Newton cost of living index

In the event that the cost of living data was unavailable for this city, estimates based upon nearby cities were used. Each cost of living index is based on a national average of 100. If the amount is below 100, it is lower than the national average. If the amount is above 100, it is higher than the national average.
IndexNewtonIowaNational
Cost of living index8288100
IndexNewtonIowaNational
Goods & Services index9293100
Groceries index9395100
Health care index9796100
Housing index6073100
Transportation index9197100
Utilities index9299100
Displayed above is a general overview of the Newton, IA cost of living index. The overall cost of living index in Newton, IA is 82, which is 7% lower than the Iowa average and 18% lower than the national average. The cost of living index is created from the following categories: goods/services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). As you can see, goods/services and housing make up the majority of the overall cost of living index. Everyday goods and services can be a good indicator of the general cost of goods in a given city. In this case, the goods and services in Newton, IA are 1% lower than the Iowa average and 8% lower than the national average.

Did you know?

  • The cost of living in Newton is 7% lower than the Iowa average.
  • The cost of living in Newton is 18% lower than the national average.
  • The cost of housing in Newton is 40% lower than the national average.
  • Iowa general sales tax is 18% higher than the national average.
  • Iowa state income tax is 84% lower than the national average.

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Compare Newton, IA Cost of living To Other Cities

Salary Calculator

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Groceries index
Health care index
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Use the salary calculator to compare your current salary in Newton, IA to any other city. The salary calculator will tell you how much you would need to earn in any given city to maintain the same standard of living based on the cost of living in each city. For example, if the cost of living in the city you are looking to relocate to is higher than the cost of living in Newton, IA, then you would need to earn more income in order to maintain the same standard of living. To use the Newton, IA salary calculator, simply enter in the name of the new city, then adjust the slider to your current income. The salary calculator will do the rest and let you know if you need to earn more or less in the new city. You will also see a complete breakdown of the cost of living.

Median Income & Debt-To-Income Ratio

Median IncomePer YearPer MonthMax Budget (28% DTI)Max Budget (36% DTI)
Owners$57,762$4,814$1,348$1,733
Renters$27,241$2,270$636$817
How much of your monthly income goes to housing can tell you whether or not you can afford housing in Newton, IA, as well as what the average cost of living is. Generally, a good rule to follow is that the debt-to-income (DTI) level you want to maintain is 28 percent or less of your income on your rent or mortgage payment and not more than 36 percent of income on all expenses and debts. In Newton, IA homeowners have a median income of $57,762. Using that number, you will come up with a maximum of $1,348 per month that can be spent on the cost of housing. For those who are renting instead of owning, the median income is $27,241, which means there is a maximum of $636 to be spent on the costs of renting a home or apartment.

Iowa Sales Tax

StateGeneral Sales TaxWith Max Surtax
Iowa6%7%

Iowa Income Tax

StateIncome Tax (Low)Income Tax (High)
Iowa0.36%8.98%
When you are determining the total cost of living in Newton, IA you will want to make sure you consider both the Iowa sales tax and the Iowa income tax rates. Sales tax come in the form of taxes levied on both services and goods that are sold. The sales tax rates are different state to state and range from zero sales tax to higher than 7%. The sales tax in Iowa is 6%, with the highest surtax being 7%. Tax that is on income by the government is income tax. Different states have different income tax rates and these rates can be higher or lower dependent on the corresponding tax bracket. The state income tax rates are different state to state and range from no income tax to more than 9% income tax. The income tax rates in Iowa have a range from 0.36% to 8.98%.

Goods & Services

ItemNewtonNational avg.Difference
Haircut $13.67$14.596.3%
Beauty Salon $27.07$34.6821.9%
Toothpaste $2.07$2.4716.3%
Shampoo $1.00$1.022.2%
Movie $8.93$9.879.5%
Bowling $4.30$4.392.1%

Groceries

ItemNewtonNational avg.Difference
Ground Beef $4.03$4.4810.0%
Fried Chicken $1.77$1.4620.9%
Milk $2.26$2.364.1%
Potatoes $2.42$3.0621.0%
Pizza $8.49$9.248.1%
Beer $8.37$8.633.0%

Health Care

ItemNewtonNational avg.Difference
Optometrist $96.40$99.783.4%
Doctor $122.60$105.0316.7%
Dentist $78.13$88.7011.9%
Ibuprofen $8.89$9.415.5%
Lipitor $262.74$298.5012.0%

Housing

ItemNewtonNational avg.Difference
Home Price $96,800.00$175,700.0044.9%
Avg. Mortgage Payment $956.15$1,081.0311.6%
Apartment Rent $645.00$920.0029.9%

Transportation

ItemNewtonNational avg.Difference
Gasoline $1.83$2.0912.5%
Tire Balancing $44.80$45.291.1%

Utilities

ItemNewtonNational avg.Difference
All Electricity$143.19$170.8016.2%
Phone $29.30$28.263.7%
Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

Nearby cities with low cost of living

City, StatePopulationCost of Living IndexNational Avg.
Laurel, IA36174-26%
Reasnor, IA13877-23%
Gilman, IA69276-24%
Valeria, IA6578-22%
Colfax, IA1,83581-19%
Newton, IA15,13982-18%

Cities with similar population

City, StatePopulationCost of Living IndexNational Avg.
Aberdeen, MD15,1371011%
Berkley, MI15,13696-4%
Forrest City, AR15,12279-21%
Clearlake, CA15,1211011%
Boulder City, NV15,1621088%
Newton, IA15,13982-18%
Source: The Newton, IA cost of living data displayed above is derived from the Council for Community and Economic Research (C2ER) for the fourth quarter of 2015.