F
106%
Overall NAT. AVG.
14%
Goods & Services NAT. AVG.
305%
Housing NAT. AVG.
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Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index Albany California National
Cost of living206140100
Goods & Services114111100
Groceries117112100
Health care121109100
Housing405196100
Transportation129126100
Utilities134127100

An Overview of Cost of Living in Albany, CA

Understanding the cost of living in Albany can help future residents assess whether their current financial situation aligns with the expenses they will encounter. It enables them to plan for potential changes in their budget and lifestyle. The Albany cost of living index is 206, which is 106% higher than the national average. The cost of living index is calculated by taking into account multiple categories, which encompass both the cost of everyday expenditures and larger expenses as well.

If you prioritize affordability when seeking a new place to live, Albany may not be your ideal choice, as it ranks among the most expensive locations in the entire United States. A very small amount of areas exhibit a cost of living at least 20% higher than the national average, and unfortunately, Albany falls into this category, which may not align with your preferences for a budget-friendly living environment.

Housing costs significantly influence the Albany cost of living index, typically accounting for a substantial portion of one's post-tax income. Regrettably, within this particular region, expenses related to both residential ownership and renting exceeded those observed in an average city by 304.9%. This entails elements such as housing and rental prices, mortgage interest rates and insurance costs.

The things you purchase regularly, like clothes, haircuts, movie tickets and gym memberships, can make a big dent in your budget and make up 33% of the cost of living index. Unfortunately in Albany, these items will cost you 14.1% more than what's considered the norm, making it a more expensive place to call home.

The relentless increase in grocery prices is a noteworthy trend. In the last two years, grocery costs have experienced an upward trajectory of over 10%. Unfortunately, Albany is no exception, where grocery prices are 17.2% above the national average.

What Do Locals Say About the Cost of Living in Albany?

Locals have the inside scoop on their city. So, we polled 5 residents in Albany to learn how they view the cost of living. We asked how they felt about the cost of living in their area, and if they thought that prices were increasing, decreasing or staying the same. The verdict? 0% find it reasonable with decreasing prices, but 100% think it's quite pricey, with prices that continue to rise.

Is Albany Affordable?

Is Albany an affordable place to live? It's a good question and one that you might want to ask when considering any new city, as affordability can play a huge role in the decision making process. The cost of living index (which we covered above), as well as housing costs and income levels play a vital role in determining the affordability of an area. The median home price in Albany is 391.4% higher than the national average, while the average monthly rent prices are 103.1% higher than average. The affordability of any location can also be influenced by median income levels. Albany has a median household income of $103,132, which is 86.4% higher than the national average.

What Factors can Influence the Cost of Living in Albany?

Subsidies: Certain cities or states may implement government subsidies or assistance programs with the goal of alleviating the cost of living pressures on their residents. These programs encompass a broad spectrum of support mechanisms, including Medicare, Medicaid, housing subsidies, low-income home energy assistance programs, school lunch programs, supplemental nutrition assistance programs, student loans, electric vehicle tax credits, affordable care act subsidies and farming subsidies. Areas offering fewer subsidies may experience a rise in their cost of living.

Healthcare: Healthcare expenditures and insurance premium rates can vary significantly, contingent upon the particular city or state. Factors such as the accessibility of healthcare facilities, out-of-pocket expenses for doctor's appointments, dental care charges, prescription medication costs, and expenses related to specialized medical care can all have an impact on the overall cost of living. In Albany, healthcare costs are 21.2% higher than the national average.

Utilities: Similar to the prices of any other goods or services, utility expenditures can exhibit substantial variability, influenced by factors such as climate, energy sources accessibility, geographical location and state regulations. Costs related to electricity, water, heating, and waste disposal can fluctuate, whether higher or lower, contingent on the city or state. In Albany, the utilities index is 33.7% higher than the national average.

Where is the Data From?

