Newark cost of living index

Date & Last Updated: This data reflects 2019 and was released from C2ER in January, 2020; this is the most current data available.
The 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 breakdown for each index is as follows: goods and services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). In the event that the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
IndexNewarkNew JerseyNational
Cost of living112123100
IndexNewarkNew JerseyNational
Goods & Services115111100
Groceries110110100
Health care97102100
Housing115158100
Transportation112110100
Utilities105100100

Key findings

  • The cost of living in Newark is 9% lower than the New Jersey average
  • The cost of living in Newark is 12% higher than the national average
  • Newark housing is 15% higher than the national average
  • New Jersey general sales tax is 30% higher than the national average
  • New Jersey state income tax is 37% lower than the national average

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Compare Newark, NJ Cost of Living To Other Cities

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      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median IncomePer YearPer MonthMax Budget (28% DTI)Max Budget (36% DTI)
      Owners$63,792$5,316$1,488$1,914
      Renters$27,446$2,287$640$823
      The percentage of monthly income spent on housing related expenses can help predict the affordability of housing in Newark, NJ, 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 Newark, homeowners have a median income of $63,792. Using that number, a maximum of $1,488 per month should be allocated to housing expenses. For those who are renting instead of owning, the median income is $27,446, which means there is a maximum of $640 to be spent on the costs of renting a home or apartment.

      New Jersey Sales Tax

      StateGeneral Sales TaxWith Max Surtax
      New Jersey6.625%12.625%

      New Jersey Income Tax

      StateIncome Tax (Low)Income Tax (High)
      New Jersey1.4%10.75%

      Goods & Services

      ItemNewarkNational avg.Difference
      Haircut $20.60$17.4917.8%
      Beauty Salon $38.40$38.170.6%
      Toothpaste $2.01$2.3213.4%
      Shampoo $0.99$1.012.2%
      Movie $12.98$10.7221.0%
      Bowling $18.00$13.8629.9%

      Groceries

      ItemNewarkNational avg.Difference
      Ground Beef $4.11$3.905.4%
      Fried Chicken $1.66$1.4018.9%
      Milk $2.15$1.969.6%
      Potatoes $3.39$3.186.5%
      Pizza $11.99$10.3915.4%
      Beer $9.19$9.230.4%

      Health Care

      ItemNewarkNational avg.Difference
      Optometrist $106.00$106.340.3%
      Doctor $91.00$115.2521.0%
      Dentist $102.00$98.383.7%
      Ibuprofen $8.51$9.268.1%
      Lipitor $532.99$466.4714.3%

      Housing

      ItemNewarkNational avg.Difference
      Home Price $222,100.00$184,700.0020.2%
      Avg. Mortgage Payment $2,067.45$1,273.3262.4%
      Apartment Rent $981.00$949.003.4%

      Transportation

      ItemNewarkNational avg.Difference
      Gasoline $2.75$2.595.9%
      Tire Balancing $61.40$48.9025.6%

      Utilities

      ItemNewarkNational avg.Difference
      All Electricity$186.95$167.6011.5%
      Phone $177.03$163.428.3%
      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.
      East Orange, NJ64,62111111%
      Roselle, NJ21,50711111%
      Silver Lake, NJ4,00711414%
      Paterson, NJ146,89411515%
      Plainfield, NJ50,57811515%
      Newark, NJ280,13911212%

      Cities with similar population

      City, StatePopulationCost of Living IndexNational Avg.
      Toledo, OH280,85485-15%
      Plano, TX279,08811212%
      Greensboro, NC282,17793-7%
      Henderson, NV277,8721066%
      Lincoln, NE273,01893-7%
      Newark, NJ280,13911212%
      Source: The Newark, NJ cost of living data displayed above is derived from the Council for Community and Economic Research (C2ER) for 2019.