Cost of living · all 50 states and DC · tax year 2026 rates · checked 2026-09-14
The cheapest states to live in, ranked by what a household actually pays
For a two-person household earning $75,000 and renting a typical two-bedroom, West Virginia costs about $2,229 a month and District of Columbia about $5,288: a gap of $36,708 a year for the same life. That figure is rent, groceries, utilities, car insurance, state income tax and sales tax, priced state by state from the same sources, at tax year 2026 rates, last checked 2026-09-14.
The usual answer to this question is a cost of living index, where 100 is the national average. 27 of the 50 states and DC sit below 100. An index hides the two things that move a real budget most: what a home costs where you would live, and what the state takes in tax. So this table prices one household everywhere, the same way, and shows the parts. The calculator below does the same for your own income, home and family.
| # | State | Monthly, all in | 2BR rent | Median home | Income tax at $75K | Sales tax | Index |
|---|---|---|---|---|---|---|---|
| 1 | West Virginia | $2,229 | $900 | $155K | 3.5% | 6.37% | 82 |
| 2 | Mississippi | $2,313 | $950 | $180K | 3.5% | 7.07% | 82 |
| 3 | Ohio | $2,339 | $1,050 | $235K | 1.8% | 7.22% | 88 |
| 4 | Arkansas | $2,392 | $970 | $195K | 3.6% | 9.46% | 85 |
| 5 | South Dakota | $2,425 | $1,150 | $310K | none | 6.11% | 95 |
| 6 | North Dakota | $2,435 | $1,100 | $255K | 0.7% | 6.97% | 98 |
| 7 | Indiana | $2,445 | $1,100 | $240K | 2.9% | 7.00% | 87 |
| 8 | Iowa | $2,451 | $1,050 | $215K | 3.8% | 6.94% | 88 |
| 9 | Kentucky | $2,464 | $1,050 | $215K | 3.5% | 6.00% | 85 |
| 10 | Oklahoma | $2,490 | $1,000 | $215K | 4.2% | 8.97% | 87 |
| 11 | Alabama | $2,576 | $1,050 | $218K | 4.9% | 9.22% | 87 |
| 12 | Missouri | $2,581 | $1,100 | $240K | 4.5% | 8.33% | 86 |
| 13 | Kansas | $2,582 | $1,050 | $220K | 5.5% | 8.68% | 86 |
| 14 | Wyoming | $2,630 | $1,300 | $350K | none | 5.34% | 101 |
| 15 | Nebraska | $2,633 | $1,150 | $265K | 4.1% | 6.94% | 91 |
| 16 | Louisiana | $2,657 | $1,100 | $215K | 3.0% | 9.56% | 91 |
| 17 | Tennessee | $2,663 | $1,400 | $350K | none | 9.55% | 92 |
| 18 | Wisconsin | $2,702 | $1,200 | $285K | 4.5% | 5.43% | 93 |
| 19 | Michigan | $2,715 | $1,150 | $250K | 4.3% | 6.00% | 88 |
| 20 | New Mexico | $2,756 | $1,250 | $330K | 4.2% | 7.82% | 91 |
| 21 | Pennsylvania | $2,850 | $1,350 | $270K | 3.1% | 6.34% | 97 |
| 22 | South Carolina | $2,869 | $1,350 | $310K | 3.9% | 7.43% | 93 |
| 23 | Alaska | $2,921 | $1,350 | $340K | none | 1.76% | 126 |
| 24 | North Carolina | $2,953 | $1,450 | $335K | 4.0% | 7.00% | 94 |
| 25 | Nevada | $2,959 | $1,550 | $415K | none | 8.23% | 101 |
| 26 | Texas | $2,961 | $1,600 | $340K | none | 8.19% | 97 |
| 27 | Illinois | $2,976 | $1,400 | $275K | 5.0% | 8.82% | 92 |
| 28 | Idaho | $3,053 | $1,500 | $425K | 5.0% | 6.02% | 96 |
| 29 | Montana | $3,085 | $1,450 | $450K | 5.0% | 0.00% | 104 |
