35 Surprising Cities With Low Costs of Living
No matter what your income level, most Americans have felt the impact of recent high inflation on the costs of goods and services you regularly buy. However, if you’re struggling to make ends meet, where you live can also play a part. It can be tough to stretch even a big paycheck far enough to pay for necessities and have money left over for savings — and a little fun — if you’re in a place where the cost of living is high. So, it might be time to move to a place that’s more affordable.
Read: These Are the 10 Most Overpriced Housing Markets in the US — 5 Are in Florida
Learn: How To Build Your Savings From Scratch
In order to help you pinpoint the cheapest places to live, GOBankingRates compared living expenses in 150 of the largest U.S. cities to find the top 35 cities to find out where you can live comfortably. The 50/30/20 budgeting rule was used as a guideline, in which 50% of income covers necessities, 30% covers discretionary items and 20% is for savings. For necessities, the cost of rent, groceries, utilities, transportation and healthcare were used. Then, GOBankingRates doubled the cost of necessities to get the total income needed.
Keep reading to see how much money you need to live comfortably in these U.S. cities.
35. Aurora, Illinois
Total annual cost of living: $29,154.56
Annual income needed: $58,309.13
Housing Market 2023: Prices Are Now So High That Banks Are Losing Money on Mortgages
Florida’s Retirees Are Fleeing: Here’s Where They’re Going Instead
34. Chattanooga, Tennessee
Total annual cost of living: $29,110.77
Annual income needed: $58,221.54
Take Our Poll: Who Has Given You the Best Money Advice You Have Ever Received?
33. Kansas City, Missouri
Total annual cost of living: $28,873.02
Annual income needed: $57,746.05
32. Columbus, Ohio
Total annual cost of living: $28,866.75
Annual income needed: $57,733.49
Housing Market 2023: Is a Double-Digit Drop in Prices Coming?
31. Cincinnati, Ohio
Total annual cost of living: $28,558.75
Annual income needed: $57,117.50
30. Corpus Christi, Texas
Total annual cost of living: $27,983.98
Annual income needed: $55,967.97
29. Oklahoma City
Total annual cost of living: $27,801.17
Annual income needed: $55,602.34
Learn More: 5 Affordable Up-and-Coming US Locations To Buy Vacation Property in 2023
28. Indianapolis
Total annual cost of living: $27,671.95
Annual income needed: $55,343.90
27. Milwaukee
Total annual cost of living: $27,426.58
Annual income needed: $54,853.16
26. Mobile, Alabama
Total annual cost of living: $27,272.03
Annual income needed: $54,544.06
See: 5 Kitchen Appliances That Just Aren’t Worth the Money
25. Greensboro, North Carolina
Total annual cost of living: $27,228.76
Annual income needed: $54,457.51
24. Laredo, Texas
Total annual cost of living: $27,228.76
Annual income needed: $54,457.51
23. Winston-Salem, North Carolina
Total annual cost of living: $26,913.65
Annual income needed: $53,827.30
Learn: 5 Affordable Up-and-Coming US Locations To Buy Vacation Property in 2023
22. Lubbock, Texas
Total annual cost of living: $26,896.00
Annual income needed: $53,791.99
21. Wichita, Kansas
Total annual cost of living: $26,850.45
Annual income needed: $53,700.90
20. St. Louis
Total annual cost of living: $26,810.56
Annual income needed: $53,621.12
Check Out: Dave Ramsey’s 7 Tips for Paying Off a Mortgage Faster
19. El Paso, Texas
Total annual cost of living: $26,782.30
Annual income needed: $53,564.59
18. Tulsa, Oklahoma
Total annual cost of living: $26,603.23
Annual income needed: $53,206.46
17. Fayetteville, North Carolina
Total annual cost of living: $26,579.74
Annual income needed: $53,159.48
Next: 5 Things You Should Always Pay For With Cash
16. Rochester, New York
Total annual cost of living: $26,438.91
Annual income needed: $52,877.82
15. Fort Wayne, Indiana
Total annual cost of living: $26,388.64
Annual income needed: $52,777.27
14. Des Moines, Iowa
Total annual cost of living: $26,322.87
Annual income needed: $52,645.75
See: 7 Affordable Places To Retire if You Love the Great Outdoors
13. Little Rock, Arkansas
Total annual cost of living: $26,203.00
Annual income needed: $52,406.00
12. Detroit
Total annual cost of living: $26,174.91
Annual income needed: $52,349.83
11. Augusta, Georgia
Total annual cost of living: $25,861.85
Annual income needed: $51,723.71
Find: 10 Jaw-Dropping Stats About the State of Retirement in America
10. Amarillo, Texas
Total annual cost of living: $25,694.05
Annual income needed: $51,388.10
9. Montgomery, Alabama
Total annual cost of living: $25,372.99
Annual income needed: $50,745.98
8. Memphis, Tennessee
Total annual cost of living: $25,241.81
Annual income needed: $50,483.63
Learn More: 10 States That Receive the Most Social Security
7. Columbus, Georgia
Total annual cost of living: $25,117.72
Annual income needed: $50,235.43
6. Brownsville, Texas
Total annual cost of living: $24,678.68
Annual income needed: $49,357.37
Find Out: 7 Ways Baby Boomers Are Wasting Money in Retirement — and How To Stop It
5. Birmingham, Alabama
Total annual cost of living: $24,439.12
Annual income needed: $48,878.25
4. Shreveport, Louisiana
Total annual cost of living: $24,373.68
Annual income needed: $48,747.35
Social Security: Women Get $354 Per Month Less Than Men — Here’s Why
3. Toledo, Ohio
Total annual cost of living: $22,308.57
Annual income needed: $44,617.14
2. Cleveland
Total annual cost of living: $21,710.15
Annual income needed: $43,420.29
See: 5 Presidents Who Raised Taxes the Most, and 5 Who Lowered Them
1. Akron, Ohio
Total annual cost of living: $21,631.90
Annual income needed: $43,263.79
More From GOBankingRates
Robert Kiyosaki Shares 7 Steps To Reach Your Financial Goals
This Mistake Can Tank Your Credit Score 100 Points Overnight
Cameron Huddleston, Grace Lin and Sydney Champion contributed to the reporting for this article.
Methodology: To find 35 cities with low costs of living, GoBankingRates analyzed the 150 largest cities in the United States by population, according to the Census Bureau’s 2021 American Community Survey. First, GOBankingRates referenced the Bureau of Labor Statistics’ 2021 Consumer Expenditure Survey data to find the amount that a typical consumer unit spends annually on necessities across the following five categories: housing, groceries, utilities, healthcare, and transportation. Then, GOBankingRates used Sperling’s Best Places’ cost of living indices to adjust spending estimates in each category to reflect prices in each city. Finally, GOBankingRates doubled the estimated total annual cost of necessities in each city to create an estimated minimum income needed to live comfortably, using the 50/30/20 budgeting rule (which allocates 50% of income to necessities, 30% to discretionary spending, and 20% to savings) as a guideline. Cities were then ranked on the estimated minimum income needed to live comfortably, with no. 1 being the city with the overall lowest cost of living. All data was collected on and up to date as of Nov. 30, 2022.
This article originally appeared on GOBankingRates.com: 35 Surprising Cities With Low Costs of Living
