Have you given any thought to relocating to a place where your money will go further? Traditionally, where we reside has been determined by our social networks or job prospects. That isn’t necessarily a bad concept, though. The cost of living in the most and least expensive states ranges significantly, and you might be able to find a place where you can live more comfortably for less money. New prospects are a major pull for many people to live in the hustle and bustle of our large cities. But the expense of living in large cities is extremely high when compared to other places. Read on to learn about states with the lowest cost of living for retirees, high wages, and blue states with the lowest cost of living.
What Are the States With Lowest Cost of Living?
The phrase “cost of living” simply means the cost of living somewhere. It accounts for all costs, including those for housing, food, transportation, healthcare, utilities, and other goods and services. We find the states with the lowest cost of living (C2ER) by using the Cost of Living Index from the Council for Community and Economic Research. Unless otherwise stated, every single statistic in this article is derived from that index.
Let’s compare the cost of living, income, and unemployment rates in each state to the national average now that you know which ones are the least expensive. We’ll also briefly discuss the cultures of each state. Which states, then, have the most affordable home prices? The following states, which also have the lowest state taxes, offer the following benefits:
#1. Mississippi’s
Mississippi inhabitants get the best benefits and the highest standard of living. Because of the high median income and low cost of living, residents can afford to live comfortably. The low unemployment rate makes it simpler to find work. Mississippi is the ideal place for retirees on a tight budget to live because of its lovely scenery and reasonably priced houses.
#2. Arkansas
One of the states with the lowest cost of living is Arkansas. Compared to other states, home costs are significantly more reasonable, and average rent is often lower. The number of business owners in Arkansas, a great destination if you’re on a tight budget, may surprise you.
#3. South Carolina
West Virginia is a budget-friendly state with reasonably priced housing and a cheap cost of living. Because of the state’s high median income of $48,037, its residents may enjoy comfortable lives. Just two of the various outdoor activities offered in West Virginia include skiing and hiking. It is on par with any state in terms of scenery, culture, and history.
#4. Ohio
In comparison to other states, Ohio boasts a strong job market and a substantially lower cost of living. Most residents may readily find employment that pays well and supports a decent standard of living. There aren’t many states, if any, that are more suited for business expansion if you’re an entrepreneur.
Geographically speaking, Ohio has many advantages. Because the state sits in the middle of the country, it is easy to get anywhere from there. There are also a number of sizable cities there, such as Cleveland, Columbus, and Cincinnati. As an alternative, there are lots of options for relaxation and fun.
#5. Indiana
When compared to many other states, Indiana has one of the lowest costs of living, which is one of its best attributes. It is possible to live there all year due to the mild and moderate environment as well as other considerations. The amount Indiana has to offer outdoor enthusiasts is underappreciated. The landscape of the Hoosier State is diverse, and there are several chances for outdoor activity. The robust economy and low unemployment rate you need are found in Indiana. In overall, it’s a great place to live and work.
#6. Missouri
One of the cheapest states in the union is Kansas. Generally speaking, the cost of living and unemployment rate are substantially lower than the national average. Consequently, Kansas is among the finest areas to live if you want to save money. Kansas is a state that is easy on the wallet and offers a wide range of leisure and cultural opportunities. The Midwest is a haven for outdoor recreation in addition to having many museums, theaters, and other tourist attractions. Whether you’re looking for a big city or a small town, Kansas has a lot to offer.
#7. Kentucky
Kentucky is a well-liked place to live and work due to its affordability (and the people are friendly). Due to the lack of a personal income tax, Kentucky has one of the lowest cost of living rates in the US. Everyone who wants to save money should therefore go there. The best place for job seekers is the Bluegrass State because of its low unemployment rate. You’ll like learning about the state’s rich history and culture if you enjoy visiting historical sites and museums.
#8. Michigan
One of the least expensive states in the union is Michigan. Living expenses are much lower than in other states, and the median household income of $59,234 is also quite attractive. This can be the state for you if you have a limited budget and want to get the most out of both your personal and professional lives.
The Great Lakes State provides its citizens with a wealth of advantages in addition to being reasonably priced. There is a booming economy, a wide range of career opportunities, and exciting business opportunities. It includes many of parks and recreational spaces in addition to a stunning natural environment. Additionally, it’s a cozy area to live all year long (as long as you prepare for winter weather).
