Alabamaincome tax up to 5%, 2nd lowest property tax, median home $218K
R+28 · Moderate tax burden · COL index 87
5%
Income Tax
547
Violent Crime / 100K
73.2
Life Expectancy
$218K
Median Home
$820
Childcare / Mo
Alabama in plain English
Worth knowing before you move to Alabama
Alabama's property taxes are among the lowest in the country because assessments are capped at a fraction of market value, but the state makes it up with one of the highest combined sales-tax rates, and groceries are taxed. Huntsville's aerospace and defense payroll sets it apart from the rest of the state; the Gulf coast around Mobile and Baldwin County carries real hurricane exposure and insurance costs to match.
What Alabama taxes, and what it doesn't
Alabama levies a graduated income tax that tops out at 5%. A household earning $75,000 pays an effective 4.9%, about $3,710 a year; at $150,000 the effective rate is 5.0%. Among the 41 states that tax income, Alabama has the 20th highest effective rate at $100,000 of income.
Property tax runs 0.39% of home value a year, roughly $850 on the state's median home of $218K. The national effective rate is about 1.10%, and Alabama has the 2nd lowest rate of the 50 states.
Combined state and local sales tax averages 9.22%, the 5th highest in the country (the state portion is 4%).
For retirees: Social Security benefits are not taxed, pension income is fully exempt, and there is no estate or inheritance tax.
Capital gains are taxed as ordinary income.
Housing and the cost of living in Alabama
Alabama's cost of living index is 87, where 100 is the national average; that is the 7th cheapest of the 50 states.
The median home costs $218K, 28% below the national figure and the 8th lowest among the states. A two-bedroom rents for about $1,050 a month.
Carrying costs matter as much as the price: home insurance averages $2,400 a year, flood coverage adds about $950 where it is needed, car insurance runs $1,720.
Budget $155 a month for electricity and gas, $410 a month in groceries for two, $820 a month for full-time infant care.
Safety, health and schools
Violent crime is 547 incidents per 100,000 residents in the FBI's 2023 Crime Data Explorer figures, above the median state (387); Alabama is the 8th most violent of the 50 by that measure. Property crime is 2,247 per 100,000.
Life expectancy is 73.2 years (County Health Rankings 2024). 11.2% of residents have no health insurance, and the state has not expanded Medicaid. The Commonwealth Fund's 2023 scorecard ranks Alabama's health system 41st of 50.
Education Week's 2023 Quality Counts report ranks K-12 schools 44th in the country, and the state runs a school-choice voucher program.
Politics, guns and social policy
Politically, Alabama is a solidly Republican state that went to Trump by 28 points in 2024.
On guns, no permit is required to carry a concealed handgun, and Giffords grades the state's gun laws F.
Abortion is banned with narrow exceptions. Marijuana is medical only. Alabama is a right-to-work state, and the minimum wage is $7.25 an hour.
Climate, risk and getting around
Natural disaster risk is moderate. The main hazards are tornado, flood. Annual average air quality index is 38 (under 50 is good).
Alabama has no top-25 hub airport, with about 70 nonstop destinations from its busiest airport.
Written from the figures on this page. Rankings compare the 50 states. Sources and years are listed with each figure below.
Largest counties in Alabama
State Profile
Alabama will change its laws. We'll email you when it does.
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Taxes
Sources: state revenue departments · Tax Foundation 2026 · income-tax brackets 2026
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Taxes
Sources: state revenue departments · Tax Foundation 2026 · income-tax brackets 2026
Income Tax
Property Tax
~$850/yr on median home
Sales Tax
Social Security
Pension / IRA
Estate Tax
Inheritance Tax
Capital Gains
Housing & Cost of Living
Sources: Zillow · Census ACS · iii.org and state insurers 2026 · WRLURI 2018 · Census 2024 (HOA)
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Housing & Cost of Living
Sources: Zillow · Census ACS · iii.org and state insurers 2026 · WRLURI 2018 · Census 2024 (HOA)
Price Level vs US (BEA)
Below US average (100)
Mortgages 90+ Days Late
FHFA, latest quarter
Cost of Living Index
National avg = 100
Median Home Price
Median Rent (2BR)
Home Insurance
Near national avg (~$1,900/yr)
Flood Insurance
Homestead Exemption
Home equity protected from creditors
Asset Protection
Homes in HOAs
Moderate HOA presence (Census ACS 2024)
Zoning Restrictiveness
Among the least restrictive zoning (Wharton WRLURI 2018)
Short-Term Rentals (Airbnb)
No statewide STR law; local control.
