The Real Costs of Living in Atlanta

The Atlanta Metropolitan Area, which includes Sandy Springs and Alpharetta, is the ninth largest metropolitan area in the nation and one of the fastest growing metro areas in the nation. It currently has a population of more than 6 million and ranks seventh among metro areas for net migration, according to the Metro Atlanta Chamber.

One reason so many people are moving to Atlanta is jobs. The city has a low unemployment rate and good paying jobs that offset its higher-than-average cost of living. It’s a hub for financial technology, but those seeking work can also find employment at Atlanta-based Fortune 500 companies like The Home Depot and Delta Airlines.

After work, Atlanta has a lot to offer, too. The city is made up of nearly 45 neighborhoods, each with its own unique flavor. It has a nationally-recognized food scene and is a hot spot for music and sports.

Ready to move? Here’s what you need to know about the cost of living in Atlanta.

Cost of living

According to AreaVibes, Atlanta has an overall cost of living index score of 105, which is 5 percent higher than the national average of 100. The cost of living index score indicates how expensive (or inexpensive) it is to live in a particular city. If a city’s index score is higher than 100, then the cost of living is above average. If a city’s index score is lower than 100, then the cost of living is below average.

You will pay more for just about everything in Atlanta, except for utilities. Housing is the biggest culprit, coming in at 16 percent above the national average, according to AreaVibes, although current Realtor.com listings indicate the nation’s housing prices are catching up to Atlanta. You’ll also pay 5 percent more than the national average for groceries. Numbeo estimates that the monthly costs for a family of four, not including rent, is $3,629.

While the cost of living in Atlanta is above the national average, communities elsewhere in the state are below the national cost of living average. For example, you’ll pay less for goods and services in other parts of the state than in the Atlanta metropolitan area. If you can work remotely and can find reasonably-priced housing, it may make sense to look outside Atlanta.

Jobs

The current unemployment rate in the Atlanta metropolitan area is 3.1 percent, which is below the national rate of 4.8 percent (at the time this article was written), according to the U.S. Bureau of Labor Statistics.

Atlanta is home to 16 Fortune 500 companies, including The Home Depot, United Parcel Service (UPS), The Coca-Cola Company and Delta Airlines. It also lays claim to 13 Fortune 1000 companies. In addition to Fortune 500 and 1000 companies, the 15 top employers in Atlanta are Emory University, Publix Super Markets, The Kroger Co., AT&T, Marriott International, Cox Enterprises, the Center for Disease Control and Prevention (CDC) as well as several hospitals and healthcare companies.

Financial technology is a big industry in Atlanta, with the information regarding 70 percent of all global sales passing through the city, according to the Atlanta Small Business Network. You’ll find jobs in this field at Worldpay, TSYS, Fiserv and First Data. Atlanta is also known for logistics and supply chain jobs as well as healthcare information technology and advanced manufacturing.

Salary

The median household income in Atlanta is $66,657, with a typical resident making $54,414, according to the U.S. Census data. The Atlanta-Sandy Springs-Alpharetta Metropolitan Area has a slightly higher median household income of $71,742. However, the typical resident in the area makes $37,331, suggesting that households in the greater metro area have at least two earners.

According to the Metro Atlanta Chamber, the top five occupations by salary are computer systems analysts, software developers, computer occupations, managers and sales managers. These professions earn between $80,000 and $100,00 per year in Atlanta. Registered nurses and truck drivers come in a close second at $70,000 per year.

Real estate

According to Realtor.com, the median listing home price in Atlanta is $393,000, with an average of $250 per square foot. This is slightly higher than the current national median home listing price of $380,000. Depending on where you move in the Atlanta Metropolitan Area, prices can be substantially higher. However, the square footage could be greater. The median listing home price in Sandy Springs is $577,500, with an average of $203 per square foot, while the median listing home price in Alpharetta is $525,000, with an average of $188 per square foot.

There are approximately 224,000 households in Atlanta and 2.2 million in the metropolitan area, according to the most recent U.S. Census Data. Roughly 47 percent of housing units are owner-occupied in Atlanta and 64 percent are owner-occupied in the greater metropolitan area. The rest are rentals. If you choose to rent, you’ll pay an average of $1,723 per month for a one-bedroom apartment. This is 16 percent higher than what you would have paid in 2020.

Taxes

Georgia has a progressive state income tax. The more you earn, the more you pay and that is based on your federal adjusted gross income. The scale ranges between 1 percent for those in the lowest bracket and 5.75 percent for top earners. However, if you plan to retire in Georgia, good news! The state does not tax Social Security retirement benefits and provides a deduction of $65,000 per person on retirement income for anyone over 65. Additionally, Georgia has no inheritance or estate taxes.

When it comes to purchases, Georgia levies a sales tax of 4 percent on sales. It allows local governments to collect up to an additional 4 percent on sales. The average sales tax in the state is 7.527 percent. In the city of Atlanta, the total sales tax is 8.9 percent, which includes the 4 percent state sales tax, 3 percent county sales tax, 1.5 city sales tax and a .4 special tax.

Because the Atlanta Metropolitan Area encompasses 29 counties, it’s hard to give a definite answer when it comes to how much you’ll pay in property taxes. Each area has a different millage rate, which is equal to $1 per $1,000. Before you purchase a home in the Atlanta area, make sure you understand how the property taxes are calculated there and what you can expect to pay.

Transportation

The Atlanta-Sandy Springs-Alpharetta Metropolitan Area covers 8,685 square miles, making a car a necessity unless you live and work in areas easily accessible by public transportation. Expect to spend a lot of time in the car. The mean travel time to work in the metropolitan area is 32.5 minutes. This is 20 percent higher than the national average of 27.6 minutes. According to Gasbuddy.com, the average price of regular unleaded gas in the Atlanta area is $3.03 while the national average is $3.25 (at the time this article was written).

Although the Atlanta metropolitan area is car-dependent, the city’s rail, bus and streetcar transportation system, MARTA, serves 1.7 million residents annually. Rail and bus fares are $2.50 each way, which includes four free transfers in the same direction. You can also purchase a single ($9) or multi-day train pass (starting at $14 for two days). A 30-day pass costs $95. Streetcar fares are $1 per ride and no transfers to the rail or bus.

Other reasons to move to Atlanta

• Atlanta is home to 300 recording studios, 60 music venues and 30 music festivals, including the Atlanta Jazz Festival, Imagine Music Festival and ONE Musicfest.
• If you enjoy the arts, the city has more than 50 visual arts galleries and more than 30 playhouses and theatres. It also has two Smithsonian affiliates: the Georgia Aquarium and David J. Sencer CDC Museum.
• Although Atlanta gets less than two inches of annual snowfall, it does experience all four seasons. The average temperature during its hottest month, July, is 89 degrees Fahrenheit. During its coldest month, January, the average temperature is 34 degrees Fahrenheit.
• Love food? In the last five years, Atlanta chefs have received 49 semifinalist nominations for James Beard Awards.
• Atlanta is a very inclusive city. It has received a perfect score on the Human Rights Campaign Municipal Equality Index for eight consecutive years.

Ready to move to Atlanta?

For more information about Atlanta, check Moving.com’s City Profile Report feature. Simply enter the zip code or the state and city of your potential move to get a free report with city demographics, real estate information, quality of life factors and more. For help the best moving company, check Moving.com’s extensive network of reputable and reliable movers.