#9. Oklahoma
Oklahoma is a terrific area to live for many reasons, but one of the most significant is how reasonably priced it is. Also, Oklahoma offers much more affordable housing and lower living costs when compared to the rest of the US. The fact that there is no income tax in Oklahoma could help people save a lot of money.
States With the Lowest Cost of Living and Highest Wages
To determine the number of states with the lowest cost of living and highest wages. Using the annual median prices of housing, groceries, health care, utilities, and transportation, you can figure out how much it costs to live in the area monthly. The sum of the states with the lowest cost of living and highest wages was then subtracted from the average annual income of each town so that residents would know exactly how much was left over after spending. Below is a list of states with the lowest cost of living and highest wages:
#1. Broken Arrow Illinois
This state is known as one of the ones with the lowest cost of living and the highest wages. Additionally, it offers a respectable take-home income of $74,340.62 after expenses. Aside from the $5,969.94 annual cost of health care, all other demands are below the national average. That shouldn’t hurt too much, though, given how much you’ll have left over.
#2. Rochester Minnesota
Rochester, Minnesota, is another state known as one of the states with the lowest cost of living and highest wages. All needs are still less expensive than the national average. After paying for them, there is a decent amount of money left over: $66,690.75.\
#3. Charlotte North Carolina
Charlotte has expenses for all necessities that are equivalent to or less expensive than the national average, in addition to having a healthy average household income. In our ranking, housing prices are third-lowest with an annual cost of $13,125.42. After paying for all essential expenses, your account will still have $64,965.13 in it.
#4. Pearland Texas
This state is also rated as one of the states with the lowest cost of living and highest wages. The average household income in this area is $123,869. After paying for essential costs ($15,326.25 for housing and $7,091.14 for transportation), this leaves an astounding $87,574.44 per home.
#5. Virginia Beach Virginia
In Virginia Beach, the average cost of utilities and transportation ($4,100.53 and $5,568.36, respectively) is less than the national average. You do pay slightly more than average for housing and healthcare, but after covering living expenses, you still have $65,431.27 in your account.
#6. Round Rock Texas
The monthly cost of groceries in Round Rock ($4,948.72) and the annual cost of healthcare ($5,054.00) are lower than the national average. Although housing and transportation expenditures are higher than normal, the average household income of $107,314 should leave plenty of room in your budget after paying for the necessities.
Blue States With Lowest Cost of Living
The blue states with the lowest cost of living are calculated using the average cost of each spending item across the state, including its metropolitan centers, which are likely to have higher housing costs in particular and less availability. The 5 blue states with the lowest cost of living in 2023 are listed below.
#1. Mississippi
Mississippi is one of the blue states that has the lowest cost of living in the country, according to its cost of living index score of 83.3. Additionally, it has average housing expenses that are 33.7% less than the national average. The typical price of a single-family home is $140,818. With 19.5% of the population struggling to make ends meet, the state has the highest poverty rate in the nation. Mississippi has one of the lowest standards of living in the country as a result of a combination of financial problems, a poor educational system, and other challenges.
#2. Kansas
Kansas is one of the blue states with the lowest cost of living. With a score of 86.5, it comes in as the second-cheapest state to live in. This region has the third least costly housing prices in the US, with a median single-family home price of about $176,898. The fact that the state has one of the lowest unemployment rates in the nation is another plus for its economy.
#3. Alabama
Alabama the Beautiful ranks third among the blue states for having the lowest overall cost of living, with an overall cost of living index score of 87.9. This region, which follows Mississippi in having the second-cheapest state, has an average home price of $170,184. Even though it is one of the states with the most people living below the poverty line, it has some of the lowest costs for transportation and health care in the US. Even still, the low unemployment rate of 2.9% is encouraging.
#4. Oklahoma
With an overall ranking of fourth and a score of 87.9, Oklahoma It is also one of the states with the cheapest housing, food, and health care costs. The average price of a home in Oklahoma is $151,469. The state typically shares a spot with Mississippi in terms of healthcare and education, and its 15.1% poverty rate is among the highest in the nation.
#5. Tennessee
Another Southeastern state to make the list is Tennessee, which has a score of 89.0 and is ranked sixth in terms of affordability. The average single-family home in the state costs $230,253, which is a little less than the neighboring state to the south. Even though the poverty rate is high at 13.8%, the unemployment rate is still below the national average at 3.4%. Tennessee is different from other states because it does not tax income at the state level.