| 30 | Minnesota | $3,107 | $1,450 | $335K | 6.2% | 7.42% | 95 |
| 31 | New Hampshire | $3,150 | $1,750 | $440K | none | 0.00% | 114 |
| 32 | Arizona | $3,157 | $1,600 | $420K | 2.5% | 8.37% | 102 |
| 33 | Georgia | $3,200 | $1,600 | $340K | 5.0% | 7.35% | 91 |
| 34 | Delaware | $3,230 | $1,550 | $350K | 5.2% | 0.00% | 102 |
| 35 | Maine | $3,263 | $1,500 | $360K | 6.5% | 5.50% | 107 |
| 36 | Utah | $3,280 | $1,650 | $500K | 4.5% | 7.19% | 101 |
| 37 | Vermont | $3,300 | $1,600 | $380K | 4.5% | 6.22% | 111 |
| 38 | Virginia | $3,374 | $1,700 | $390K | 5.4% | 5.73% | 102 |
| 39 | Florida | $3,409 | $1,900 | $415K | none | 7.02% | 103 |
| 40 | Washington | $3,560 | $2,000 | $570K | none | 9.38% | 117 |
| 41 | Rhode Island | $3,581 | $1,800 | $430K | 3.8% | 7.00% | 114 |
| 42 | Connecticut | $3,602 | $1,800 | $395K | 4.5% | 6.35% | 114 |
| 43 | Oregon | $3,609 | $1,700 | $480K | 8.3% | 0.00% | 110 |
| 44 | Colorado | $3,638 | $1,850 | $545K | 4.4% | 7.76% | 110 |
| 45 | Maryland | $3,799 | $1,950 | $420K | 4.7% | 6.00% | 116 |
| 46 | New Jersey | $4,050 | $2,200 | $500K | 3.5% | 6.60% | 121 |
| 47 | New York | $4,381 | $2,200 | $470K | 5.2% | 8.52% | 139 |
| 48 | California | $4,492 | $2,300 | $790K | 4.6% | 8.82% | 142 |
| 49 | Massachusetts | $4,599 | $2,400 | $580K | 5.0% | 6.25% | 148 |
| 50 | Hawaii | $5,278 | $2,500 | $840K | 6.1% | 4.44% | 196 |
| 51 | District of Columbia | $5,288 | $2,900 | $640K | 6.4% | 6.00% | 152 |
The ten cheapest states, and what makes each one cheap
1. West Virginia, $2,229 a month. A two-bedroom rents for about $900 a month, the median home is $155K, state income tax takes 3.5% at $75,000 and combined sales tax averages 6.37%. On the index alone it ranks 1st at 82.
2. Mississippi, $2,313 a month. A two-bedroom rents for about $950 a month, the median home is $180K, state income tax takes 3.5% at $75,000 and combined sales tax averages 7.07%. On the index alone it ranks 2nd at 82.
3. Ohio, $2,339 a month. A two-bedroom rents for about $1,050 a month, the median home is $235K, state income tax takes 1.8% at $75,000 and combined sales tax averages 7.22%. On the index alone it ranks 10th at 88, which is why the index and the bill disagree here.
4. Arkansas, $2,392 a month. A two-bedroom rents for about $970 a month, the median home is $195K, state income tax takes 3.6% at $75,000 and combined sales tax averages 9.46%. On the index alone it ranks 3rd at 85, which is why the index and the bill disagree here.
5. South Dakota, $2,425 a month. A two-bedroom rents for about $1,150 a month, the median home is $310K, there is no state income tax and combined sales tax averages 6.11%. On the index alone it ranks 22th at 95, which is why the index and the bill disagree here.
6. North Dakota, $2,435 a month. A two-bedroom rents for about $1,100 a month, the median home is $255K, state income tax takes 0.7% at $75,000 and combined sales tax averages 6.97%. On the index alone it ranks 27th at 98, which is why the index and the bill disagree here.
