| Index | Madison | Mississippi | National |
| Cost of living | 111 | 86 | 100 |
| Groceries | 97 | 97 | 100 |
| Health care | 91 | 95 | 100 |
| Housing | 152 | 63 | 100 |
| Transportation | 92 | 94 | 100 |
| Utilities | 96 | 98 | 100 |
| Lifestyle & Entertainment | 90 | 94 | 100 |
| Household Items | 96 | 96 | 100 |
| Education & Childcare | 97 | 94 | 100 |
Understanding the cost of living in Madison can help future residents assess whether their current financial situation aligns with the expenses they will encounter. It enables them to plan for potential changes in their budget and lifestyle. The Madison cost of living index is 111, which is 11% higher than the national average. The cost of living index is calculated by taking into account multiple categories, which encompass both the cost of everyday expenditures and larger expenses as well.
Housing costs are a very significant part of the Madison cost of living index and generally encompass a large percentage of take-home income. Unfortunately, in this area, the housing costs for both homes and rentals were 51.6% more than the average city. This includes things like home and rent prices, mortgage rates and insurance.
The real experts on a city are its residents. That's why we reached out to 6 locals to get their views on the cost of living in Madison. We surveyed the residents and asked them if they felt like prices were affordable or out of reach. The results were as follows. 67% found it budget-friendly with decreasing prices, while 33% said it's simply not affordable as prices have continued to rise.
Is Madison an affordable place to live? That's a valid question to ask when you're thinking about moving to a new city. After all, how much it costs to live somewhere can be a huge factor in your decision. Affordability can be broken down into 3 common categories. The cost of living index (we talked about it earlier), housing expenses and income levels all play a big role in figuring out if a place is affordable. For instance, in Madison, the median home price is 47.8% higher than what most folks pay across the country, and monthly rent prices are 60.5% higher than the usual rates. Income levels in Madison come in at $179,747, which is 121% higher than the national average.
Taxes: Cities that impose higher taxes, including sales and income taxes, can contribute to an escalated cost of living. The added expense of taxes on everyday goods like clothing and food naturally results in higher overall costs. Similarly, a higher income tax rate can further elevate the cost of living. In Madison, the general sales tax rate starts at 7%, and income tax rates begin at 5%.
Subsidies: Some areas might offer government subsidies or assistance programs that help lower cost of living for residents. These programs can include anything from 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 crop subsidies. Areas that offer less subsidies, could see an increase in their cost of living.
Utilities: Similar to the prices of any goods or services, utility expenses can fluctuate widely, contingent on variables such as climate, available energy sources, geographical location and state regulations. Costs associated with electricity, water, heating, and waste disposal can differ in magnitude, depending on the specific city or state. In Madison, the utilities index registers at 4.5% lower than the national average.
The cost of living data for Madison shown above is based on a U.S. average baseline score of 100, making it easier to compare how far your dollar may go from one city to another. Housing uses U.S. Census home price and rental data, while all remaining values are AI-assisted estimates informed by regional pricing, climate, transportation dynamics, and local economic factors. These scores are best used for directional comparisons between cities.
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| Educare index |
| Median Income | Per Year | Per Month | Max Budget (28% DTI) | Max Budget (36% DTI) |
| Owners | $184,983 | $15,415 | $4,316 | $5,550 |
| Renters | $76,366 | $6,364 | $1,782 | $2,291 |
| State | General Sales Tax | With Max Surtax |
| Mississippi | 7% | 7.25% |
| State | Income Tax (Low) | Income Tax (High) |
| Mississippi | 5% | 5% |
| City | Population | Cost of Living Index | National Avg. |
| Kearney Park, MS | 1,202 | 80 | 19.7% |
| Bentonia, MS | 377 | 81 | 19.1% |
| Jackson, MS | 168,127 | 85 | 15.5% |
| Canton, MS | 12,207 | 86 | 14.5% |
| Pearl, MS | 27,352 | 90 | 10.1% |
| Madison, MS | 26,675 | 111 | 11.4% |
| City | Population | Cost of Living Index | National Avg. |
| Medina, OH | 26,667 | 96 | 4.4% |
| Milford, MA | 26,685 | 128 | 28.5% |
| Deer Park, NY | 26,661 | 135 | 34.8% |
| Brawley, CA | 26,691 | 112 | 12.0% |
| Mauldin, SC | 26,699 | 100 | 0.4% |
| Madison, MS | 26,675 | 111 | 11.4% |
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