, ranking it #44 of 51 states for how far pay goes after 2025 state income tax and 2024 BEA cost of living. Real BLS OEWS; re-dated annually.

Source:U.S. Bureau of Labor Statistics — Occupational Employment and Wage Statistics (OEWS)·As of May 2025 state estimates · updated annually · last refreshed 19 June 2026

Gera US Real Pay Index

Alabama ranks #44 of 51 states. Mean across 367 occupations; 100 = the average state, 95.0 means pay goes -5.0% less far after tax and cost of living.

How this is calculated

95.0

Real pay by occupation in Alabama (best first)

Occupation	BLS median	Real pay	Index
Protective Service Workers, All Other	$86,350	$92,653	189.4
Engineers, All Other	$152,550	$163,457	141.2
Motor Vehicle Operators, All Other	$52,100	$56,022	135.9
Business Operations Specialists, All Other	$100,240	$107,509	131.2
Social Workers, All Other	$94,270	$101,124	127.6
Logisticians	$98,450	$105,595	127.3
Facilities Managers	$121,010	$129,724	122.9
Budget Analysts	$99,490	$106,707	121.6
Rehabilitation Counselors	$54,040	$58,096	120.1
Management Analysts	$108,040	$115,852	119.4
Electrical Engineers	$125,630	$134,665	118.4
Transportation, Storage, and Distribution Managers	$118,320	$126,847	117.5
Financial Specialists, All Other	$87,110	$93,466	116.8
Information and Record Clerks, All Other	$53,930	$57,979	116.1
Optometrists	$145,090	$155,478	115.4
First-Line Supervisors of Protective Service Workers, All Other	$78,850	$84,632	115.4
Merchandise Displayers and Window Trimmers	$42,840	$46,118	114.9
Chemists	$97,830	$104,932	114.9
Office and Administrative Support Workers, All Other	$49,980	$53,754	114.1
Conservation Scientists	$77,000	$82,653	114.1
Power Plant Operators	$107,080	$114,825	113.9
Aircraft Mechanics and Service Technicians	$82,260	$88,279	112.7
Driver/Sales Workers	$39,190	$42,214	112.2
General and Operations Managers	$111,790	$119,863	112.1
Computer Network Architects	$130,810	$140,205	112.0
Healthcare Practitioners and Technical Workers, All Other	$69,520	$74,653	111.9
Insurance Sales Agents	$65,510	$70,364	111.2
Electronics Engineers, Except Computer	$120,720	$129,414	111.2
Claims Adjusters, Examiners, and Investigators	$79,710	$85,552	110.8
Procurement Clerks	$52,940	$56,920	110.8
Managers, All Other	$135,890	$145,639	110.5
Project Management Specialists	$100,820	$108,130	110.4
Social Scientists and Related Workers, All Other	$95,370	$102,301	109.9
Administrative Services Managers	$114,550	$122,814	109.4
Eligibility Interviewers, Government Programs	$54,040	$58,096	109.2
First-Line Supervisors of Correctional Officers	$80,230	$86,108	108.6
Chefs and Head Cooks	$62,400	$67,038	108.5
Executive Secretaries and Executive Administrative Assistants	$69,450	$74,578	108.4
Security and Fire Alarm Systems Installers	$60,710	$65,230	108.4
Education Administrators, All Other	$94,610	$101,488	108.4

Showing the 40 highest real-pay occupations of 367 BLS publishes for Alabama. Real pay = BLS median − 2025 state income tax, divided by the 2024 BEA cost of living (88.8, US = 100).

Where does your salary go furthest?

Enter a salary and a state. We adjust for 2025 state income tax and the 2024 BEA cost of living to show your real, purchasing-power-equivalent pay — then rank every state.

Gross annual salary (USD)Compare against state

In Alabama, a $85,000 salary is worth about $90,911 in cost-of-living-and-tax-adjusted terms.

State income tax $4,250 (≈ top marginal 5.00% (upper bound)) · take-home $80,750 · BEA cost of living 88.8 (US = 100).

The same salary goes furthest in South Dakota — worth $95,952, a $5,041 gain over Alabama.

#	State	Real value	Cost (RPP)
1	South Dakota	$95,952	88.6
2	Arkansas	$93,959	86.9
3	Louisiana	$93,473	88.2
4	Mississippi	$93,453	87.0
5	Iowa	$93,172	87.8
6	North Dakota	$93,161	89.0
7	Tennessee	$92,522	91.9
8	Oklahoma	$92,167	87.8
9	Wyoming	$91,703	92.7
10	Alabama	$90,911	88.8
11	Kentucky	$90,507	90.2
12	West Virginia	$90,397	89.5

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Estimate only. State income tax is approximated from each state's 2025 flat rate (or top marginal rate as an upper bound for graduated states) and ignores federal tax, deductions and credits. The pre-published occupation and state pages use exact 2025 bracket math. Cost of living is the 2024 BEA Regional Price Parity (All Items).

Alabama real pay — FAQ

Is Alabama a good state for your salary to go far?: Alabama ranks #44 of 51 states on the Gera US Real Pay Index, with a mean index of 95.0 across 367 occupations (100 = the average state). Its 2024 BEA cost of living is 88.8 (US = 100), and its 2025 state income tax schedule is applied to each occupation's median wage.
What is the cost of living in Alabama?: Alabama's Regional Price Parity (All Items) for 2024 is 88.8, where the US average is 100. That is at or below the national average, so a dollar buys as much as or more than it does nationally. The Gera US Real Pay Index divides take-home pay by this figure to express salaries in purchasing-power-equivalent dollars.

Compare other states

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Related on GeraJobs

Gera US Real Pay Index — all states ranked
Methodology — the exact BLS + BEA + tax computation.
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Sources: U.S. Bureau of Labor Statistics — Occupational Employment and Wage Statistics (OEWS) (May 2025 state estimates); U.S. Bureau of Economic Analysis — Regional Price Parities (All Items), by state (2024 (US = 100)); Tax Foundation — 2025 State Individual Income Tax Rates and Brackets. The Gera US Real Pay Index for Alabama is computed by GeraJobs from these figures; no figure is modelled or interpolated.