Living in Mississippi costs 14% less than the national average. New York costs 16% more. Housing drives the biggest differences.
86.1
Cheapest State
Mississippi
100.0
National Average
Baseline Index
115.7
Most Expensive State
New York
Grocery costs vary by only ~12% across states (95.3 to 106.8). Healthcare varies by ~25%. But housing costs vary by 102 points -- from 60.8 (Mississippi) to 162.3 (New York). A family earning $75,000 in Mississippi has roughly the same lifestyle as a family earning $100,784 in New York. That's a $25,784 gap.
| Rank | State | Overall | Housing |
|---|---|---|---|
| 1 | Mississippi | 86.114% less | 60.8 |
| 2 | Arkansas | 88.212% less | 65.4 |
| 3 | West Virginia | 88.412% less | 66.3 |
| 4 | Alabama | 88.911% less | 67.7 |
| 5 | Oklahoma | 89.710% less | 69.8 |
| 6 | Kentucky | 89.910% less | 70.3 |
| 7 | Iowa | 90.310% less | 72.1 |
| 8 | Kansas | 90.89% less | 74.3 |
| 9 | Missouri | 90.99% less | 74.5 |
| 10 | Louisiana | 919% less | 75.8 |
| 11 | Nebraska | 91.29% less | 75.4 |
| 12 | Indiana | 91.88% less | 73.6 |
| 13 | South Dakota | 92.18% less | 80.2 |
| 14 | New Mexico | 92.48% less | 83.5 |
| 15 | Tennessee | 92.67% less | 82.3 |
| 16 | Ohio | 93.17% less | 77.4 |
| 17 | North Dakota | 93.66% less | 81.5 |
| 18 | South Carolina | 94.36% less | 86.7 |
| 19 | Michigan | 94.56% less | 82.5 |
| 20 | Wisconsin | 95.45% less | 88.4 |
| 21 | Wyoming | 96.14% less | 91.2 |
| 22 | North Carolina | 96.24% less | 91.7 |
| 23 | Pennsylvania | 96.44% less | 90.2 |
| 24 | Texas | 96.83% less | 93.2 |
| 25 | Georgia | 97.13% less | 98.4 |
| 26 | Montana | 97.82% less | 101.5 |
| 27 | Illinois | 98.32% less | 97.6 |
| 28 | Idaho | 98.52% less | 104.3 |
| 29 | Minnesota | 98.91% less | 101.2 |
| 30 | Arizona | 99.41% less | 105.7 |
| 31 | Florida | 101.21% more | 110.3 |
| 32 | Maine | 101.41% more | 110.7 |
| 33 | Nevada | 101.72% more | 115.8 |
| 34 | Utah | 102.12% more | 122.5 |
| 35 | Delaware | 102.63% more | 118.4 |
| 36 | Virginia | 102.83% more | 120.4 |
| 37 | Colorado | 104.34% more | 134.7 |
| 38 | Oregon | 104.85% more | 131.5 |
| 39 | Alaska | 105.15% more | 122.3 |
| 40 | Rhode Island | 105.66% more | 133.1 |
| 41 | New Hampshire | 1066% more | 135.8 |
| 42 | Vermont | 106.16% more | 129.4 |
| 43 | Washington | 107.17% more | 140.2 |
| 44 | Maryland | 107.47% more | 138.9 |
| 45 | Connecticut | 108.38% more | 132.4 |
| 46 | New Jersey | 110.210% more | 143.7 |
| 47 | Massachusetts | 110.911% more | 148.6 |
| 48 | California | 112.513% more | 152.2 |
| 49 | Hawaii | 113.213% more | 147.5 |
| 50 | New York | 115.716% more | 162.3 |
Index: 100 = national average. Below 100 = cheaper than average. Above 100 = more expensive. Sources: BEA Regional Price Parities 2023, C2ER Cost of Living Index Q4 2024.
The cheapest states cluster in the South and Midwest: Mississippi, Arkansas, West Virginia, Alabama, Oklahoma, Kentucky, Iowa, Kansas, Missouri, Louisiana. These states all have overall indices below 93, meaning residents pay at least 7% less than the national average for goods and services. Housing is the main driver, with indices as low as 60.8.
A $100,000 salary in Mississippi (index 86.1) provides the equivalent lifestyle of $134,379 in New York (index 115.7). That means a New York resident needs to earn $34,379 more per year just to match the lifestyle of someone earning $100k in Mississippi.
Hawaii's utility costs (157.4) are 57% above the national average -- the highest in the nation. Alaska (141.2) is second. On the other end, Wyoming (88.8) and Utah (88.4) have some of the cheapest utilities, driven by local energy production and hydroelectric power.
Cost of Living Calculator
See your salary adjusted for purchasing power in any state
Salary Adjustment Calculator
What salary do you need in a new city to maintain your lifestyle?
Salary by State Comparison
Compare cost-adjusted salaries between two states
Rent Affordability Calculator
How much rent can you afford based on your income?
Mississippi has the lowest overall cost of living index at 86.1, meaning it is 14% cheaper than the national average. Housing costs are particularly low at 60.8 (39% below average).
New York has the highest cost of living index at 115.7. Housing is the primary driver at 162.3 (62% above national average). Hawaii is a close second due to its island geography driving up costs for imported goods.
The cost of living index compares the price of a standard basket of goods and services in each state to the national average (100). Categories include housing (rent and homeownership costs), groceries, utilities (electricity, gas, water), healthcare, and transportation.
The standard cost of living index focuses on prices for goods and services, not taxes. State income tax, property tax, and sales tax are separate factors. Some states with low cost of living have high property taxes (Texas), while some expensive states have no income tax (Washington).
It depends on your income situation. Remote workers can benefit enormously by earning a high-cost-area salary while living in a low-cost state. For job changes, compare the full picture: salary difference, cost of living difference, tax rates, and quality of life factors.