Crime & Safety
Sources: FBI Crime Data Explorer 2023 · SafeHome registry counts 2025 · HUD PIT 2024
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Crime & Safety
Sources: FBI Crime Data Explorer 2023 · SafeHome registry counts 2025 · HUD PIT 2024
Violent Crime Rate
Near national avg
Property Crime Rate
Near national avg
Traffic Fatality Rate
Registered Sex Offenders
Below the state median (SafeHome 2025)
Homeless Population
Low homelessness rate — 59% unsheltered (HUD 2024 PIT)
Healthcare
Sources: Commonwealth Fund 2023 · KFF · CDC
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Healthcare
Sources: Commonwealth Fund 2023 · KFF · CDC
State Healthcare Rank
Bottom tier
Life Expectancy
Medicaid Expansion
Uninsured Rate
Education
Sources: Education Week 2023 · NCES · state statutes (school choice)
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Education
Sources: Education Week 2023 · NCES · state statutes (school choice)
College Completion Rate
College Scorecard, in-state institutions (mean)
Avg College Cost of Attendance
College Scorecard 2024
K-12 Quality Rank
Bottom 10 nationally
School Choice / Vouchers
HS Graduation Rate
Above national avg (~87%)
Pupil-Teacher Ratio
Near national avg (~16)
Childcare
Sources: Child Care Aware · Census ACS 2022
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Childcare
Sources: Child Care Aware · Census ACS 2022
Avg Infant Care (Full-Time)
Below national avg
Utilities & Daily Costs
Sources: EIA (electricity, weekly gas) · USDA · eGRID 2022
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Utilities & Daily Costs
Sources: EIA (electricity, weekly gas) · USDA · eGRID 2022
Grid Carbon Intensity
Near US average (~820)
Avg Monthly Energy Bill
Electricity Rate
Below national avg (13¢)
Energy Mix
Avg Monthly Groceries
2-person household, moderate spending
Road Quality Rank
Airports & Travel
Sources: FAA · BTS
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Airports & Travel
Sources: FAA · BTS
Nonstop Destinations
From state's primary airport
Major Hub Airport
Regional airport — connections via hub
Culture & Lifestyle
Sources: Census CBP · Brewers Association 2024 · Pollstar · AANR/TNS · AGA 2024
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Culture & Lifestyle
Sources: Census CBP · Brewers Association 2024 · Pollstar · AANR/TNS · AGA 2024
Urban Population
Mix of urban and rural
Restaurant Density
Limited dining options
Religious Congregations
Strong religious community
Pro Sports Teams
NFL + NBA + MLB + NHL + MLS
Major Venues
Stadiums, arenas, amphitheaters (10K+ capacity)
Craft Breweries
1.1/100K residents — Limited
Craft Distilleries
Live Music
Birmingham and Huntsville growing scenes; Shoals music heritage (Muscle Shoals Sound)
Transportation
Sources: NHTSA FARS · FCC · insurance rate surveys 2024 · IIHS helmet laws 2026
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Transportation
Sources: NHTSA FARS · FCC · insurance rate surveys 2024 · IIHS helmet laws 2026
Car Insurance (Avg Annual)
Traffic Fatality Rate
Broadband Access
Work From Home
State residents who primarily work from home (ACS)
Social & Legal
Sources: Guttmacher · KFF · NCSL · state statutes 2026
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Social & Legal
Sources: Guttmacher · KFF · NCSL · state statutes 2026
Formal Volunteering Rate
AmeriCorps / Census CPS 2023 (US ~28%)
Votes in Local Elections
AmeriCorps / Census CPS 2023
Abortion Access
Near-total ban with narrow exceptions
LGBTQ+ Protections
Marijuana
Minimum Wage
Right to Work
Sports Betting
Casino Gambling
Online Gambling
State Lottery
One of 5 states with no state lottery. Very restrictive — few Native American bingo halls only.
