How Much Does it Cost to Live Comfortably in Philadelphia

Are you thinking about moving to Philadelphia, but you aren’t sure about the living costs? This concern is a reasonable one.

You might have many job prospects in the city to guarantee a source of income. You could even have stored enough savings to get you through rocky times when you don’t have work.

All the same, even a healthy surplus of funds can evaporate if you’re living beyond your means. 

A delicate balance must also be considered. We can give you a spoiler that Philly is more expensive than many communities throughout the US. However, The City Of Brotherly Love is a thriving cultural hub. It offers more quality-of-life benefits than other, more upfront-affordable places in the country.

Even still (prepare for another spoiler), you’ll find that Philadelphia is very affordable for a big city. It possesses a similar pulse to areas like New York and Los Angeles without being comically expensive. 

In this blog, we’ll explore the question, “How much does it cost to live comfortably in Philly?”

The Cost Of Living In Philadelphia

Without considering rent, living in Philly costs the average family $4,322.70 per month. It’ll cost one person about $1,196.90 to live in Philly.

You’ll notice that the average cost of rent in Philly fluctuates depending on your source. We’re using Numbeo as our source in this particular article, which provides the following numbers for monthly rent:

• 
  The average rent per month for a one-bedroom apartment in Philly’s city center is $1,908.45.
• Outside the city center, rent in Philly costs $1,307.58 for a one-bedroom apartment.
• A three-bedroom apartment has an average monthly rent of $3,177.36 in Philly’s city center.
• There’s a $2,104.38 monthly rental cost for a three-bedroom apartment outside Philly's city center.

Let’s then examine the cost of utilities in Philly:

• 
  Basic utilities (i.e., heating, electricity, water, cooling, garbage) cost $170.75 monthly for an 85m2 apartment. 
• A 10 GB+ data monthly mobile plan with calls costs $43.00.
• Internet with unlimited data, cable/ADSL, and 60 MBPS or more costs $65.95 per month.

Do you have a young child? If so, full-day private preschool or kindergarten costs $1,475 per month.

Here are some of the average transportation costs when living in Philly:

• 
  It costs $2.50 for one-way public transportation.
• A monthly public transportation pass costs $96.
• Gasoline is–on average–$1.01 per liter.
• For starters, a taxi costs $6.00. It then costs $3.42 per kilometer.

Also, it costs $25.00 on average for a meal at an inexpensive restaurant in Philly. It’s about $75.00 for a three-course meal for two people at a mid-range restaurant and $9.00 if you want to eat a combo at a fast food chain like McDonald’s.

How Much Are Taxes In Philadelphia?

Another consideration for the costs of living in Philly is the tax rates.

There’s an 8% minimum combined sales tax rate in Philly in 2023. This combines state, city, and county sales tax rates. Currently, the Pennsylvania tax rate is 6%, while there’s a 2% county sales tax rate.

Pennsylvania’s flat income tax rate is 3.07%, the lowest of any state with flat tax rates. A Philly resident earning nearly $52,000 in annual salary would take home around $41,000 when combining state, local, federal, and FICA taxes.

How Do You Know If You’re “Living Comfortably?”

Say the monthly cost of living in Philly (for one person) vastly outweighs your monthly income. In this case, you likely can’t live comfortably here (until you move up in pay grade). That’s relatively cut and dry.

However, say you do make enough to cover the monthly living costs in Philly. Does that necessarily mean you have enough to live comfortably here?

Yes–you’d get by if you make enough to cover immediate living costs. But “getting by” and “living comfortably” aren’t the same. 

Below are some savings guidelines (according to CNBC) that should be considered before making a move to the City Of Brotherly Love:

• 
  By 30 years old, you should have the equivalent of your annual salary saved (if you earn $50,000 yearly, you should have that much in your savings).
• Three times your annual income should be saved by 40.
• Six times your annual income should be saved by 50.

These are–by no means–hard and fast rules, but they’re good guidelines. You don’t want to live somewhere that prevents you from saving and solidifying your future. 

How Expensive Is Philadelphia Compared To Other Big Cities?

Philadelphia will cost more than a less centralized hub–there’s no candy coating this fact.

However, how does Philly stack up against other big cities?

First, there’s New York–which is 37% more expensive to live in than Philly. Los Angeles is listed as 67.8% costlier than Philly.

Even when moving away from cultural juggernauts like New York and LA, Philly’s living costs remain highly affordable. 

For instance, Boston’s living costs are 33.8% higher than Philly’s. Also, Denver is 17.8% more expensive than Philly, while Seattle's living costs are 19.5% higher than Philly’s. 

We can understand the lure of living in cities like New York and LA. They are iconic–both synonymous with America's global image. 

However, we’d argue that Philly has a transcendent (and iconic) identity of its own. It has a rich culture and is steeped in history. Residents benefit from a similar heartbeat and cache to New York and LA without the ludicrous living costs. 

Considering A Move To Philly? Reach Out To GM Holdings

Are you considering renting (or purchasing a rental property) in Philly? The City Of Brotherly Love offers an array of benefits for your quality of life, including some of the most reasonable living costs you'd find in any big city.

Contact GM Holdings today if you have any questions about living in Philadelphia. We’re passionate about educating our audience about the place we’re proud to call home.