Memphis, TN variant. This is a Memphis, TN-specific version of the Budget Calculator, using pre-defined local figures (tax rates, median home and income values, and typical regional costs). For the full formula, methodology, and FAQ, open the main Budget Calculator.
Budgeting in Memphis means stretching the $49,978 median income ($4,165/month) against a cost-of-living index of 84 and $1,300/month median rent.
50/30/20 in Memphis
On $4,165/month, the rule allots $2,082 needs, $1,249 wants, $833 savings. But Memphis rent alone ($1,300/month) is 62% of the needs bucket.
In high-index metros, housing often blows past 50% - forcing roommates, longer commutes, or higher income.
About Memphis, TN
Memphis residents pay no state or city income tax, since Tennessee does not impose a personal income tax on wages.
Memphis is one of the more affordable large-city housing markets in the country, with low home prices and rents.
Memphis's economy is anchored by logistics and distribution, serving as a major national shipping and freight hub.
Worked example: rent share in Memphis
$1,300 rent ÷ $4,165 monthly income = 31% of gross - well above the 30% rent-burden threshold if over 30%.
Quick reference
- Median home value: $165,000
- Median rent: $1,300/mo
- Median household income: $49,978
- Local sales tax: 9.75%
- Effective property tax rate: 0.75%
- Cost of living index: 84 (US avg = 100)
Frequently Asked Questions
How much does it cost to live in Memphis?
Median rent is $1,300/month with a cost index of 84; budget needs around $2,082/month on the median income.
Is rent affordable in Memphis?
Median rent is 31% of the median monthly income - above the 30% affordability guideline.