Can I Afford to Live in Chicago vs Phoenix on $120K?
Here's how a $120K/year salary plays out in both cities after taxes, rent, and core living expenses — based on Q1 2026 data.
Monthly budget breakdown
| Expense | Chicago IL | Phoenix AZ |
|---|---|---|
| Monthly take-home (est.) | $6,665 | $6,905 |
| 1BR rent | $1,900 | $1,500 |
| Groceries (est.) | $388 | $369 |
| Transport (est.) | $105 | $64 |
| Utilities | $165 | $210 |
| Internet | $65 | $60 |
| Left after essentials | $4,042/month | $4,702/month |
Frequently asked questions
Is $120K a good salary in Chicago?
At $120K/year in Chicago, your estimated monthly take-home is $6,665. With 1BR rent around $1,900/month, rent takes up 29% of your take-home. That's considered manageable.
Is $120K a good salary in Phoenix?
At $120K/year in Phoenix, your estimated monthly take-home is $6,905. With 1BR rent around $1,500/month, rent takes up 22% of your take-home. That's considered very comfortable.
Which city is more affordable on a $120K salary?
Phoenix leaves you with more money after core expenses — $4,702/month vs $4,042/month in Chicago.
Can I afford to live alone in Chicago on $120K?
Yes. At $120K in Chicago, rent takes 29% of your take-home, leaving $4,042/month after essentials. Most financial planners recommend keeping rent below 30%.
See the full cost-of-living comparison
Rent, groceries, taxes, transportation, and more — side by side.
Take-home estimates use simplified federal/state brackets and do not account for pre-tax deductions, 401(k), or local taxes. Data: Zillow, BLS, Numbeo · Q1 2026 · For general guidance only