Allentown vs Newark
Cost of Living Comparison · 2026
Allentown
Newark
The Verdict
Allentown is 19.0% less expensive than Newark overall. A household earning $75,000 in Allentown would need approximately $92,602 in Newark to maintain the same standard of living.
Category-by-Category Breakdown
Index values · National average = 100 · Lower is more affordable
Salary Equivalence
A $75,000 salary in Allentown has the same purchasing power as $92,602 in Newark.
Conversely, $75,000 in Newark equals $60,744 in Allentown.
Living in Allentown vs Newark
Housing Costs
Allentown's housing index of 109 is lower Newark's 149, translating to median home prices of $232,000 vs $340,000. The $108,000 difference in home prices means roughly $7,020 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,225/mo in Allentown compared to $1,400/mo in Newark, a monthly difference of $175.
Grocery & Food Costs
Grocery expenses index at 101 in Allentown and 103 in Newark. A household spending the national average of $475/month on groceries would pay approximately $480/month in Allentown vs $489/month in Newark. The difference in grocery costs between these cities is relatively minor and unlikely to be a deciding factor in relocation.
Utility Expenses
Utility costs — electricity, gas, water, internet — index at 102 in Allentown and 118 in Newark. Monthly utility bills average approximately $408 in Allentown vs $472 in Newark. Climate differences between the two cities drive much of this gap, with heating and cooling costs varying substantially by region.
Healthcare
Healthcare costs index at 83 in Allentown and 105 in Newark. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. The 22-point gap reflects real differences in provider costs, insurance market competition, and regional healthcare infrastructure.
Income & Purchasing Power
Median household income is $55,500 in Allentown and $40,014 in Newark. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $56,633 and $33,069 respectively. Allentown residents enjoy stronger real purchasing power despite higher nominal wages.
Relocation Considerations
Under the standard 28% rule, a median-income household can allocate $1,295/month to housing in Allentown vs $934/month in Newark. In Allentown, median rent of $1,225/mo fits within this budget. In Newark, median rent of $1,400/mo pushes past the recommended limit. The biggest category-level difference between these two cities is Housing, where the gap is 40 index points — focus your budget analysis there.
Frequently Asked Questions
Moving & Relocation Resources
As an Amazon Associate we earn from qualifying purchases