Louisiana cost of living
Can you afford to live in the Pelican State?
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Relocating to Louisiana means immersing yourself in a state known for its vibrant culture, unique cuisine and friendly communities. But beyond its Southern charm, making the move also means preparing for a new set of financial realities. Understanding how much it costs to live in Louisiana is a crucial step in planning your next chapter.
To determine the cost of living in Louisiana, our team reviewed data from the U.S. Bureau of Economic Analysis to understand average spending. We also used recent sources to gather housing, food, transportation, health care and utility costs for a full picture of everyday expenses.
People in Louisiana spend $48,425 each year on goods and services, on average.
Jump to insightThe median rent in Louisiana is $1,063, versus the national median rent of $1,639.
Jump to insightResidents in Louisiana spend $282.95 weekly on food at home.
Jump to insightAs of August 2025, the average price per gallon of regular gas is $2.73 in Louisiana.
Jump to insightRecent data shows that employees in Louisiana pay $1,734 annually for employee-sponsored health insurance coverage.
Jump to insightThe average cost of living in Louisiana
According to the U.S. Bureau of Economic Analysis (BEA), the average annual per-person spending in Louisiana was $48,425 in 2023. This number reflects how much residents typically spend each year across main categories like housing, health care, food, energy and other personal needs.
Here’s a breakdown of the largest spending categories in Louisiana:
| Category | Annual per-capita cost in Louisiana |
|---|---|
| Housing and utilities | $7,617 |
| Health care | $9,576 |
| Food and beverages for off-premises consumption | $4,034 |
| Gasoline and other energy goods | $1,509 |
| All other personal consumption expenditures | $25,690 |
| Total cost | $48,425 |
Housing costs in Louisiana
The cost of a place to live is typically the largest piece of any household budget. Current data from Apartments.com shows the average rent in Louisiana is $1,063, compared with a national average rent of $1,639. Depending on location and unit size, actual rent can vary. According to the 2023 American Community Survey, average monthly rents in Louisiana are:
- One-bedroom rent: $871
- Two-bedroom rent: $1,013
- Three-bedroom rent: $1,136
- Four-bedroom rent: $1,405
For those interested in buying, Louisiana’s median home price is $250,400, which is much less than the U.S. median home price of $446,638.
Property taxes are another important consideration. Louisiana’s effective property tax rate is 0.55%, placing the state at No. 37 for highest property tax rates in the country.
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Food costs in Louisiana
How much you spend on groceries and meals in Louisiana can shift depending on your habits and where you shop. According to recent Census data, the average weekly grocery bill in Louisiana is $282.95, while the U.S. average is $270.21.
Your food spending can differ based on whether you frequently cook at home or enjoy dining out. Urban centers and cities popular with tourists often have higher restaurant prices, while smaller towns and rural parishes usually offer more affordable options. Taking advantage of local markets and seasonal produce may also help keep your grocery expenses in check.
Transportation costs in Louisiana
Transportation is another major expense for Louisiana families. The average price per gallon of regular gas in Louisiana is $2.73, compared with the national average of $3.13.
When it comes to car insurance, the average premium for full coverage in Louisiana is $1,743.08, while the national average is $1,258.
Health care costs in Louisiana
For working adults and families, health care costs are a key part of the budget. The average annual employee contribution for employer-sponsored health insurance in Louisiana is $1,734, with employers picking up the remaining $6,231 out of a total premium of $7,966.
Nationally, employees pay an average of $1,640 per year from a total annual premium of $8,182.
Utility costs in Louisiana
Keeping your home comfortable comes with regular utility bills. The average electric bill each month in Louisiana is $142.96, compared with $136.84 across the country.
Natural gas in Louisiana averages $13.36 per thousand cubic feet, while the national average is $12.92.
FAQ
Does Louisiana have a high cost of living?
No, Louisiana does not have a high cost of living compared with the national average. Overall expenses in Louisiana are lower than in most other states. Rent and home prices are noticeably less expensive than what you’ll find across much of the country, which helps many families keep monthly budgets manageable.
However, residents may see slightly higher costs for health care and natural gas than in other areas.
Is Louisiana a good place to live?
Yes, Louisiana is a good place to live if you value affordability and a strong sense of community. While not as many people are moving to Louisiana as some other states, those who settle here often appreciate the lower cost of living and the opportunities for renters and homebuyers alike.
The mix of affordable housing and unique local traditions makes Louisiana appealing for individuals and families looking to put down roots.
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Is Louisiana good for renters?
No, Louisiana is not good for renters. The state ranks among the worst in the U.S. for renters’ quality of life, with high crime rates and limited access to parks. Despite low rent prices compared with the national average, relative affordability is also a challenge. Residents spend nearly 36% of their income on rent, the second-highest share in the country.
Louisiana does stand out for rental availability, with a vacancy rate near 8%, but the trade-offs are significant. In some cities, buying may even be cheaper than renting. For example, in Alexandria, monthly homeownership costs are about 9% lower than the median rent, the largest discount of any U.S. market.
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:
- Apartments.com, “Rent Trends.” Accessed Aug. 20, 2025.
- Redfin, “Redfin Data Center.” Accessed Aug. 20, 2025.
- Tax Foundation, “Where Do People Pay the Most in Property Taxes?” Accessed Aug. 20, 2025.
- United States Census Bureau, “Week 63 Household Pulse Survey: October 18 - October 30.” Accessed Aug. 20, 2025.
- AAA Gas Prices, “State Gas Price Averages.” Accessed Aug. 20, 2025.
- National Association of Insurance Commissioners, “2021/2022 Auto Insurance Database Report.” Accessed Aug. 20, 2025.
- KFF, “Average Annual Single Premium per Enrolled Employee For Employer-Based Health Insurance.” Accessed Aug. 20, 2025.
- U.S. Energy Information Administration, “2023 Average Monthly Bill- Residential.” Accessed Aug. 20, 2025.
