City Comparison

Allentown vs Tempe

Cost of Living Comparison · 2026

Allentown

Pennsylvania
98
Average
$232,000
Median Home
$1,225/mo
Median Rent
$55,500
Median Income

Tempe

Arizona
106
Above Average
$400,000
Median Home
$1,600/mo
Median Rent
$56,068
Median Income

The Verdict

7.5%

The cost gap between these cities is 7.5%, with Allentown being the more affordable option. A $75,000 income in Allentown has equivalent purchasing power to $81,122 in Tempe.

Category-by-Category Breakdown

Index values · National average = 100 · Lower is more affordable

Housing
109
Allentown
114
Tempe
Groceries
101
Allentown
100
Tempe
Utilities
102
Allentown
96
Tempe
Transportation
103
Allentown
103
Tempe
Healthcare
83
Allentown
95
Tempe

Salary Equivalence

A $75,000 salary in Allentown has the same purchasing power as $81,122 in Tempe.

Conversely, $75,000 in Tempe equals $69,340 in Allentown.

Living in Allentown vs Tempe

Housing Costs

Allentown's housing index of 109 is lower Tempe's 114, translating to median home prices of $232,000 vs $400,000. The $168,000 difference in home prices means roughly $10,920 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,225/mo in Allentown compared to $1,600/mo in Tempe, a monthly difference of $375.

Grocery & Food Costs

Grocery expenses index at 101 in Allentown and 100 in Tempe. A household spending the national average of $475/month on groceries would pay approximately $480/month in Allentown vs $475/month in Tempe. 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 96 in Tempe. Monthly utility bills average approximately $408 in Allentown vs $384 in Tempe. Utility costs are relatively comparable between these two cities.

Healthcare

Healthcare costs index at 83 in Allentown and 95 in Tempe. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. The 12-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 $56,068 in Tempe. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $56,633 and $52,894 respectively. Allentown residents enjoy stronger real purchasing power despite lower nominal wages.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $1,295/month to housing in Allentown vs $1,308/month in Tempe. In Allentown, median rent of $1,225/mo fits within this budget. In Tempe, median rent of $1,600/mo pushes past the recommended limit. The biggest category-level difference between these two cities is Healthcare, where the gap is 12 index points — focus your budget analysis there.

Frequently Asked Questions

Allentown is 7.5% more affordable overall with an index of 98 vs 106.
A $75,000 salary in Allentown has equivalent purchasing power to approximately $81,122 in Tempe, based on the cost of living difference.
Allentown's housing index is 109 with median homes at $232,000, while Tempe's is 114 with median homes at $400,000.

Moving & Relocation Resources

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