Cost-of-Living Salary Calculator
Example: Current annual salary: 80000 $ · Cost-of-living index (current city): 100 · Cost-of-living index (new city): 145
| Salary needed in new city | $116,000 |
| Difference vs current | $36,000 |
| Percent change needed | 45.00% |
Worked example
Suppose you earn $80,000 in a city with a cost-of-living index of 100 and are considering a move to a city with an index of 145. Multiply $80,000 by 145 divided by 100 and you get $116,000 — you would need $116,000 in the new city just to break even, or $36,000 more, a 45% higher salary. If the offer is only $95,000, it is effectively a pay cut in real terms once housing and everyday costs are factored in.
Frequently asked questions
Where do I find cost-of-living index numbers?
Many free cost-of-living comparison sites and the government's regional price parity data publish an index where 100 is the national average. Enter your current city's index in the first field and the destination's in the second. If a tool gives you a single percentage difference instead, set the current index to 100 and the new index to 100 plus that percentage.
Why is the index-based approach better than a flat percentage?
A flat cost-of-living raise ignores that housing, taxes, and services differ enormously between cities. Index numbers bundle those categories into one ratio, so scaling your salary by the ratio of the two indexes preserves your actual purchasing power rather than a rough guess.
Does this account for state income taxes?
Only if the index you use includes taxes; many do not. If you are moving between states with very different income tax rates, run our take-home pay estimate on both the current and required salaries to see the after-tax picture, which can shift the decision meaningfully.
What if the new city is cheaper?
Then the required salary comes out lower than your current one, and the difference is negative — meaning you could accept a smaller salary and still come out ahead. This is common when moving from a coastal hub to a lower-cost region, and it is why remote workers relocating often keep more of their pay.