Side-by-side cost of living comparison for 2026
6% cheaper
Phoenix is 6% more affordable than Tempe. A $75,000 salary in Tempe is equivalent to $70,755 in Phoenix.
Index values shown. National average = 100. Lower is cheaper.
To maintain the same standard of living:
See exact take-home pay: Arizona salaries · Arizona salaries
Housing is typically the biggest factor in any cost-of-living comparison. Phoenix has a housing index of 102 while Tempe sits at 114 (national average = 100). The median home in Phoenix costs $350,000 compared to $400,000 in Tempe, a difference of $50,000. Monthly rent follows a similar pattern: $1,400 in Phoenix versus $1,600 in Tempe.
Groceries and everyday expenses show a narrower gap: Phoenix scores 99 while Tempe scores 100. Both cities are close to the national average for grocery costs.
Healthcare costs in Phoenix (95) match Tempe (95). Both are close to the national average.
Median household income in Phoenix is $57,459 compared to $56,068 in Tempe. When adjusted for cost of living, income goes further in Phoenix.
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