Cost of Living in Memphis, TN 2024

Memphis is often referred to as the "Home of the Blues" and the "Birthplace of Rock 'n' Roll" with a special place in American music history. The city is known for its deep musical roots where legends like Elvis Presley, B.B. King, and Johnny Cash started their careers and turned Beale Street into a renowned hub for live music and entertainment.

Situated along the Mississippi River, Memphis offers a diverse blend of cultural attractions, history, and modern living. From soul food restaurants to trendy coffee shops, local breweries, and a bustling downtown scene, Memphis provides a unique mix of urban excitement and Southern charm. The city’s affordable cost of living and welcoming communities attract a variety of residents, from young professionals to growing families.

Memphis also boasts a growing sports scene with teams like the Memphis Grizzlies bringing excitement to basketball fans. Outdoor enthusiasts can also explore scenic trails at Shelby Farms Park or take in the views along the Mississippi Riverfront. From music to cuisine and a lively social scene, you can enjoy the best of what Memphis has to offer at a reasonable cost of living.

Cost of Living in Memphis

What Is the Cost of Living in Memphis?

If you’re interested in moving to Memphis—we’re right behind you! Memphis recently experienced one of the largest population decreases in the state over the past five years. However, it's expected to grow slightly in 2024. The average cost of living in Memphis is about 14.2% lower than the national average and is an affordable place to settle. The cost of living accounts for groceries, housing, utilities, transportation, and other factors that will impact your day-to-day cost of living.

Where Is the Cost of Living Highest in Memphis?

Moving to Memphis won’t break the bank, as Memphis boasts a low score on the cost-of-living index. But like in any other city, if you're looking for a modern apartment with upgrades, amenities, covered parking, and a swimming pool, you'll pay a premium. [River Oaks] in Memphis (https://www.apartmentlist.com/tn/shelby-county/zip-38120) is among the most upscale and priciest places to live in the Memphis area. A one-bedroom in River Oaks will run about $1,400 a month and a two-bedroom runs around $1,900. Although the prices are high in this exclusive neighborhood, the surrounding area of Memphis is still known for its affordability.

Where Is the Cost of Living Lowest in Memphis?

The good news is there are plenty of affordable neighborhoods in Memphis to choose from. West Memphis is among the cheapest places to live in Memphis. A one-bedroom apartment will cost about $600 and a two-bedroom will run $750. Of course, you'll need to consider safety and local crime and stay diligent about your surroundings. Many parts of West Memphis have a significantly higher crime rate than the rest of the country.

How Much Is Rent in Memphis?

After looking over rental data from October 2024, the average rent for a one bedroom apartment in Memphis is $785 a month. We also looked at other median rental prices around Memphis to give you a better idea of what to expect from moving to Memphis.

How Much Is a 1-Bedroom Apartment in Memphis?

If you're moving to Memphis for college, work, or to enjoy the music and nightlife in Memphis, you'll spend around $915 a month for a one-bedroom apartment. After looking over our most recent data, we found that rents in Memphis are stable since last year, but show a slight 1.5% increase year-over-year.

How Much Is a 2-Bedroom Apartment in Memphis?

If you need more room or want to move in with a roommate, you'll pay a median of $1,037 on rent every month. Similar to one-bedroom apartments, our data from October 2024 also shows a slight increase in rents year-over-year for a two-bedroom apartment in Memphis.

What Salary Do I Need to Live in Memphis?

We know rent alone doesn't show the true costs of the cost of living or what to spend in Memphis. We recommend following the 30% rule, which recommends only spending up to one-third of your salary on rent to live comfortably. If you follow the 30% rule and rent a one-bedroom apartment that costs $915, you should earn at least $36,660 a year, which breaks down to $17.63 an hour.

It's also a good idea to look at the living wage in Memphis, which is $20.60 per hour for a single adult or $33.37 for two working adults with a child. The basic wage is higher than the minimum wage and reflects what you need for the essentials, including rent, food, transportation, and other must-haves in your budget. However, the living wage does not reflect travel, savings, or student loan repayments.

We took a look at how Memphis' salary compares to the rest of the country. The median household income in Memphis is currently $48,090 per year or roughly $23.12 per hour. The median household income in the United States is $75,149, showing that you can live comfortably in Memphis with a reasonable salary.

How Much Are Utilities in Memphis?

The average utility bills in Memphis are higher than the U.S. average and will drive up your cost of living. You can expect a basic utility bill in Memphis, which includes electricity, heating, cooling, water, and garbage for a 915 sq ft apartment will run about $226.54 per month.

