Side-by-side cost of living comparison for 2026
37% cheaper
Ann Arbor is 37% more affordable than San Jose. A $75,000 salary in San Jose is equivalent to $46,978 in Ann Arbor.
Index values shown. National average = 100. Lower is cheaper.
To maintain the same standard of living:
See exact take-home pay: Michigan salaries · California salaries
Housing is typically the biggest factor in any cost-of-living comparison. Ann Arbor has a housing index of 135 while San Jose sits at 308 (national average = 100). The median home in Ann Arbor costs $400,000 compared to $1,300,000 in San Jose, a difference of $900,000. Monthly rent follows a similar pattern: $1,600 in Ann Arbor versus $3,100 in San Jose.
Groceries and everyday expenses show a notable difference: Ann Arbor scores 101 while San Jose scores 110.
Healthcare costs in Ann Arbor (101) are lower than San Jose (112).
Median household income in Ann Arbor is $65,024 compared to $117,324 in San Jose. When adjusted for cost of living, income goes further in Ann Arbor.
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