Indianapolis, Indiana Cost Of Living

A+

11%

Overall NAT. AVG.

5%

Goods & Services NAT. AVG.

29%

Housing NAT. AVG.

Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2023; 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	Indianapolis	Indiana	National
Cost of living	89	88	100
Goods & Services	95	93	100
Groceries	97	94	100
Health care	88	96	100
Housing	71	72	100
Transportation	93	96	100
Utilities	108	104	100

New Real Estate Listings in Indianapolis Area

For Sale For Rent

Search

Search Homes for Sale in Indianapolis, IN

See How Much House You Can Afford. Get Pre-Approved Today

Cost Of Living Quick Facts

The cost of living in Indianapolis is 1% higher than the Indiana average
The cost of living in Indianapolis is 11% lower than the national average
Indianapolis housing is 29% lower than the national average
Indiana general sales tax is 37% higher than the national average
Indiana state income tax is 43% higher than the national average

Most Affordable Places to Live in and Around Indianapolis

See all the best places to live around Indianapolis

Compare Indianapolis, IN Cost of Living

Write a review to give others more information about this area.

See all Indianapolis poll results

The best places in Indiana

Here are the best places to live in Indiana

These are the 10 most affordable cities in Indiana

10 best cities to buy a new house in Indiana

10 Best cities in Indiana for employment

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	$70,494	$5,875	$1,645	$2,115
Renters	$34,918	$2,910	$815	$1,048

A good indicator of the general affordability of housing in Indianapolis, IN, is the percentage of monthly income that should be spent on housing expenses, otherwise known as the debt-to-income ratio (DTI). Generally speaking, no more than 28 percent of your total gross income should be spent on your housing expenses and not more than 36 percent of your gross income on total expenses, including debts. In Indianapolis, the median monthly income is $70,494 for those who own their own homes. Under the standard rule, that income level would allow for $1,645 to be budgeted for housing expenses each month, at the most. Renters, on the other hand, earn about $34,918, per the median income in the area. That would allow for renters to spend up to $815 on monthly rental expenses.

Indiana Sales Tax

State	General Sales Tax	With Max Surtax
Indiana	7%	7%

Indiana Income Tax

State	Income Tax (Low)	Income Tax (High)
Indiana	3.23%	3.23%

Goods & Services

Item	Indianapolis	National avg.	Difference
Haircut	$18.83	$22.08	14.7%
Beauty Salon	$39.23	$42.88	8.5%
Toothpaste	$2.40	$2.57	6.3%
Shampoo	$1.10	$1.15	4.4%
Movie	$10.20	$11.51	11.4%
Bowling	$16.97	$16.62	2.1%

Groceries

Item	Indianapolis	National avg.	Difference
Ground Beef	$5.19	$4.98	4.2%
Fried Chicken	$1.70	$1.58	7.3%
Milk	$2.12	$2.42	12.4%
Potatoes	$3.26	$3.54	7.9%
Pizza	$11.57	$11.49	0.7%
Beer	$9.67	$10.04	3.7%

Health Care

Item	Indianapolis	National avg.	Difference
Optometrist	$68.63	$117.76	41.7%
Doctor	$97.22	$125.34	22.4%
Dentist	$99.33	$107.52	7.6%
Ibuprofen	$9.56	$10.26	6.8%
Lipitor	$480.94	$459.24	4.7%

Housing

Item	Indianapolis	National avg.	Difference
Home Price	$145,200.00	$184,700.00	21.4%
Avg. Mortgage Payment	$1,343.70	$1,697.41	20.8%
Apartment Rent	$911.00	$949.00	4.0%

Transportation

Item	Indianapolis	National avg.	Difference
Gasoline	$3.65	$3.85	5.2%
Tire Balancing	$50.87	$57.01	10.8%

Utilities

Item	Indianapolis	National avg.	Difference
All Electricity	$201.11	$177.27	13.4%
Phone	$188.71	$189.62	0.5%

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.
Beech Grove, IN	15,148	85	14.9%
Speedway, IN	12,327	88	12.4%
Mooresville, IN	9,727	89	11.4%
Warren Park, IN	1,477	89	11.1%
Southport, IN	1,879	89	10.9%
Indianapolis, IN	869,387	89	11.1%

Cities with similar population

City	Population	Cost of Living Index	National Avg.
Charlotte, NC	873,570	100	0.1%
San Francisco, CA	874,784	203	103.2%
Columbus, OH	889,079	89	11.4%
Fort Worth, TX	892,221	93	7.1%
Jacksonville, FL	902,488	91	9.2%
Indianapolis, IN	869,387	89	11.1%

Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2023; this is the most current data available.