You'll probably want Internet or extras like cable, which will raise your monthly costs. Internet in Memphis (60 Mbps or More, Unlimited Data, Cable/ADSL) will increase your utility bills by approximately $69.60 and will bring up your bill to $299.37 a month. Memphis enjoys temperate weather, but you should expect to see heat waves in the summer months.

How Much Is Child Care in Memphis?

If you have a family or are considering one in the near future, there's more costs to consider. Childcare is a significant cost across the country, but MIT’s latest data shows it's a bit less in Memphis than other parts of the country. You can expect to spend around $8,320 for the annual cost of one child at daycare in Memphis. For two children, you’ll spend around $16,613.

That figure will change, depending on where you decide to rent an apartment in Memphis. Some daycares in exclusive, upscale neighborhoods will be more expensive than others. Looking into part-time child care, a nanny share, or juggling work schedules with a partner can help you reduce your overall child care costs.

Memphis Transportation

According to MIT data on the cost of living in Memphis, single adults should expect to pay $10,113 on transportation costs annually. A family of four in Memphis can expect to pay $14,743 on transportation costs annually.

Unfortunately, Memphis is simply not a city that makes it easy to get around without your own set of wheels. Memphis has a low 35 walk score, a dreadful 22 transit score, and a needs-lots-of-improvement 41 bike score.

Although it’s strongly recommended that you have a car in Memphis, there are some significant costs related to vehicle ownership that may cause you to consider using public transportation.

In Memphis, a single-day pass for public transportation is $2. You can also buy a 21-day pass for as low as $45. Ditching the car and taking public transportation could be well worth the trade-off of the inconvenience of not having your own car.

How Much Are Groceries in Memphis?

Food costs are a major budget line item, so it’s best to prepare for them. Here’s a look at the annual grocery costs in Memphis, according to data from MIT’s Living Wage Calculator, a single adult will spend $4,217 per year on groceries and food and a family of two working adults and two children will pay $9,624.

Fortunately, when you move to Memphis, you won’t need to look very far for delicious food. The city is known for its delightful barbecue options among many more delectable options.

According to data from Numbeo, a meal at an inexpensive restaurant is about $17.50, not including dessert or alcohol. If you plan on grabbing a mid-tier, three-course meal in Memphis, you can expect to pay $65.

Memphis Fitness & Entertainment

If you prioritize fitness and want a gym membership, you'll also spend about $37.67 per month. You can also eliminate this expense altogether by looking for an apartment with a gym or choosing a lower-cost option like the YMCA.

Living in a city like Memphis means you’ll be near tons of entertainment options. Of course, this means that every budget line item won’t be reserved for essential living expenses. MIT’s Living Wage Calculator puts a single Memphis resident’s annual civic costs (entertainment and recreation spending) at $2,165, while civic costs for a family of three amount to $4,795 per year. Movie lovers will spend around $12.50 at the cinema without accounting for drinks and snacks.

Find Your Next Apartment in Memphis

Now that you have a good idea of what to expect from the cost of living in Memphis, you can figure out the best apartment for your budget. We can help you get started with your apartment hunt with our quiz and start checking out thousands of available apartments. We'll also show you the cheapest apartments in Memphis to make your search as easy as possible.

FAQs: Cost of Living in Memphis in 2024

How much money do you need to live comfortably in Memphis?

If you apply the 30% rule for budgeting and are renting a one-bedroom apartment in Memphis for $915 a month, you should ideally earn around $36,660 per year, which breaks down to about $17.63 per hour. The goal is keep your rent at 30% of your income or less to life a comfortable lifestyle. It’s also worth considering MIT’s living wage estimate for Memphis, which stands at $20.60 per hour. This figure represents the minimum amount needed to cover basic living expenses without any room for savings or debt repayments.

Where is the most affordable place to live in Memphis?

Renting a one-bedroom apartment in Memphis is one of the more affordable choices, with an average cost of $915 per month. For those looking to save even more, consider a studio apartment or sharing a space with a roommate. For budget-friendly options, neighborhoods like West Memphis stand out, where the average rent for a one-bedroom apartment is around $600. If you’re looking for a two-bedroom unit, you’ll find prices in West Memphis typically around $750, offering a more economical living arrangement.

What is the average electric bill in Memphis?

Utility bills in Memphis typically average about $226.54 per month, though they can fluctuate with the weather, increasing during summer heatwaves or dipping in cooler winter months. For a clearer picture of what to expect in your budget, explore these tips on calculating your utility costs