Moving from New York to Alabama: Cost & Tax Comparison
Compare state income tax savings, HUD rent differentials, and household purchasing power adjustments when relocating from New York to Alabama.
Data updated · Sources: HUD FY 2027 Fair Market Rents, EPI 2026 Family Budget, 2026 tax tables · Methodology
What changes when you move from New York to Alabama
New York has graduated income tax rates up to 10.9% and Alabama has graduated income tax rates up to 5%. On a $100,000 salary a single filer pays $4,860 in state income tax in New York and $4,102 in state income tax in Alabama. With federal income tax and FICA unchanged, total tax falls by $758 a year after the move. HUD's one-bedroom Fair Market Rent averages $1,400 a month across New York's metro areas and $920 across Alabama's (-34.3%). Pay differs too: the BLS median wage across all occupations, weighted by employment in each state's metros, is $59,552 in New York and $45,967 in Alabama. City and county income taxes, which some localities add, are not included in these state-level figures; the metro routes below include them.
Metropolitan Corridors Between New York & Alabama
Moving from New York to Alabama on a $100,000 salary: pay $758 less in total taxes per year; average one-bedroom rent is $920 vs $1,400 a month (HUD FMR).
Quick answers
For a single filer earning $100,000 with no local income tax, total federal, FICA and state taxes are $758 lower in Alabama than in New York (0.8 percentage points of gross pay). The average HUD one-bedroom Fair Market Rent across Alabama's metros is $920 a month, versus $1,400 in New York (-34.3%). Taxes and one-bedroom rent combined change by +$6,518 a year.
New York: Graduated Brackets, top rate 10.9%. Alabama: Graduated Brackets, top rate 5%. Federal income tax and FICA are the same in both states.