7. Indiana, $2,445 a month. A two-bedroom rents for about $1,100 a month, the median home is $240K, state income tax takes 2.9% at $75,000 and combined sales tax averages 7.00%. On the index alone it ranks 7th at 87.
8. Iowa, $2,451 a month. A two-bedroom rents for about $1,050 a month, the median home is $215K, state income tax takes 3.8% at $75,000 and combined sales tax averages 6.94%. On the index alone it ranks 11th at 88, which is why the index and the bill disagree here.
9. Kentucky, $2,464 a month. A two-bedroom rents for about $1,050 a month, the median home is $215K, state income tax takes 3.5% at $75,000 and combined sales tax averages 6.00%. On the index alone it ranks 4th at 85, which is why the index and the bill disagree here.
10. Oklahoma, $2,490 a month. A two-bedroom rents for about $1,000 a month, the median home is $215K, state income tax takes 4.2% at $75,000 and combined sales tax averages 8.97%. On the index alone it ranks 8th at 87, which is why the index and the bill disagree here.
Cheapest states with no income tax
9 states charge no tax on wages. Ranked by the same household bill: South Dakota (5th overall, $2,425 a month), Wyoming (14th overall, $2,630 a month), Tennessee (17th overall, $2,663 a month), Alaska (23th overall, $2,921 a month), Nevada (25th overall, $2,959 a month), Texas (26th overall, $2,961 a month), New Hampshire (31th overall, $3,150 a month), Florida (39th overall, $3,409 a month) and Washington (40th overall, $3,560 a month). No income tax does not make a state cheap on its own: Washington still lands 40th because rent and prices are higher there. For retirees the picture changes again, because Social Security and pension rules differ by state; the retirement taxes page ranks states on that.
Cheap to rent is not the same as cheap to buy
The lowest rents are in West Virginia ($900), Mississippi ($950), Arkansas ($970), Oklahoma ($1,000) and Ohio ($1,050). The lowest home prices are in West Virginia ($155K), Mississippi ($180K), Arkansas ($195K), Iowa ($215K) and Kentucky ($215K). The two lists share 3 states. If you will buy, switch the calculator to owning and enter a price; property tax rates range from 0.27% to 2.13% of home value across these states and that alone can swing the monthly figure by hundreds of dollars.
Inside a state the spread is wider than between states. Texas, the median state here at $2,961 a month, has counties where the median home is a third of the state figure and counties where it is double. The county map lets you set a home price and a rent ceiling and see every county that fits.
Run your own numbers
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| # | State | Housing | Car Ins. | Childcare | Groceries | Income Tax | Sales Tax | Total / Mo | Annual | vs Avg | Grade |
|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | $2,949/mo | $128/mo | — | $828/mo | $0/mo | $131/mo | $4,265/mo | $51,183 | -$1,135/mo | A | |
| 2 | $2,949/mo | $124/mo | — | $909/mo | $0/mo | $75/mo | $4,309/mo | $51,707 | -$1,091/mo | A+ | |
| 3 | $2,882/mo | $179/mo | — | $909/mo | $0/mo | $115/mo | $4,338/mo | $52,051 | -$1,062/mo | A | |
