Indiana cost of living
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Moving to a new state is a mix of emotions — it can be full of new possibilities but also challenging and a bit scary. While a fresh start offers exciting opportunities and experiences, it's important to consider the practical side of things, too. Building new friendships, finding support and getting to know your way around takes time.
Moving can also be costly and emotionally draining. Whether you're relocating to Indiana for a job, a change of scenery or any other reason, understanding the cost of living in the state is crucial for a smooth transition.
The median rent in Indiana is $1,352.28, versus the national median rent of $1,529.01.
Jump to insightResidents in Indiana spend $239.11 weekly on food at home and $100.60 on food out.
Jump to insightAs of publishing, the average price per gallon of regular gas is $3.48 in Indiana.
Jump to insightRecent data shows that employees in Indiana pay $1,774 annually for employee-sponsored health insurance coverage.
Jump to insightHousing costs in Indiana
According to recent data from Zillow, the median rent in Indiana is $1,352.28, while the national median rent is $1,529.01.
Data from the U.S. Census Bureau shows rent prices in Indiana broken down by home size. As of publishing, one-bedroom apartments in Indiana had a median cost of $823 per month, and the two-bedroom median cost was $979 per month. Three- and four-bedroom homes had median costs of $1,137 and $1,326, respectively.
As of publishing, the median home price in Indiana is $253,000, according to Redfin. The U.S. median home price is $436,000.
The median home price for the metro area of Indianapolis, which includes Carmel and Anderson, was $300,100 in the first quarter of 2024, according to the National Association of Realtors (NAR). On the other hand, the median home price in South Bend was much lower, at $180,000. The median home price in Fort Wayne was $232,700, and the median for the Gary-Hammond metro area was $249,300.
Indiana ranks No. 30 for highest effective property tax rates in the nation, according to the most recent Tax Foundation data, at 0.84%.
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Food costs in Indiana
According to recent census data, the average spent on food to prepare at home each week in Indiana is $239.11, compared with the U.S. average of $270.21 at the time. Indiana residents spend an average of $100.60 weekly on food prepared outside the home, compared with the U.S. average of $109.21.
Transportation costs in Indiana
According to recent data from AAA, the average price per gallon of regular gas in Indiana is $3.48, compared with the U.S. average of $3.46.
The most recent National Association of Insurance Commissioners data shows that the average auto insurance premium (liability, collision and comprehensive coverage combined) in Indiana is $858.45, versus the national average of $1,189.50.
Public transportation costs
The Indiana Department of Public Transportation operates a public bus network with several transit authorities throughout the state. Rail services provided by Amtrak are also available in select cities, such as South Bend, Indianapolis and Lafayette. The average fare per public transit trip in Indianapolis is $1.75 as of publishing.
Health care costs in Indiana
The most recent KFF data shows that, on average, employer-sponsored health insurance cost Indiana employees $1,774 annually, with employers covering the remaining $5,827 of the $7,601 total cost.
Nationwide, the average employee contribution was $1,637 out of a total premium of $7,590.
Utility costs in Indiana
According to the most recent data from the Energy Information Administration, the average monthly electric bill in Indiana is $138.61, versus $135.25 countrywide.
Recent EIA data also shows that natural gas in Indiana costs $9.06 per thousand cubic feet, compared with $13.25 nationally.
FAQ
Does Indiana have a high cost of living?
Overall, Indiana has a fairly low cost of living as of publishing. Housing costs, the most significant portion of an individual's expenses, are much lower than national averages. Car insurance and food costs are also comparatively reasonable.
What are the most expensive cities in Indiana?
As of publishing, Indianapolis and the surrounding areas are the most expensive in the state in terms of housing, according to 2024 NAR data. The city came in at No. 32 for most expensive cities in our 2023 study.
How much do I need to make to live in Indianapolis?
Our 2024 story on income required to live in various U.S. cities indicated that a single adult would need an annual salary of $53,668 or a full-time hourly rate of $25.80 to live comfortably in Indianapolis.
Article sources
ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. Specific sources for this article include:
- Zillow, "Housing Data." Accessed May 14, 2024.
- Redfin, "Redfin Data Center." Accessed May 14, 2024.
- Tax Foundation, "Where Do People Pay the Most in Property Taxes?" Accessed May 14, 2024.
- United States Census Bureau, "Week 63 Household Pulse Survey: October 18 - October 30." Accessed May 14, 2024.
- AAA Gas Prices, "State Gas Price Averages." Accessed June 14, 2024.
- National Association of Insurance Commissioners, "2020/2021 Auto Insurance Database Report." Accessed May 14, 2024.
- KFF, "Average Annual Single Premium per Enrolled Employee For Employer-Based Health Insurance." Accessed May 14, 2024.
- U.S. Energy Information Administration, "2022 Average Monthly Bill- Residential." Accessed May 14, 2024.
