Cost of Living in Dothan, AL
Dothan, AL — prices, rents and what jobs really pay here after taxes.
Salary comparison calculator
What would you need to earn in Dothan, AL to keep the same lifestyle — after taxes — as in another city?
How expensive is Dothan, AL?
With a price level of 83.8 (U.S. average = 100), Dothan, AL is one of the most affordable places in the country. In detail, housing costs are 53% below average; everyday goods are 4% below average; utilities are 16% below average; other services such as healthcare and dining are 3% below average. The biggest difference from the national average is in housing.
Prices in Dothan, AL vs. the U.S. average
| Category | Index (U.S. = 100) | Difference |
|---|---|---|
| All items | 83.8 | −16.2% |
| Housing | 46.9 | −53.1% |
| Goods | 96.4 | −3.6% |
| Utilities | 84.3 | −15.7% |
| Other services | 96.7 | −3.3% |
Source: BEA Regional Price Parities, 2024.
Rent in Dothan, AL
| Unit | Monthly rent | Income needed (30% rule) |
|---|---|---|
| Studio | $746 | $29,840/yr |
| 1 bedroom | $751 | $30,040/yr |
| 2 bedrooms | $942 | $37,680/yr |
| 3 bedrooms | $1,264 | $50,560/yr |
| 4 bedrooms | $1,404 | $56,160/yr |
HUD Fair Market Rents, FY2026, population-weighted across the metro's counties.
Salary needed to live in Dothan, AL
To keep the same standard of living as in an average-priced U.S. city, you would need to earn roughly:
| Salary in an average U.S. city | Equivalent in Dothan, AL | Take-home here |
|---|---|---|
| $40,000 | $33,500 | $27,687 |
| $60,000 | $50,300 | $40,346 |
| $80,000 | $67,100 | $52,945 |
| $100,000 | $83,800 | $63,858 |
| $150,000 | $125,700 | $91,162 |
Scaled by the BEA price level (pre-tax). Take-home: single filer, Alabama 2026 taxes. For a tax-aware comparison with a specific city, use the calculator above.
A monthly budget on the median wage
A single worker earning Dothan, AL's median wage of $38,170 takes home about $2,601 a month. A typical one-bedroom rents for $751, which is 29% of take-home pay — within the 30% guideline that financial planners suggest. That leaves about $1,850 a month for everything else.
Take-home pay in Dothan, AL
- Federal income tax$2,400
- Social Security (6.2%)$2,367
- Medicare (1.45%)$553
- Alabama income tax$1,644
- Take-home pay$31,206
Marginal rate: 12% federal + 5.00% state
Highest-paying jobs in Dothan, AL
| Job | Median salary | Take-home | Real value* |
|---|---|---|---|
| Retail Salesperson | $28,770 | $24,123 | $28,775 |
*In U.S.-average dollars after adjusting for local prices.
Pay and living costs in Alabama cities
Half of Alabama’s 2,113,660 workers earn less than $45,670 a year and half earn more; the middle 50% earn $32,050–$66,790 (BLS, May 2025). Prices vary a lot within the state: Huntsville, AL stretches a paycheck furthest, while Daphne, AL is the costliest.
| Metro area | Median pay | Price level | 1-BR rent | Rent share | Left after rent / mo | Buying power* |
|---|---|---|---|---|---|---|
| Birmingham, AL | $47,770 | 91.6 | $1,115 | 35% | $2,088 | $41,945 |
| Huntsville, AL | $51,740 | 93.1 | $1,136 | 33% | $2,317 | $44,515 |
| Mobile, AL | $47,000 | 88.1 | $919 | 29% | $2,236 | $42,974 |
| Montgomery, AL | $44,950 | 89.7 | $870 | 29% | $2,156 | $40,493 |
| Columbus, GA | $43,540 | 89.3 | $936 | 32% | $2,002 | $39,478 |
| Tuscaloosa, AL | $45,220 | 87.7 | $943 | 31% | $2,100 | $41,630 |
| Daphne, AL | $38,520 | 94.7 | $1,200 | 46% | $1,422 | $33,235 |
| Auburn, AL | $39,070 | 87.9 | $1,045 | 39% | $1,612 | $36,260 |
| Decatur, AL | $46,280 | 87.2 | $776 | 25% | $2,334 | $42,789 |
| Dothan, AL | $38,170 | 83.8 | $751 | 29% | $1,850 | $37,224 |
| Florence, AL | $39,740 | 84.8 | $775 | 29% | $1,924 | $38,187 |
| Anniston, AL | $42,680 | 85.9 | $757 | 26% | $2,127 | $40,262 |
| Gadsden, AL | $36,660 | 85.7 | $792 | 32% | $1,714 | $35,105 |
*Yearly take-home pay (on each metro’s median wage, single filer) in U.S.-average dollars. Price level: BEA RPP 2024 (U.S. = 100). Rent: HUD FY2026 one-bedroom fair market rent.
Dothan, AL vs. similar-size cities
| Metro area | Price level | 1-BR rent | Median wage | Jobs |
|---|---|---|---|---|
| Dothan, AL | 83.8 | $751 | $38,170 | 60,720 |
| Sheboygan, WI | 94.0 | $888 | $51,890 | 60,630 |
| Jonesboro, AR | 85.9 | $838 | $42,240 | 60,620 |
| Chambersburg, PA | 94.6 | $1,119 | $47,540 | 60,280 |
| Alexandria, LA | 85.7 | $780 | $40,600 | 60,000 |
| Niles, MI | 92.4 | $902 | $45,980 | 59,970 |
| Santa Fe, NM | 98.8 | $1,390 | $48,710 | 61,770 |
Frequently asked questions
Is Dothan, AL expensive to live in?
According to the Bureau of Economic Analysis, overall prices in the Dothan, AL metro area are 83.8% of the U.S. average, with housing at 46.9%. It is the #385 most expensive of 387 metro areas we track.
What salary do you need to live in Dothan, AL?
To match the buying power of a $60,000 salary in an average-priced U.S. city you would need about $50,300 in Dothan, AL (before tax differences). The median wage across all jobs here is $38,170.
Can you afford Dothan, AL on the median wage?
A single worker on the $38,170 median wage takes home about $2,601 a month after 2026 taxes; a one-bedroom at $751 would take 29% of that.
How much is rent in Dothan, AL?
HUD’s FY2026 fair market rents for Dothan, AL are $746 for a studio, $751 for one bedroom, $942 for two bedrooms and $1,264 for three bedrooms, including utilities.
Top salaries by field in Dothan, AL
Sales and Related Occupations
- Retail Salesperson — $28,770