Tennessee · SouthVery Affordable CityUpdated March 2026

Cost of Living in Memphis, TN

Detailed cost data for 38 topics across 6 categories — from rent and groceries to business startup costs and professional salaries.

Cost Index
82
18% below national average
100 = national baseline
633K
Population
$41K
Median Income
$1,170/mo
Avg Rent (1BR)
$3,898/mo
Living Cost (Single)
✍️ Reviewed by Marcus Rivera, Urban Economics Researcher📅 Last verified: March 2026
BLSCensusHUD

Cost of Living in Memphis: The Full Picture

Planning a move to Memphis or benchmarking your current costs? This page covers every metric we track for this TN large city — from roof replacements and HVAC work to insurance premiums and professional salaries. At a cost index of 82, you'll find prices below the national average across most categories. Year-round warmth is the draw, but it comes with trade-offs: mold, termites, and AC units that run 10 months a year.

A
Overall
A+
Housing
A
Food
B+
Healthcare
A
Transport
A
Utilities
💼 Economy

Memphis has a manufacturing-to-services economy where job retraining programs gradually rebuild the middle class

🏠 Housing

The housing market features one of America's more affordable housing markets, where homeownership is within reach for most working families

🌤️ Climate & Lifestyle

Year-round warmth is the draw, but it comes with trade-offs: mold, termites, and AC units that run 10 months a year.. The lifestyle here is characterized by A rapidly urbanizing landscape where new mixed-use developments spring up next to century-old churches..

💡 The Bottom Line

Memphis is among the most affordable cities in the US, with a cost index of just 82. Your money stretches 18% further than the national average across virtually every spending category.

💰 Purchasing Power in Memphis

$50K salary
≈ $61K
+$11K real value
$75K salary
≈ $91K
+$16K real value
$100K salary
≈ $122K
+$22K real value
$150K salary
≈ $183K
+$33K real value

Purchasing power adjusted to national average baseline. In Memphis, your dollar buys 22% more than the national average.

Monthly Living Expenses in Memphis

What it actually costs to live in Memphis each month — from tight budgets to comfortable lifestyles.

LifestyleSingle PersonCoupleFamily of 4
🟡Tight / Frugal$1,800/mo$3,100/mo$4,100/mo
🟢Comfortable$2,850/mo$4,750/mo$6,150/mo
🟣Generous$4,500/mo$7,400/mo$9,850/mo

Estimates include housing, food, transportation, utilities, insurance, and discretionary spending. Based on Memphis's cost index of 82 applied to national spending surveys.

🏘️ Neighborhood Cost Variation

Don't let the metro-wide numbers fool you — Memphis is a city of micro-markets. The most expensive ZIP codes can cost twice as much as the most affordable ones for identical services. Shop around by neighborhood and you'll find genuine pockets of value.

Memphis vs U.S. Average Cost of Living

Category-by-category affordability grades — based on deviation from the national average.

Grades: A+/A = very affordable · B = average · C/D = expensive · For salaries, higher = better

🏠 Home Services in Memphis

What contractors charge for the most common repairs, installations, and remodels

💼 Business Startup Costs in Memphis

Full startup cost breakdowns — from lease deposits to working capital

📊 Cost of Living in Memphis

Monthly expenses for housing, food, transportation, and everyday necessities

🛡️ Insurance in Memphis

Annual and monthly premium estimates for major insurance categories

💰 Salaries & Jobs in Memphis

Annual compensation by experience level, role, and specialization

How Much Income Do You Need in Memphis?

✅ Best For

  • Outdoor enthusiasts
  • Remote workers keeping coastal salaries
  • Retirees on fixed incomes
  • First-time business owners

⚠️ Not Ideal For

  • Those seeking dense urban amenities
  • Workers in highly specialized tech roles
💬 Expert Tip

Before moving to Memphis, compare your target salary against local costs using our calculator. You may be pleasantly surprised by how far your income goes.

How Does Memphis Compare?

Pick a nearby city and see the full cost comparison across all 38 topics.

CostOfCity Value Index

D
Memphis Value Score: 36/100
Below Average
Affordability Ratio
2.41x
Stretched
Savings Potential
34%
of median income
Value Score
15/100
income-adjusted
Growth Risk
36/100
Stable costs

The CostOfCity Value Index combines cost-of-living data with median income, savings potential, and cost growth trends to produce a single score. Higher = better value for your money. Updated quarterly.

📦

Free Relocation Blueprint

Your complete moving budget for Memphis, TN

Monthly Budget
$2,535
Moving Costs
$2,000 – $4,500
Deposits Est.
$2,925
Cost Index
82

Get a personalized PDF with first-month costs, 12-month cash projection, neighborhood tips, and a moving checklist — tailored to your household size and origin city.

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Frequently Asked Questions About Memphis

What is the median household income in Memphis?

The median household income in Memphis is approximately $41,000 per year. Adjusted for local cost of living (index: 82), this goes further than in many US cities.

Is Memphis a good place to start a business?

Memphis's business environment is shaped by TN's regulatory framework and local commercial real estate costs. Below-average operating costs give businesses more runway to reach profitability. Check our business startup cost data for specific figures.

Is Memphis, TN expensive to live in?

Memphis's cost of living index is 82, which is 18% below the national average of 100. Memphis is one of the more affordable US cities.

Explore Memphis in Depth

🏠 Living Alone
Solo budget breakdown for Memphis
💰 Salary Needed
Minimum salary to live in Memphis
📊 Can I Afford It?
Budget check for Memphis
📋 Monthly Budget
Full monthly breakdown
🗺️ Tennessee Overview
Compare all cities in Tennessee

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