A+
9%
Overall NAT. AVG.
9%
Goods & Services NAT. AVG.
16%
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 Troy Alabama National
Cost of living9188100
Goods & Services9196100
Groceries9796100
Health care8087100
Housing8472100
Transportation9291100
Utilities104102100

An Overview of Cost of Living in Troy, AL

Understanding the cost of living in Troy 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 Troy cost of living index is 91, which is 9% lower 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.

The cost of living in Troy closely mirrors the national average in comparison to other cities nationwide. Essential items such as groceries, goods and services, health care and utilities are priced at a level consistent with similar urban areas. This means that residents of Troy can anticipate that their daily expenses will remain reasonably in line with those of an average city, contributing to a manageable cost of living.

Is Troy Affordable?

Wondering if Troy is affordable? It's a question that often comes up when you're thinking about a new city since affordability can really shape your decisions. The cost of living index (covered earlier), housing expenses and income levels all play a part in the affordability equation. In Troy, for example, the median home price is 12.9% lower than what folks pay nationally, and monthly rent is 22% lower than the usual rates. Plus, income levels matter too, with Troy boasting a median household income of $34,603, which is 37.5% lower than the national average.

What Factors can Influence the Cost of Living in Troy?

Healthcare: The costs associated with healthcare and insurance premiums can exhibit notable disparities based on the city or state of residence. Access to healthcare facilities, out-of-pocket expenses for medical appointments, dental care charges, prescription medication costs and specialized medical care expenses all contribute to variations in the cost of living. In Troy, healthcare costs are 20.1% lower than the national average.

Groceries: Grocery prices have seen substantial hikes in the last 2-3 years, with some markets witnessing food cost increases of over 20% during this period. Conversely, certain markets have experienced only moderate upticks. These variations in food expenses can have a substantial impact on the overall cost of living in any locality. In Troy, the groceries index is 3.1% lower than the national average.

Housing: Elevated demand for housing within coveted locales has the propensity to escalate both property values and rental rates, thereby serving as a primary catalyst for an augmented cost of living. Conversely, areas witnessing diminished housing demand, particularly within less desirable environs, often experience an inversely proportional effect, leading to price reductions and subsequently contributing to a more modest cost of living. In Troy, the housing index is 15.7% lower than the national average.

Where is the Data From?

The cost of living data in Troy 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 Troy is 3% higher than the Alabama average
  • The cost of living in Troy is 9% lower than the national average
  • Troy housing is 16% lower than the national average
  • Alabama general sales tax is 22% lower than the national average
  • Alabama state income tax is 23% lower than the national average

Most Affordable Places to Live in and Around Troy

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Compare Troy, AL Cost of Living

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      Salary Calculator

      This is how much you would need to earn in
      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$69,509$5,792$1,622$2,085
      Renters$17,396$1,450$406$522
      The percentage of monthly income spent on housing related expenses can help predict the affordability of housing in Troy, AL, as well as what the overall cost of living might be. Generally, a good rule to follow is that the debt-to-income (DTI) level you want to maintain is 28 percent or less of your income on your rent or mortgage payments and not more than 36 percent of income on all expenses and debts. In Troy, homeowners have a median income of $69,509. Using that number, a maximum of $1,622 per month should be allocated to housing expenses. For those who are renting instead of owning, the median income is $17,396, which means there is a maximum of $406 to be spent on the costs of renting a home or apartment.

      Alabama Sales Tax

      State General Sales Tax With Max Surtax
      Alabama 4% 13.5%

      Alabama Income Tax

      State Income Tax (Low) Income Tax (High)
      Alabama 2% 5%

      Goods & Services

      Item Troy National avg. Difference
      Haircut $23.07$24.264.9%
      Beauty Salon $43.53$45.564.5%
      Toothpaste $3.65$3.701.5%
      Shampoo $1.31$1.282.0%
      Movie $9.44$12.1322.2%
      Bowling $12.00$18.0033.3%

      Groceries

      Item Troy National avg. Difference
      Ground Beef $5.97$5.842.2%
      Fried Chicken $1.67$1.576.2%
      Milk $4.55$4.672.7%
      Potatoes $5.20$4.935.3%
      Pizza $11.39$12.095.7%
      Beer $10.73$10.413.1%

      Health Care

      Item Troy National avg. Difference
      Optometrist $93.60$125.6825.5%
      Doctor $104.44$135.7823.1%
      Dentist $73.11$113.2935.5%
      Ibuprofen $10.24$10.653.9%
      Lipitor $514.17$468.609.7%

      Housing

      Item Troy National avg. Difference
      Home Price $160,800.00$184,700.0012.9%
      Avg. Mortgage Payment $1,788.13$2,346.6923.8%
      Apartment Rent $740.00$949.0022.0%

      Transportation

      Item Troy National avg. Difference
      Gasoline $3.18$3.468.0%
      Tire Balancing $54.09$59.929.7%

      Utilities

      Item Troy National avg. Difference
      All Electricity $201.74$193.994.0%
      Phone $200.70$192.254.4%
      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.
      Glenwood, AL2547228.3%
      Petrey, AL607722.7%
      Brundidge, AL2,4328416.5%
      Ariton, AL7318415.5%
      Goshen, AL2228416.2%
      Troy, AL18,995919.3%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Sainte-Catherine, QC19,000n/a 
      Rosedale, CA19,00313837.9%
      Altamont, OR18,982991.3%
      Cimarron Hills, CO18,98111211.6%
      Stevenson Ranch, CA18,98019291.8%
      Troy, AL18,995919.3%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.