A+
10%
Overall NAT. AVG.
5%
Goods & Services NAT. AVG.
19%
Housing NAT. AVG.
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Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index Des Moines Iowa National
Cost of living9090100
Goods & Services9596100
Groceries9997100
Health care9499100
Housing8173100
Transportation9198100
Utilities8796100

An Overview of Cost of Living in Des Moines, IA

Are you thinking about relocating, but curious about the potential cost of living in Des Moines? Is it more expensive or more affordable than average? Based on the most recent report, the cost of living in Des Moines stands at 90, making it 10% lower 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 Des Moines, 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 Des Moines will resemble that of an average city, contributing to a manageable cost of living.

Is Des Moines Affordable?

Wondering if Des Moines is affordable? It's a question that often comes up when you're thinking about a new city since affordability can really shape your decisions. The cost of living index (covered earlier), housing expenses and income levels all play a part in the affordability equation. In Des Moines, for example, the median home price is 23.5% lower than what folks pay nationally, and monthly rent is 7.2% lower than the usual rates. Plus, income levels matter too, with Des Moines boasting a median household income of $54,843, which is 0.9% lower than the national average.

What Factors can Influence the Cost of Living in Des Moines?

Urbanization: Urban areas with extensive amenities and job opportunities tend to have a higher cost of living due to increased demand for services and relocation, resulting in higher home prices and higher rents. Less densely populated rural areas, or areas with less demand tend to have fewer amenities and slower job growth, which results in a lower 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 Des Moines, the standard sales tax rate starts at 6%, and the income tax rates commence at 0.33%.

Utilities: As with the prices of anything else, utility costs can exhibit significant variations, contingent on factors like climate, energy source availability, geographic location and state regulations. The expenses associated with electricity, water, heating, and waste disposal can fluctuate, either upward or downward, depending on the particular city or state. In Des Moines, the utilities index registers 13.4% lower than the national average.

Where is the Data From?

The cost of living in Des Moines, presented above is derived from the C2ER cost of living index, offering a practical method for assessing living cost disparities in urban areas. Published quarterly, this index compiles data from more than 300 independent researchers, encompassing over 60 goods and services in 6 categories. The weightings assigned to cost variances are informed by government survey data tracking the expenditure patterns of professional and executive households. It should be noted that the C2ER index does not include data on sales or income tax rates, however, AreaVibes incorporates tax rates into the overall cost of living score for each area.

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Cost Of Living Quick Facts

  • The cost of living in Des Moines is 1% higher than the Iowa average
  • The cost of living in Des Moines is 10% lower than the national average
  • Des Moines housing is 19% lower than the national average
  • Iowa general sales tax is 18% higher than the national average
  • Iowa state income tax is 85% lower than the national average

Most Affordable Places to Live in and Around Des Moines

See all the best places to live around Des Moines

Compare Des Moines, IA Cost of Living

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      Salary Calculator

      This is how much you would need to earn in
      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$71,556$5,963$1,670$2,147
      Renters$36,073$3,006$842$1,082
      The percentage of monthly income spent on housing related expenses can help predict the affordability of housing in Des Moines, IA, as well as what the overall cost of living might be. 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 payments and not more than 36 percent of income on all expenses and debts. In Des Moines, homeowners have a median income of $71,556. Using that number, a maximum of $1,670 per month should be allocated to housing expenses. For those who are renting instead of owning, the median income is $36,073, which means there is a maximum of $842 to be spent on the costs of renting a home or apartment.

      Iowa Sales Tax

      State General Sales Tax With Max Surtax
      Iowa 6% 7%

      Iowa Income Tax

      State Income Tax (Low) Income Tax (High)
      Iowa 0.33% 8.53%

      Goods & Services

      Item Des Moines National avg. Difference
      Haircut $20.63$24.2615.0%
      Beauty Salon $41.00$45.5610.0%
      Toothpaste $3.69$3.700.3%
      Shampoo $1.35$1.285.6%
      Movie $11.17$12.137.9%
      Bowling $20.87$18.0015.9%

      Groceries

      Item Des Moines National avg. Difference
      Ground Beef $6.36$5.848.9%
      Fried Chicken $1.38$1.5712.6%
      Milk $4.82$4.673.2%
      Potatoes $4.81$4.932.6%
      Pizza $11.84$12.092.0%
      Beer $9.82$10.415.7%

      Health Care

      Item Des Moines National avg. Difference
      Optometrist $125.17$125.680.4%
      Doctor $129.05$135.785.0%
      Dentist $96.60$113.2914.7%
      Ibuprofen $10.88$10.652.1%
      Lipitor $495.45$468.605.7%

      Housing

      Item Des Moines National avg. Difference
      Home Price $141,300.00$184,700.0023.5%
      Avg. Mortgage Payment $1,877.36$2,346.6920.0%
      Apartment Rent $881.00$949.007.2%

      Transportation

      Item Des Moines National avg. Difference
      Gasoline $3.19$3.467.8%
      Tire Balancing $52.49$59.9212.4%

      Utilities

      Item Des Moines National avg. Difference
      All Electricity $154.71$193.9920.3%
      Phone $186.87$192.252.8%
      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 Population Cost of Living Index National Avg.
      Bevington, IA27946.1%
      Valeria, IA407822.1%
      Spring Hill, IA488416.2%
      Sandyville, IA648614.3%
      Hartford, IA7098712.9%
      Des Moines, IA215,408909.9%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Richmond Hill, ON215,407n/a 
      Tacoma, WA215,76612827.6%
      Enterprise, NV214,59111717.3%
      Modesto, CA214,48512423.6%
      San Bernardino, CA216,78411918.9%
      Des Moines, IA215,408909.9%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.