State comparison
Alabama vs North Dakota: which state is better to live in?
North Dakota costs a median household about $2,300 a year less in state and local taxes than Alabama, mostly because its income tax takes 0.7% of a median income against 4.9% in Alabama, though everyday prices run higher there (cost of living index 98 against 87).
Alabama
Moderate tax burden · COL index 87
Wins 5 categories
North Dakota
Low tax burden · COL index 98
Wins 9 categories
Taxes: Alabama vs North Dakota
Alabama has a graduated income tax topping out at 5%, which works out to 4.9% on a median income of $74,580, or $3,689 a year. North Dakota has a graduated income tax topping out at 2.5%, which works out to 0.7% on a median income of $74,580, or $509 a year. North Dakota wins on income tax at 2026 rates.
Property tax is 0.39% of home value a year in Alabama and 0.88% in North Dakota (Tax Foundation, 2023); on each state's median home that is $850 against $2,244, so Alabama has the lower rate.
Combined state and local sales tax averages 9.22% in Alabama and 6.97% in North Dakota; North Dakota is lower.
Add it up for a household earning $74,580 (the 2022 national median) and owning the median home: $6,602 a year in Alabama, $4,313 in North Dakota. North Dakota is cheaper on total state and local tax.
Housing and cost of living
Alabama's cost of living index is 87 and North Dakota's is 98, where 100 is the national average; Alabama is about 13% cheaper day to day.
The median home costs $218K in Alabama and $255K in North Dakota (Zillow, 2024), a $37K gap in Alabama's favor. A two-bedroom rents for about $1,050 a month in Alabama and $1,100 in North Dakota.
Home insurance averages $2,400 a year in Alabama and $2,200 in North Dakota, so North Dakota is cheaper to insure.
Safety
Violent crime runs 547 incidents per 100,000 residents in Alabama and 285 in North Dakota (FBI Crime Data Explorer, 2023); North Dakota is the safer state by that measure, with a rate 92% lower. Property crime is 2,247 per 100,000 in Alabama against 1,779 in North Dakota, again favoring North Dakota.
Health
Life expectancy is 73.2 years in Alabama and 78.8 in North Dakota (County Health Rankings, 2024), a 5.6-year edge for North Dakota. The Commonwealth Fund's 2023 scorecard ranks Alabama's health system 41st of 50 and North Dakota's 27th, so North Dakota scores better on care.
11.2% of Alabama residents have no health insurance against 7.5% in North Dakota, which favors North Dakota. North Dakota expanded Medicaid and Alabama did not.
Schools
Education Week's 2023 Quality Counts report ranks Alabama's K-12 schools 44th in the country and North Dakota's 17th, 27 places apart in North Dakota's favor. Alabama runs a school-choice voucher program; North Dakota does not.
Laws and politics
In the 2024 presidential election Alabama went to Trump by 28 points and North Dakota went to Trump by 33 points.
Alabama has permitless carry and a Giffords gun-law grade of F; North Dakota has permitless carry and a grade of F.
Abortion is banned with narrow exceptions in both states, and marijuana is medical only in both as of 2026. The minimum wage is $7.25 an hour in Alabama and $7.25 in North Dakota.
Climate and risk
Natural disaster risk is moderate in Alabama (tornado, flood) and moderate in North Dakota (blizzard, tornado, flood). Annual average air quality index is 38 in Alabama and 25 in North Dakota (under 50 is good), favoring North Dakota.
Tax figures use a household earning the national median income and owning each state's median home, at tax year 2026 rates, last checked against state sources on 2026-09-14. The table below has every number.
Taxes
Housing & Cost of Living
Crime & Safety
Healthcare
Education
Childcare
Utilities & Daily Costs
Social Policy
Category wins
5
Alabama
9
North Dakota
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Score For My Profile →Questions people ask
Is Alabama or North Dakota better to live in?
North Dakota wins more of the measures that decide a move. North Dakota on taxes ($4,313 a year for a median household against $6,602); Alabama on everyday costs (index 87 against 98); North Dakota on safety (285 violent crimes per 100,000 against 547); North Dakota on schools (ranked 17th against 44th).
Which is cheaper, Alabama or North Dakota?
Alabama is cheaper day to day: cost of living index 87 against 98. The median home is $218K in Alabama and $255K in North Dakota (2024). On state and local taxes North Dakota saves a median household about $2,300 a year.
Does Alabama or North Dakota have lower taxes?
North Dakota. A household earning $74,580 pays about $6,602 a year in Alabama ($3,689 income tax, $850 property tax on the median home and $2,063 in sales tax) and $4,313 in North Dakota ($509 income tax, $2,244 property tax on the median home and $1,559 in sales tax), at 2026 rates.
Which is safer, Alabama or North Dakota?
North Dakota, on the FBI's 2023 figures. Violent crime is 547 per 100,000 residents in Alabama and 285 in North Dakota; property crime is 2,247 against 1,779.
Which has better schools, Alabama or North Dakota?
North Dakota. Education Week's 2023 Quality Counts report ranks Alabama 44th of 50 for K-12 and North Dakota 17th. Alabama also offers school-choice vouchers.
Is Alabama or North Dakota better for retirees?
Alabama is friendlier to retirees on paper. Alabama does not tax Social Security, exempts pensions and has no estate or inheritance tax; North Dakota does not tax Social Security, partly exempts pensions and has no estate or inheritance tax. Property tax on a median home is $850 a year in Alabama and $2,244 in North Dakota.