Cost of Living · Updated June 2026

Purchasing power parity calculator, city to city

Country-level PPP (the kind the IMF publishes) hides the spread inside countries: Manhattan and Memphis share a currency but not a price level. This calculator runs parity math at the city level, where relocation decisions actually happen.

Enter a salary and two cities; the tool converts through each city's local price basket – rent-inclusive – and reports the salary that holds your lifestyle constant. The power ratio table below shows why equal salaries are not equal lives.

Cost of living calculator

I live in

Comparing to

Household

My gross salary (USD/year)

Equivalent salary

–

Budget A: –
Budget B: –
Rent share of pay A: –
Rent share of pay B: –

Line-by-line, monthly

Item	A	B	Δ

Composite 2026 index incl. centre rent (NYC = 100). Salary figures are gross – taxes not included; pair with the salary after tax calculator.

Key insights

City-level indexes vary ~2× inside the US alone.
Parity salary = salary × (city B index ÷ city A index).
Rent inclusion is what separates useful PPP from headline PPP.
Expat baskets need add-ons: schools, flights, imported goods.
Recheck after FX moves if you earn in another currency.

Local purchasing power: avg net salary ÷ single-person budget (2026)
City	COL index	Single budget /mo	Avg net salary /mo	Power ratio
New York City	100	$5,759	$7,200	1.25
San Francisco	93	$4,954	$8,200	1.66
Austin	63	$2,825	$6,000	2.12
Chicago	68	$3,322	$5,800	1.75
Miami	73	$3,718	$5,200	1.40
London	79	$3,980	$4,400	1.11
Berlin	56	$2,526	$3,300	1.31
Lisbon	50	$2,126	$1,700	0.80

City PPP vs country PPP

Country PPP normalises a national basket; city PPP swaps in metro-level rent, groceries, transport, and services. Inside the US, city indexes range from the low 50s to 100 (NYC) – a 2× spread the national number averages away. Europe is wider still.

For salary negotiations and relocation decisions, the city number is the only one that matters: nobody pays Lisbon rent with a "Portugal average" budget.

Limits of parity math

PPP holds consumption constant, but movers change consumption: imported goods, international schools, and flights home enter expat baskets. Treat the parity number as the baseline and add expat-specific lines on top.

Currency swings also move real purchasing power for cross-border earners faster than baskets reprice – revisit the math after major FX moves.

FAQ

Frequently asked questions

What is purchasing power parity between cities?

The salary adjustment that keeps a fixed basket of housing, food, transport, and services affordable when moving between two cities. MovingCal computes it from rent-inclusive composite indexes (NYC = 100).

How is this different from a COL calculator?

Same engine, different framing: PPP emphasises holding consumption constant. The COL calculator additionally breaks out each expense line so you can see what drives the gap.

Does PPP account for salaries being lower abroad?

No – PPP tells you what you'd need, not what employers pay. Compare against each city's average net salary (in the table) to see whether local pay actually clears the parity bar.

Why does rent dominate the calculation?

Because it's the largest single line (25–50% of budgets) and the most geographically variable – rent gaps of 3–4× exist between cities whose grocery prices differ by 30%.

Is the data current for 2026?

Yes – all baskets use 2026 price estimates normalised to USD.

Keep exploring