| 4 | $3,219/mo | $133/mo | — | $855/mo | $0/mo | $84/mo | $4,529/mo | $54,346 | -$871/mo | A | |
| 5 | $2,924/mo | $117/mo | — | $738/mo | $506/mo | $86/mo | $4,575/mo | $54,901 | -$825/mo | A | |
| 6 | $3,015/mo | $104/mo | — | $783/mo | $369/mo | $95/mo | $4,584/mo | $55,006 | -$816/mo | A | |
| 7 | $3,019/mo | $132/mo | — | $1,053/mo | $0/mo | $135/mo | $4,632/mo | $55,581 | -$768/mo | B | |
| 8 | $3,144/mo | $108/mo | — | $882/mo | $165/mo | $97/mo | $4,641/mo | $55,689 | -$759/mo | A | |
| 9 | $2,961/mo | $158/mo | — | $918/mo | $313/mo | $117/mo | $4,721/mo | $56,656 | -$679/mo | A | |
| 10 | $3,069/mo | $148/mo | — | $738/mo | $467/mo | $95/mo | $4,722/mo | $56,661 | -$678/mo | B+ | |
| 11 | $3,144/mo | $106/mo | — | $1,134/mo | $0/mo | $26/mo | $4,725/mo | $56,700 | -$675/mo | A+ | |
| 12 | $3,069/mo | $170/mo | — | $765/mo | $438/mo | $81/mo | $4,736/mo | $56,828 | -$664/mo | B+ | |
| 13 | $3,207/mo | $265/mo | — | $927/mo | $0/mo | $99/mo | $4,755/mo | $57,059 | -$645/mo | A | |
| 14 | $3,265/mo | $107/mo | — | $792/mo | $284/mo | $98/mo | $4,766/mo | $57,197 | -$634/mo | B+ | |
| 15 | $3,061/mo | $145/mo | — | $765/mo | $456/mo | $128/mo | $4,768/mo | $57,211 | -$632/mo | B+ | |
| 16 | $2,861/mo | $89/mo | — | $864/mo | $641/mo | $83/mo | $4,779/mo | $57,346 | -$621/mo | A | |
| 17 | $2,853/mo | $130/mo | — | $909/mo | $556/mo | $101/mo | $4,801/mo | $57,612 | -$599/mo | B+ | |
| 18 | $2,957/mo | $135/mo | — | $819/mo | $567/mo | $107/mo | $4,813/mo | $57,755 | -$587/mo | B+ | |
| 19 | $3,044/mo | $116/mo | — | $846/mo | $499/mo | $97/mo | $4,836/mo | $58,038 | -$564/mo | B+ | |
| 20 | $2,957/mo | $143/mo | — | $783/mo | $622/mo | $125/mo | $4,848/mo | $58,174 | -$552/mo | B+ | |
| 21 | $3,449/mo | $89/mo | — | $1,026/mo | $0/mo | $0/mo | $4,849/mo | $58,185 | -$551/mo | A | |
| 22 | $2,965/mo | $144/mo | — | $837/mo | $571/mo | $102/mo | $4,852/mo | $58,223 | -$548/mo | A | |
| 23 | $3,065/mo | $246/mo | — | $819/mo | $375/mo | $131/mo | $4,864/mo | $58,363 | -$536/mo | B+ | |
| 24 | $3,528/mo | $178/mo | — | $873/mo | $0/mo | $114/mo | $4,935/mo | $59,222 | -$465/mo | B+ | |
| 25 | $2,961/mo | $123/mo | — | $936/mo | $669/mo | $0/mo | $4,949/mo | $59,389 | -$451/mo | A+ | |
| 26 | $3,144/mo | $148/mo | — | $774/mo | $572/mo | $113/mo | $4,966/mo | $59,597 | -$434/mo | B | |
| 27 | $2,882/mo | $179/mo | — | $918/mo | $740/mo | $0/mo | $4,974/mo | $59,693 | -$426/mo | A+ | |
| 28 | $3,328/mo | $96/mo | — | $792/mo | $475/mo | $95/mo | $5,005/mo | $60,062 | -$395/mo | B | |
| 29 | $3,282/mo | $140/mo | — | $873/mo | $384/mo | $88/mo | $5,009/mo | $60,109 | -$391/mo | B | |
| 30 | $3,115/mo | $182/mo | — | $819/mo | $624/mo | $101/mo | $5,068/mo | $60,815 | -$332/mo | B+ | |
| 31 | $3,003/mo | $115/mo | — | $918/mo | $697/mo | $80/mo | $5,068/mo | $60,820 | -$332/mo | B+ | |
| 32 | $3,236/mo | $239/mo | — | $792/mo | $531/mo | $82/mo | $5,100/mo | $61,203 | -$300/mo | B | |
| 33 | $3,028/mo | $181/mo | — | $990/mo | $550/mo | $110/mo | $5,134/mo | $61,607 | -$266/mo | B+ | |
| 34 | $3,315/mo | $108/mo | — | $837/mo | $612/mo | $75/mo | $5,179/mo | $62,150 | -$221/mo | B | |
