Is $20,000 a good salary in Arkansas?

$20,000 in Arkansas provides a monthly take-home of approximately $1,438 after taxes. Across major Arkansas cities, this salary is rated very tight, with an average monthly surplus of $-309.

What is the cost of living on $20,000 in Arkansas?

The average monthly living cost across major Arkansas cities is approximately $1,747 for a single adult (rent, food, transport, utilities, healthcare). On $20,000 take-home pay of $1,438/month, you would have roughly $-309/month remaining.

Living in Arkansas · 2026

Is $20,000 enough to live in Arkansas?

Single adult · AR · 2026 tax brackets · Real cost-of-living data

Statewide verdict:Very tight

Monthly take-home

$1,438

Avg monthly expenses

$1,747

Avg monthly surplus

$-309

Savings potential

~0%

After-tax take-home in Arkansas

Gross salary$20,000

Federal income tax− $450

State income tax− $770

Social Security− $1,240

Medicare− $290

Annual take-home$17,250

Effective tax rate13.75%

How $20,000 feels in Arkansas cities

Rent: HUD FMR 2026 · Food: USDA Low-Cost Plan × COL · Transport/Utilities/Healthcare: BLS CES × COL

Little Rock

COL index: 0.83× national avg

Very tight

Rent (1BR)

$900

Food

$383

Transport

$145

Utilities

$137

Healthcare

$166

Total: $1,731/mo

Surplus: $-293/mo

Rent burden: 62.6% — Unaffordable (> 50%)

Full Little Rock analysis →

Fort Smith

COL index: 0.77× national avg

Very tight

Rent (1BR)

$780

Food

$370

Transport

$135

Utilities

$127

Healthcare

$154

Total: $1,566/mo

Surplus: $-128/mo

Rent burden: 54.3% — Unaffordable (> 50%)

Full Fort Smith analysis →

Fayetteville

COL index: 0.91× national avg

Very tight

Rent (1BR)

$1,050

Food

$396

Transport

$159

Utilities

$150

Healthcare

$182

Total: $1,937/mo

Surplus: $-499/mo

Rent burden: 73.0% — Unaffordable (> 50%)

Full Fayetteville analysis →

Springdale

COL index: 0.89× national avg

Very tight

Rent (1BR)

$1,020

Food

$392

Transport

$156

Utilities

$147

Healthcare

$178

Total: $1,893/mo

Surplus: $-455/mo

Rent burden: 71.0% — Unaffordable (> 50%)

Full Springdale analysis →

Jonesboro

COL index: 0.80× national avg

Very tight

Rent (1BR)

$850

Food

$374

Transport

$140

Utilities

$132

Healthcare

$160

Total: $1,656/mo

Surplus: $-218/mo

Rent burden: 59.1% — Unaffordable (> 50%)

Full Jonesboro analysis →

Conway

COL index: 0.82× national avg

Very tight

Rent (1BR)

$880

Food

$378

Transport

$144

Utilities

$135

Healthcare

$164

Total: $1,701/mo

Surplus: $-263/mo

Rent burden: 61.2% — Unaffordable (> 50%)

Full Conway analysis →

50 / 30 / 20 Budget Planner

Based on your monthly take-home of $1,438 ($17,256/yr)

Needs 50%Wants 30%Savings 20%

Needs50%

$719

per month

›Rent / mortgage
›Groceries
›Utilities
›Insurance
›Minimum debt payments
›Transportation

Wants30%

$431

per month

›Dining out
›Streaming services
›Gym
›Hobbies
›Travel
›Shopping

Savings20%

$288

per month

›Emergency fund
›401(k) / IRA
›Investments
›Down payment fund
›Debt payoff (extra)

Needs / year

$8,628

Wants / year

$5,177

Savings / year

$3,451

Salary Intelligence

Financial pressure in Little Rock

Rent alone would take 63% of take-home income. This salary creates significant financial pressure in this city — a $36,000 annual income or lower rent is needed to reach affordability.

Lifestyle score: 2.3/10 (Difficult)

Lifestyle Assessment

A $20,000 salary does not fully cover typical living expenses for a single adult in Little Rock, Arkansas. Monthly costs exceed take-home pay by $293, indicating this income is insufficient for an independent lifestyle here without additional income or reduced spending.

Purchasing Power

Due to Little Rock's low cost of living (index: 0.83), $20,000 here has the purchasing power of roughly $44,578 in San Francisco or $46,988 in New York City. Your dollar goes significantly further here.

State & National Benchmark

$20,000 is 36% below the Arkansas individual median of $31,200. Consider negotiating a higher salary or exploring higher-paying roles in this state.

State individual median

$31,200

-36%

State household median

$52,528

-62%

Tax reduction strategies

Maximize 401(k) Contributions — Up to $5,170 in federal tax (22% bracket)

Contribute to a Traditional IRA — Up to $1,540 in federal tax (22% bracket)

$20,000 vs. Arkansas income benchmarks

Individual median (Arkansas)

$31,200

-36% vs. this salary

Household median (Arkansas)

$52,528

-62% vs. this salary

Source: US Census Bureau ACS 2023

Related salary insights

Explore other salary levels in Arkansas

$40,000 $60,000 $100,000 $150,000 $200,000 $300,000

Reviewed by

Finance Editor

CPA, 10+ years in personal finance

Data Sources

•Tax calculations: IRS federal tax tables
•Rent data: HUD Fair Market Rents
•Cost-of-living index: C2ER / ACCRA Cost of Living Index

Data updated monthly using government datasets.