An Overview of Cost of Living in Bloomington, IN
Are you thinking about relocating, but curious about the potential cost of living in Bloomington? Is it more expensive or more affordable than average? Based on the most recent report, the cost of living in Bloomington stands at 103, making it 3% higher than the national average. The cost of living directly affects the affordability of one's desired lifestyle. Knowing the cost of housing, transportation, groceries and other essentials in the new area allows people to gauge whether they can maintain their preferred standard of living.
In Bloomington, daily expenses such as food, housing, goods and services, transportation and health care are in line with comparable areas and about average when compared to all cities across the nation. This ensures that the cost of living in Bloomington will resemble that of an average city, contributing to a manageable cost of living.
What Do Locals Say About the Cost of Living in Bloomington?
Locals have the inside scoop on their city. So, we polled 13 residents in Bloomington to learn how they view the cost of living. We asked how they felt about the cost of living in their area, and if they thought that prices were increasing, decreasing or staying the same. The verdict? 23% find it reasonable with decreasing prices, but 77% think it's quite pricey, with prices that continue to rise.
Is Bloomington Affordable?
Is Bloomington affordable? It's a key consideration when pondering a move, as affordability often shapes your choices. The cost of living index (we discussed it earlier), coupled with housing costs and income levels, serves as the cornerstone for determining a location's affordability. Take Bloomington, for instance, where the median home price falls 18.7% higher than the national average, and monthly rent rates are 0.3% lower than usual. Additionally, median income levels contribute to the equation, with Bloomington flaunting a median household income of $41,354, 25.2% lower than the national norm.
What Factors can Influence the Cost of Living in Bloomington?
Subsidies: Certain cities or states may institute government subsidies or assistance programs designed to alleviate the financial burdens associated with the cost of living for their residents. These programs encompass a variety of support mechanisms, including Medicare, Medicaid, housing subsidies, low-income home energy assistance programs, school lunch programs, supplemental nutrition assistance programs, student loans, electric vehicle tax credits, affordable care act subsidies and farm subsidies. Areas that provide fewer subsidies may see an uptick in their overall cost of living.
Taxes: Locations with elevated tax rates, encompassing both sales and income taxes, can be a factor in driving up the cost of living. When you're paying more in taxes for everyday goods and services, it naturally translates into higher expenses. Similarly, a higher income tax rate can also contribute to an overall higher cost of living. In Bloomington, the standard sales tax rate starts at 7%, and the income tax rates commence at 3.23%.
Healthcare: The costs associated with healthcare and insurance premiums can exhibit notable disparities based on the city or state of residence. Access to healthcare facilities, out-of-pocket expenses for medical appointments, dental care charges, prescription medication costs and specialized medical care expenses all contribute to variations in the cost of living. In Bloomington, healthcare costs are 5.4% lower than the national average.
Where is the Data From?
The cost of living data in Bloomington displayed above is sourced from the C2ER cost of living index, which serves as a practical tool for comparing living expenses across urban areas. Published on a quarterly basis, this index aggregates data from over 300 independent researchers, encompassing more than 60 goods and services, in 6 different categories. The weightings assigned to cost differences rely on government survey data that tracks the spending habits of professional and executive households. It's worth noting that the C2ER index excludes data on sales or income tax rates, while AreaVibes integrates tax rates into the overall cost of living evaluation for each region.
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