Age of Consent
Sex Education
Sex ed required by state
Nude Beaches & Naturist Clubs
Southern Naturists club
Environment & Climate
Sources: EPA AQI · NOAA · FEMA National Risk Index
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Environment & Climate
Sources: EPA AQI · NOAA · FEMA National Risk Index
Air Quality (Annual AQI)
Near national avg
Natural Disaster Risk
Primary Hazards
Politics & Gun Laws
Sources: OpenElections 2024 · Giffords 2025 · state statutes
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Politics & Gun Laws
Sources: OpenElections 2024 · Giffords 2025 · state statutes
2024 Presidential Vote
Gun Laws
Carry Permit
Purchase Permit Required
Carry in Bars
Carry in Restaurants
Carry in Places of Worship
No state alcohol-venue prohibition; churches treated as private property.
Gambling
Hunting & Outdoors
Sources: state wildlife agencies · USFS · BLM · USFWS (May 2026)
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Hunting & Outdoors
Sources: state wildlife agencies · USFS · BLM · USFWS (May 2026)
One of the longest deer seasons in the South — archery runs nearly 4 months. Bag limits are generous: 1 antlered per day.
Alabama Department of Conservation — Official Season Dates ↗Finding nearby venues...
From r/hunting
Pretty good for a South Bama buck. Biggest I've taken after ...
So we have a late season CWD hunting in few zones in southern MN I ... I've got a lot of deer with .308, great round for hunting. The ......
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Where to go? : r/Hunting
Any state will have what you want. known for their ability to produce trophy deer. Check Alabama good deer and reasonable prices...
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Not interested in shooting but interested in learning to ...
our local game processors do deer and elk during season, offer a free class mid to late summer to prepare for deer season. Alabama public la...
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Definitely not 13” : r/Hunting
106 votes, 34 comments. I got this cool looking deer on my property! Unfortunately Texas law won't allow me to take him due to the inside .....
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Ravin Crossbows
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Jobs & Economy
Sources: BLS QCEW 2024 · BLS JOLTS 2024 · BLS union membership 2025 · Census ACS
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Jobs & Economy
Sources: BLS QCEW 2024 · BLS JOLTS 2024 · BLS union membership 2025 · Census ACS
Job Openings Rate (JOLTS)
Tight labor market (US ~4.5%)
Quits Rate (JOLTS)
Workers quit when they can find better; BLS 2024 average
Job Market
+1.2% job growth · 3% unemployment
Top Industries
Tech Jobs
Healthcare Jobs
Remote Work
Median Household Income
Union Membership
Below-average union presence (BLS 2025)
Business Climate
Sources: Tax Foundation · state filings
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Business Climate
Sources: Tax Foundation · state filings
Corporate Income Tax
LLC Formation Fee
LLC Annual Fee
Business Climate Rank
Daily Life
Sources: American Pyrotechnics Association · state statutes 2026 · IIHS
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Daily Life
Sources: American Pyrotechnics Association · state statutes 2026 · IIHS
Gas Price (Regular)
Well below avg (-0.34 vs national avg)
Consumer Fireworks
Most consumer fireworks legal statewide
Motorcycle Helmet Law
Required for all riders (IIHS 2026)
Weather & Natural Risks
Sources: NOAA · NWS Storm Prediction Center · FEMA NRI
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Weather & Natural Risks
Sources: NOAA · NWS Storm Prediction Center · FEMA NRI
Winter Severity
Avg January high: 52°F
Summer Heat
Hot summers
Annual Rainfall
Tornado Risk
Hurricane Risk
Wildfire Risk
Flood Risk
Natural Hazards
Sources: USGS · CDC · USDA APHIS · NOAA · FEMA NRI 2023
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Natural Hazards
Sources: USGS · CDC · USDA APHIS · NOAA · FEMA NRI 2023
Venomous Snakes
Spider Hazard
Hurricane Risk
Tornado Risk
Wildfire Risk
Earthquake Risk
Armadillo Leprosy Risk
Danger score is a composite index. Methodology ↗
Veteran Benefits
Sources: VA.gov · Military.com state guide · Tax Foundation
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Veteran Benefits
Sources: VA.gov · Military.com state guide · Tax Foundation
Veteran-Friendly Score
8.4% of state population are veterans
Property Tax Exemption
100% disabled vets: full exemption
Military Retirement Pay
Active Duty Pay
VA Facilities Access
Notable Benefits
Explore Alabama counties
Income, housing, poverty, healthcare — ranked by county
See your full cost of living in Alabama
Housing, taxes, childcare, insurance — all estimated.