States With Lowest Cost of Living for Retirees
There are several things to take into account when estimating the cost of living for retirees. For instance, Mississippi has a standard crime rate and is not the best state for older citizens. It has the second-lowest 65-year life expectancy in the nation. But if you’re sick of the cold and seeking a more affordable option, Mississippi might be the place for you. The states with the lowest cost of living for retirees are:
#1. Mississippi
Mississippi’s retirement should be considered. It is one of the states in the US with the lowest cost of living for retirees, with an average property price of $140,818—roughly half the national average. In the state, the average monthly rent is $780, which is exceptionally low. The median income in the state is less than the national average, and the crime rate is also lower than the national average.
#2. Oklahoma
Oklahoma is also one of the best states for retirees since it has a lower cost of living than other Midwestern states. The lack of a bustling metropolis means that traffic is not a major concern. Seniors should consider retiring there because of the low crime rate. There is no state estate tax and property taxes are low for retirees because of tax breaks from the state. The state still retains many American Indian and Native American traditions. Living in Oklahoma’s stunning natural beauty is reasonably priced.
#3. Arkansas
Arkansas is one of the well-known states with the lowest cost of living for retirees who like the great outdoors because of its low cost of living. This state is known for its great healthcare system, nice weather, and beautiful landscapes. The state’s cost of living is also significantly lower than that of the states to its south. Arkansas is a reasonable place to retire, with the typical home costing between $150,000 and $182,000 there. Hot Springs Village and Bella Vista are just two of the planned communities the state offers for retirees. These areas provide a range of golf courses, inexpensive real estate, and social events.
#4. Georgia
Georgia is one of the states with the lowest cost of living for retirees. The median home price in Georgia is around $245,778; this is significantly less expensive than the median home price in Florida, which is $400,000 Numerous independent senior living communities, assisted living residences, and memory care institutions are located close by. Georgia has some of the most affordable living expenses in the country. The biggest cost reduction is in lodging, which is less expensive than purchasing real estate.
#5. South Carolina
West Virginia has the lowest cost of living for retirees. When asked to rate their quality of life, residents gave the state’s housing costs a 7 out of 10. Quality of life was the only factor respondents rated higher. For retirees who are worried about their financial security in the future, this benefit is available. West Virginia, where the typical home costs $117,768, is a cost-effective destination for retirees to live. It would be possible for many retirees to sell their current residences in other regions and move to West Virginia.
#6. Indiana
Indiana is a great spot to retire since it offers a low cost of living. There 16% of residents in the state are 65 years of age or older. Residents can benefit from the state’s temperate climate with comfortable temperatures throughout the five seasons as well as the accessibility of modern medical treatment. They can also make use of the outdoors, which includes beautiful gardens, golf courses, and parks. Low property taxes in Indiana are also advantageous to retirees.
What State Has the Lowest Cost of Living?
Here are the states with the lowest cost of living in 2023, folks:
- Mississippi.
- Oklahoma
- In Kansas.
- In Alabama.
- In Georgia.
- Ohio
- Iowa.
What Is the Best State to Live In Financially?
The top five states in 2023 for personal finances are as follows:
- North Jersey.
- Hawaii.
- Connecticut.
- Alaska.
- Illinois.
What Us City Has the Lowest Cost of Living?
- Maxton, North Carolina.
- Mercedes, Texas.
- San Benito, Texas.
- Booneville, Mississippi.
- Marion, Virginia
Where Is the Cheapest and Safest Place to Live In USA?
One of the least expensive and safest locations to live in the USA is Augusta, a small city close to the border between Georgia and South Carolina. It is ideal for people who want to live comfortably and save money because it has a low crime rate and a low cost of living.
Where Is the Cheapest Rent in the United States?
Oklahoma City has the lowest apartment rents of any U.S. metro region with a population of more than a million. For a huge urban area, Oklahoma’s main metropolis has surprisingly reasonable prices.
What State Is Best for Low Income?
It evaluates housing affordability by contrasting median home prices with median family incomes. Ohio leads the country in terms of affordability. Following Michigan, Iowa, and Missouri in this subcategory comes Oklahoma in second place.
References
- hoursforseniors.com
- forbes.com
- gobankingrates.com
- entrepreneur.com
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