The cost of living data in Albany displayed above is sourced from the C2ER cost of living index, which serves as a practical tool for comparing living expenses across urban areas. Published on a quarterly basis, this index aggregates data from over 300 independent researchers, encompassing more than 60 goods and services, in 6 different categories. The weightings assigned to cost differences rely on government survey data that tracks the spending habits of professional and executive households. It's worth noting that the C2ER index excludes data on sales or income tax rates, while AreaVibes integrates tax rates into the overall cost of living evaluation for each region.

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Cost Of Living Quick Facts

  • The cost of living in Albany is 47% higher than the California average
  • The cost of living in Albany is 106% higher than the national average
  • Albany housing is 305% higher than the national average
  • California general sales tax is 42% higher than the national average
  • California state income tax is 56% lower than the national average

Most Affordable Places to Live in and Around Albany

See all the best places to live around Albany

Compare Albany, CA Cost of Living

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      Salary Calculator

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      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$152,417$12,701$3,556$4,573
      Renters$81,447$6,787$1,900$2,444
      The affordability of the housing market in Albany, CA as well as the overall cost of living can be predicted by what percent of the monthly income is spent on housing related costs. This is konwn as the debt-to-income ratio (DTI). The overall rule of thumb is that no more than 28% of your gross income should be spent on the overall costs related to housing and no more than 36% of gross income on all expenses and debts. Among Albany homeowners, the median income is $152,417. This indicates that a monthly maximum of $3,556 should be spent by homeowners on all housing related costs. Renters have a median income of $81,447. This indicates that renters would have a maximum of $1,900 for their rent related monthly costs.

      California Sales Tax

      State General Sales Tax With Max Surtax
      California 7.25% 10.5%

      California Income Tax

      State Income Tax (Low) Income Tax (High)
      California 1% 12.3%

      Goods & Services

      Item Albany National avg. Difference
      Haircut $25.00$24.263.0%
      Beauty Salon $76.00$45.5666.8%
      Toothpaste $3.64$3.701.7%
      Shampoo $1.45$1.2813.5%
      Movie $16.46$12.1335.7%
      Bowling $27.22$18.0051.2%

      Groceries

      Item Albany National avg. Difference
      Ground Beef $5.70$5.842.3%
      Fried Chicken $3.43$1.57118.2%
      Milk $4.91$4.675.1%
      Potatoes $4.87$4.931.3%
      Pizza $13.49$12.0911.6%
      Beer $11.18$10.417.4%

      Health Care

      Item Albany National avg. Difference
      Optometrist $137.40$125.689.3%
      Doctor $110.00$135.7819.0%
      Dentist $118.27$113.294.4%
      Ibuprofen $11.76$10.6510.4%
      Lipitor $508.17$468.608.4%

      Housing

      Item Albany National avg. Difference
      Home Price $907,700.00$184,700.00391.4%
      Avg. Mortgage Payment $6,553.90$2,346.69179.3%
      Apartment Rent $1,927.00$949.00103.1%

      Transportation

      Item Albany National avg. Difference
      Gasoline $4.60$3.4633.0%
      Tire Balancing $60.97$59.921.7%

      Utilities

      Item Albany National avg. Difference
      All Electricity $182.51$193.995.9%
      Phone $180.31$192.256.2%
      Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

      Nearby cities with low cost of living

      City Population Cost of Living Index National Avg.
      Strawberry CDP (Tuolumne County), CA11612524.6%
      Port Costa, CA24212020.0%
      Pacheco, CA4,77511615.7%
      El Cerrito CDP, CA5,69914039.6%
      San Pablo, CA30,95914242.0%
      Albany, CA20,145206105.5%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Germantown, WI20,14211212.0%
      Charleston, IL20,141918.9%
      Ferndale, MI20,1391000.5%
      Cocoa, FL20,151919.1%
      South St. Paul, MN20,1321000.3%
      Albany, CA20,145206105.5%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.