This research evaluates the rheological properties of virgin asphalt and sulfur extended asphalt (SEA) modified with two types of recycled plastic waste (rPW). The investigated plastic wastes are the recycled low-density polyethylene (rLDPE) and recycled high-density polyethylene (rHDPE). It also assesses the environmental and economic benefits of recycling such materials. A total of 16 modified binder samples are produced by adding rLDPE and rHDPE modifiers to virgin asphalt and SEA in four different concentrations of 2%, 4%, 6%, and 8% by weight of asphalt. The basic and rheological properties of the virgin and modified asphalts are explored by conventional tests, and advanced rheological tests at different aging conditions. Finally, cost-effectiveness and environmental analyses are conducted. The environmental benefit analysis is performed by comparing carbon and non-methyl volatile organic compound (NMVOC) emission from the various recycled polyethylene (rPE) with the manufacturing process of the same quantities of virgin LDPE and HDPE when used to modify asphalt. The effect of incorporating sulfur into virgin asphalt on the environment is also determined. Results show that modification yields a higher binder complex shear modulus (G*) and a lower loss tangent (tan δ) at all traffic speeds meaning improved rut resistance behavior under heavy traffic loading and high temperature conditions. About 29% reduction in material cost occurs when rPE-modified SEA is used instead of virgin asphalt. The environmental and economic analyses show that using SEA modified with rPE for road construction is an economic, sustainable, and ecological alternative with better performance compared to virgin asphalt.