Compare Similar States
AL vs IN
Alabama vs Indiana
COL 87 vs 87 · 5% vs 3.05% income tax
Full comparison →
AL vs OK
Alabama vs Oklahoma
COL 87 vs 87 · 5% vs 4.75% income tax
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AL vs IA
Alabama vs Iowa
COL 87 vs 88 · 5% vs 3.8% income tax
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AL vs KS
Alabama vs Kansas
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Trending in Alabama
Governor Ivey Honors Alabama Workers in Labor Day Message - - Governor.alabama.gov
Governor.alabama.gov · Sep 4
Alabama governor applauds federal efforts to clean up trucking - Land Line Media
Land Line Media · Sep 3
Democrat enjoys August fundraising edge in Alabama governor’s race. GOP nominee maintains overall advantage - Chattanooga Times Free Press
Chattanooga Times Free Press · Sep 6
Tuberville ‘constitutionally ineligible’ to be Alabama’s governor, court filing claims - AL.com
AL.com · Sep 4
An Alabama developer paid $4.6 million for 65 acres after the city unanimously backed the project; the la - The Times of India
The Times of India · Sep 8
What Residents Say
Pros and cons to moving to Alabama?
Alabama has only 0.36% rate?? Property taxes can be pretty low, but balance that against an egregiously high income tax. nearly 10% sales tax ......
reddit.com ↗
Living in Florida but working in Alabama taxes taken out of ...
AL state tax is 2% of the first $1,000; 4% of the next $5,000 and 5% on top of everything else. You'll get a prorated exemption based on the ......
reddit.com ↗
Has anyone moved between Florida and Alabama and ...
Florida girl here.I was raised here (central Florida) and had planned to raise my family, live a quiet life, and die. However, the cost of living ......
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Is 25k-27k a year a decent amount to make to afford living ...
Trying to cover all my bases before moving. I know about the state and grocery taxes. Car insurance is higher, utilities are up there too. Would it be ......
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Considering moving from Alabama and Virginia caught my ...
Alabama is cheaper living than Virginia as far as rent and groceries. notice many mentioned annual tax on vehicles. pay personal property taxes ......
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How much does it cost to live in Alabama?
I have plans on moving to Birmingham, Alabama, in a year, and I'm trying to get an exact idea of how much It'll cost to maintain a living there. As ......
reddit.com ↗
Living off $2500/month? : r/Birmingham
The state income tax is about 3.5%. Your water/sewer will be over 100. There is a 10% sales tax. Car tags are pretty expensive. Car insurance is ......
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Is there any reason to live in South Alabama over North ...
I used to live in North Florida, and it felt pretty much the exact same as Southern Alabama. The only difference is florida has lower taxes across the ......
reddit.com ↗
Considering a move to Alabama
Cost of living: I bought my 4 bed 2.5 bath for about 170k. Its 30 years old and was a foreclosure so not all deals may be like that. Farming: I ......
reddit.com ↗
Is it possible to move out of the deep south when it's so ...
I live in Alabama. Partner and I both grew up in rural Alabama, both poor (but I was much further below the poverty line), so we don't have family safety ......
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Alabama will change its laws. We'll email you when it does.
One email when Alabama changes a tax, gun, cannabis or abortion law. Unsubscribe in one click.
Data is informational only. Verify with a tax professional, real estate agent, and local sources before making relocation decisions. Crime data: FBI Crime Data Explorer 2023. Healthcare: Commonwealth Fund 2023; life expectancy from County Health Rankings 2024. Education: Education Week 2023. Housing: Zillow monthly index and Census ACS 2022. Insurance: rate surveys 2024. Sponsored links marked “Sponsored” may earn a commission. This does not affect our data or rankings.