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.
The above illustration supplies generalized information for the Minneapolis, MN cost of living index. Compared to other cities in Minnesota and cities across the country, the cost of living index in Minneapolis, MN is 106, which is 4% higher than the Minnesota average and 6% higher than that for the entire country. The index is comprised of the following criteria: cost of retail goods and services (33%), groceries (13%), health care (5%), housing (30%), cost of public/private transportation (9%) and utilities (10%). Everyday goods and services, along with housing account for 63 percent of the total cost of living index. Goods and services that are a necessity regardless of location provide an accurate general sense of the cost of living in one city versus another. As seen above, the cost of retail goods and services in Minneapolis, MN are 2% higher than the average for Minnesota and 7% higher than the rest of the country.
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Did you know?
The cost of living in Minneapolis is 4% higher than the Minnesota average.
The cost of living in Minneapolis is 6% higher than the national average.
The cost of housing in Minneapolis is 9% higher than the national average.
Minnesota general sales tax is 35% higher than the national average.
Minnesota state income tax is 141% higher than the national average.
Compare Minneapolis, MN Cost of living To Other Cities
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
The salary calculator is used in order to provide a comparison of your current salary in Minneapolis, MN to another city of your choice. The calculator will inform you of what your salary needs to be in any specific city in order for you to maintain your living standard based on what the city’s cost of living is. As an example, if you are seeking to move to a city that has a higher cost of living compared to Minneapolis, MN, you would have to earn a higher income to maintain a standard of living that is similar. To get started with the Minneapolis, MN salary calculator, input the new city’s name and then move the slider to indicate your current income. The salary calculator will now process the numbers and show you whether you need to earn more or less in the chosen city. A comprehensive breakdown of the cost of living will also be shown.
Median Income & Debt-To-Income Ratio
Median Income
Per Year
Per Month
Max Budget (28% DTI)
Max Budget (36% DTI)
Owners
$83,789
$6,982
$1,955
$2,514
Renters
$33,268
$2,772
$776
$998
If you want to find a good determining factor for the cost of living and the general affordability of housing in Minneapolis, MN, all you must look at 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 Minneapolis, MN, the median monthly income is $83,789 for those who own their own homes. Under the standard rule, that income level would allow for $1,955 to be budgeted for housing expenses each month, at the most. Renters, on the other hand, earn about $33,268, per the median income in the area. That would allow for renters to spend up to $776 on monthly rental expenses.
Minnesota Sales Tax
State
General Sales Tax
With Max Surtax
Minnesota
6.875%
7.875%
Minnesota Income Tax
State
Income Tax (Low)
Income Tax (High)
Minnesota
5.35%
9.85%
One thing to keep in mind when considering the cost of living in Minneapolis, MN is the Minnesota sales tax and Minnesota income tax rates. Sales taxes are taxes that are collected on most goods or services sold. Sales taxes can vary by state and can be as high as 7% and as low as 0% as not every state imposes a sales tax. The Minnesota sales tax rate is 6.875% and the maximum surtax that can be charged is 7.875%. Income tax is the tax imposed on income by both the federal and state government. The income tax rates varies by individual state and will also be higher or lower depending on the applicable tax bracket. The rates of state income tax can vary from 0% to more than 9%. The Minnesota income tax rates range from 5.35% to 9.85%.
Goods & Services
Item
Minneapolis
National avg.
Difference
Haircut
$23.99
$16.09
49.1%
Beauty Salon
$34.28
$37.33
8.2%
Toothpaste
$3.38
$2.45
38.2%
Shampoo
$1.06
$1.00
6.3%
Movie
$10.13
$10.28
1.4%
Bowling
$4.01
$4.93
18.6%
Groceries
Item
Minneapolis
National avg.
Difference
Ground Beef
$4.38
$3.80
15.1%
Fried Chicken
$2.05
$1.40
46.8%
Milk
$2.30
$2.01
14.6%
Potatoes
$3.30
$3.01
9.6%
Pizza
$11.04
$9.89
11.7%
Beer
$8.98
$8.90
0.9%
Health Care
Item
Minneapolis
National avg.
Difference
Optometrist
$82.63
$102.16
19.1%
Doctor
$132.41
$108.36
22.2%
Dentist
$84.22
$92.53
9.0%
Ibuprofen
$12.00
$9.28
29.3%
Lipitor
$422.69
$425.82
0.7%
Housing
Item
Minneapolis
National avg.
Difference
Home Price
$212,800.00
$184,700.00
15.2%
Avg. Mortgage Payment
$1,258.46
$1,202.44
4.7%
Apartment Rent
$898.00
$949.00
5.4%
Transportation
Item
Minneapolis
National avg.
Difference
Gasoline
$2.23
$2.24
0.5%
Tire Balancing
$58.07
$46.29
25.5%
Utilities
Item
Minneapolis
National avg.
Difference
All Electricity
$157.86
$165.96
4.9%
Phone
$24.99
$28.68
12.9%
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.
