Is Phoenix, AZ cheaper than Newark, NJ?

Based on cost of living data, Phoenix, AZ is 38.6% cheaper than Newark, NJ. This translates to saving $2893 per month.

What salary do I need in Phoenix, AZ to live like I do in Newark, NJ?

If you earn $150,000 in Newark, NJ, you'd need approximately $115,285.714 in Phoenix, AZ to maintain the same standard of living.

How does housing cost compare between Newark, NJ and Phoenix, AZ?

Housing in Phoenix, AZ is 63.5% cheaper than in Newark, NJ. For a two-bedroom apartment, rent is $1,750/month in Phoenix, AZ compared to $1,930/month in Newark, NJ.

How much can I save per month by moving from Newark, NJ to Phoenix, AZ?

Moving from Newark, NJ to Phoenix, AZ could save you approximately $2893 per month, or $34714 per year, based on a $150,000 salary.

Newark, NJ vs Phoenix, AZ: Cost of Living Comparison 2026

MoveNumbers

Tap to swap

Cost of Living Comparison 2026

Current salary in Newark, NJ

Numbers update automatically as you type

You'd save $2.9K/month moving to Phoenix, AZ

$150.0K in your current city equals $115.3K in Phoenix, AZ

Rent data from HUD ZIP-level estimates · COL index from New York-Newark-Jersey City, NY-NJ-PA area

Overall Cost

↓ 38.6%

Less expensive

Monthly Impact

$2,893

Savings

Annual Impact

$34.7K

Per year

Based on monthly living costs (rent, groceries, utilities, transport, healthcare). Home purchase prices shown separately below.

Newark, NJ

Population:312K

Cost Index:100

Median Home:$484K

Phoenix, AZ

Population:1608K

Cost Index:61

Median Home:$414K

Newark, NJ

The Garden State

312K

Population

State Tax

Yes

Located in New Jersey, this city has a population of 312K residents.

Phoenix, AZ

The Grand Canyon State

1.6M

Population

State Tax

Yes

Climate

Hot desert

Notable Facts

•Fastest growing major city
•Desert metropolis
•Spring training capital

Major Industries

TechnologyHealthcareTourismManufacturing

Cost Breakdown by Category

Annual spending: Newark, NJ vs Phoenix, AZ

Category	Newark, NJ	Phoenix, AZ	Difference	Change
🏠Housing	$7,648/mo	$2,788/mo	↓ $4,860less	63.5%
📦Other	$2,034/mo	$1,677/mo	↓ $357less	17.5%
🛒Groceries	$1,165/mo	$963/mo	↓ $202less	17.3%
🚗Transportation	$1,602/mo	$1,489/mo	↓ $113less	7.1%
🏥Healthcare	$688/mo	$589/mo	↓ $99.13less	14.4%
⚡All Utilities	$600/mo	$561/mo	↓ $38.80less	6.5%

🏠Housing

↓ 63.5%

Newark, NJ

$7,648

Phoenix, AZ

$2,788

Difference

$4,860

less

📦Other

↓ 17.5%

Newark, NJ

$2,034

Phoenix, AZ

$1,677

Difference

$357

less

🛒Groceries

↓ 17.3%

Newark, NJ

$1,165

Phoenix, AZ

$963

Difference

$202

less

🚗Transportation

↓ 7.1%

Newark, NJ

$1,602

Phoenix, AZ

$1,489

Difference

$113

less

🏥Healthcare

↓ 14.4%

Newark, NJ

$688

Phoenix, AZ

$589

Difference

$99.13

less

⚡All Utilities

↓ 6.5%

Newark, NJ

$600

Phoenix, AZ

$561

Difference

$38.80

less

🏛️ Local Income Taxes

Newark, NJ: Newark Payroll Tax$1,500/yr (1.0%)

Phoenix, AZ has no local income tax.

Local taxes are in addition to state income tax. Not all cities levy local income taxes.

🏠Rent Comparison

Studio

From$1,400

To$1,390

↓ $10.00

1 Bed

From$1,600

To$1,510

↓ $90.00

2 Bed

From$1,930

To$1,750

↓ $180

3 Bed

From$2,430

To$2,330

↓ $100

Newark, NJZIP-level data

1BR range: $1,600–$1,610/mo

Phoenix, AZZIP-level data

1BR range: $1,300–$2,380/mo

💡 Note: Rent prices are based on HUD Fair Market Rent data and represent median costs. Actual prices vary by neighborhood, amenities, and condition. Source: HUD Small Area Fair Market Rents FY2026.

$13,737

Monthly in Newark, NJ

$8,068

Monthly in Phoenix, AZ

$5,669

Difference

Home Values

Newark

Phoenix

$484K

Median Value

$414K

↓ -0.4%

YoY Change

↓ -3.1%

↑ +30.9%

5-Year Change

↑ +30.2%

$395K - $565K

Price Range

$274K - $957K

Homes in Phoenix are 14% less expensive than Newark

Calculate payment - Newark Calculate payment - Phoenix

Source: Zillow Home Value Index (ZHVI), January 2026

Tax Comparison

Annual tax burden comparison at $150.0K salary

Tax Savings

↑ $2.2K

Per year

Monthly Difference

$183

More take-home

Effective Rate Diff

1.5%

Rate difference

Newark, NJ

Federal Income Tax

Effective: 18.9%

$25.5K

New Jersey State Tax

Effective: 5.0%

$7.4K

FICA Taxes

Social Security + Medicare

$11.5K

Total Taxes

Effective: 29.6%

$44.4K

Take-Home Pay

$8,796/month

$105.6K

Phoenix, AZ

Federal Income Tax

Effective: 18.9%

$25.5K

Arizona State Tax

Effective: 3.5%

$5.2K

FICA Taxes

Social Security + Medicare

$11.5K

Total Taxes

Effective: 28.2%

$42.2K

Take-Home Pay

$8,979/month

$107.8K

Additional Tax Information

Newark, NJ Tax Rates

Sales Tax:6.6%

Property Tax:2.5%

Phoenix, AZ Tax Rates

Sales Tax:8.5%

Property Tax:0.6%

💡 Note: Tax calculations are estimates based on 2024/2025 tax brackets for single filers with standard deduction. Actual taxes may vary based on filing status, deductions, credits, and local variations.