| 35 | $3,378/mo | $121/mo | — | $819/mo | $544/mo | $95/mo | $5,184/mo | $62,207 | -$216/mo | C+ | |
| 36 | $3,382/mo | $154/mo | — | $783/mo | $545/mo | $122/mo | $5,203/mo | $62,438 | -$197/mo | B | |
| 37 | $3,161/mo | $119/mo | — | $855/mo | $845/mo | $103/mo | $5,320/mo | $63,846 | -$80/mo | C+ | |
| 38 | $3,132/mo | $170/mo | — | $1,044/mo | $605/mo | $86/mo | $5,327/mo | $63,927 | -$73/mo | C+ | |
| 39 | $3,103/mo | $82/mo | — | $963/mo | $850/mo | $78/mo | $5,343/mo | $64,117 | -$57/mo | C+ | |
| 40 | $3,253/mo | $175/mo | — | $1,026/mo | $525/mo | $100/mo | $5,364/mo | $64,373 | -$36/mo | C+ | |
| 41 | $3,474/mo | $138/mo | — | $828/mo | $619/mo | $121/mo | $5,409/mo | $64,908 | +$9/mo | C | |
| 42 | $3,486/mo | $133/mo | — | $774/mo | $690/mo | $118/mo | $5,416/mo | $64,988 | +$16/mo | C+ | |
| 43 | $3,003/mo | $123/mo | — | $990/mo | $1,091/mo | $0/mo | $5,482/mo | $65,787 | +$82/mo | B | |
| 44 | $3,390/mo | $91/mo | — | $999/mo | $717/mo | $89/mo | $5,563/mo | $66,752 | +$163/mo | C | |
| 45 | $3,474/mo | $154/mo | — | $1,026/mo | $646/mo | $91/mo | $5,676/mo | $68,107 | +$276/mo | C | |
| 46 | $3,153/mo | $124/mo | — | $1,332/mo | $625/mo | $95/mo | $5,699/mo | $68,390 | +$299/mo | C+ | |
| 47 | $3,599/mo | $179/mo | — | $1,089/mo | $619/mo | $96/mo | $5,884/mo | $70,610 | +$484/mo | C | |
| 48 | $3,065/mo | $191/mo | — | $1,278/mo | $866/mo | $133/mo | $5,888/mo | $70,654 | +$488/mo | B+ | |
| 49 | $3,328/mo | $178/mo | — | $1,251/mo | $690/mo | $128/mo | $5,923/mo | $71,071 | +$523/mo | C | |
| 50 | $2,749/mo | $93/mo | — | $1,764/mo | $864/mo | $73/mo | $6,033/mo | $72,398 | +$633/mo | B |
Estimates only. Housing uses a 6.75% 30-yr mortgage, 20% down. Groceries estimated at $450/person/month adjusted for COL. Car insurance and childcare use state averages. Income tax applies ~70% of top marginal rate as effective rate. Consult a financial advisor before making decisions. Sponsored links may earn a commission at no cost to you.
How this ranking is built and where the numbers come from
Each state is priced for the same household: two adults, one car, $75,000 in wages, renting at the state's median two-bedroom. Groceries and utilities are national averages scaled by the state's cost of living index. State income tax is computed from the state's brackets and deductions at that income; sales tax is the state's average combined rate applied to typical taxable spending. Property tax is excluded for renters and included in the calculator when you switch to owning. Health insurance, commuting and childcare are excluded from the table (childcare enters the calculator when you add children).
Sources: MERIC Cost of Living Data Series (index), Zillow (rents and home values), Tax Foundation and state revenue departments (income and sales tax), state insurance departments (car and home insurance); tax rates are tax year 2026, last checked 2026-09-14. Territories are left out because several figures are not published for them. Figures are estimates for comparison, not quotes; the state pages carry each number with its source.