I agree with OC. I've done both, lived in base and commuted, and there's no doubt that living in base is much easier than commuting, but after my base was closed, I had to make a decision; move to ATL or commute.
The decision I came to was to live where I (we, wife input of course!) want to live, and commute to work. That decision was based on the fact that I spend more time at home than I do at work, so I when I get home from work, I want to be someplace where I really enjoy spending my days off.
It has cost me the opportunity of picking up 'overtime' flying, because I'm so far away from the ATL I don't even bother putting in for GS most months, I've only had 2 in my entire career, but I look at that kind of sideways anyways. The problem with GS's is, you have to show up and fly them!
Since having 4 kids, I have always chosen more time off with them, over more money, but I don't drive a BMW and I still have wife number 1, which helps keep the cost of living down!