The cost of living in the United States varies significantly based on location, lifestyle choices, and economic conditions. This guide aims to provide a comprehensive overview of the cost of living in major regions and cities in 2024.

We’ll look at major cities in the West, analyzing the following factors:

• Housing
• Transportation
• Healthcare
• Taxes

Note that, in general, living in rural areas in the U.S. can be cheaper than living in urban areas because of lower land prices, and reduced expenses for groceries, transportation, and utilities. While rural living may be cheaper in some respects, it may also come with trade-offs such as limited job opportunities, fewer amenities, and longer travel times for certain services or activities.

Cost of living in Chicago

Chicago is renowned for its iconic skyline dominated by architectural marvels like the Willis Tower and John Hancock Center, its vibrant cultural scene with world-class museums such as the Art Institute of Chicago, and its deep-rooted history in jazz, blues, and theater. The city also boasts legendary teams like the Bulls, Bears, Cubs, and Blackhawks.

Housing

• Average Rent Cost: The average rent for a one-bedroom apartment in Chicago is around $1,400 per month, with variations based on neighborhood desirability and property features.
• Luxury Rentals: High-end luxury apartments and condos in prime neighborhoods like the Gold Coast, Lincoln Park, and River North can command significantly higher rents, often exceeding $3,000 per month for one-bedroom units.
• Median Home Prices: The median sale price for homes in Chicago is close to $360,000.

Transportation

• Chicago has an extensive public transit system operated by the Chicago Transit Authority (CTA), including buses and the ‘L’ train system. The L train costs $2.50 per ride, and a bus ticket is only $2.25.
• Wheel Tax: This is a municipal vehicle registration fee to provide the City with a source of funds to be used for transportation purposes. According to the Office of the City Clerk, all Chicago residents driving, parking, leasing, or owning a vehicle are subject to this tax. Costs vary from $90.88 to $144.33, depending on the size of your vehicle. 

Healthcare

• The average cost of health insurance in Chicago is $633 per month for a 40-year-old. Rates will vary based on age, lifestyle, location, etc.
• The average cost of a doctor’s visit is $170.00

Taxes

• Illinois has a flat income tax rate for individuals and corporations. Chicago residents also pay local taxes, including sales tax on purchases and property taxes. According to AARP, these are the current rates for main taxes in Chicago:
• Income tax: 4.95 percent
• Property tax: 2.08 percent of a home’s assessed value (average)
• Sales tax: 10.25 percent

Cost of Living in Seattle

Seattle is synonymous with innovation and technology, being the birthplace of tech giants like Microsoft, Amazon, and Boeing. With a strong emphasis on sustainability, outdoor activities such as hiking, kayaking, and exploring nearby national parks like Mount Rainier and Olympic National Park are integral parts of Seattle’s identity.

Housing

• Seattle is known for its booming tech industry, leading to higher housing costs, especially in desirable neighborhoods and downtown areas.
• Average Rent Cost: The average rent for a one-bedroom apartment in Seattle is $2,267.
• Median Home Prices: The median sale price for homes in Seattle is close to $850,000.

Transportation

• The Seattle Streetcar is an integral part of the overall transit and mobility network for Seattle. A single ride costs $2.25.
• Congestion Pricing Tax: Seattle is planning to implement a strategy to address congestion and transportation emissions through pricing. It involves pricing city streets to encourage alternatives to single-occupant vehicle trips and to improve travel reliability, reduce travel times, and improve safety. Charges may range from $1 to $20 at certain times of day, with various caps, discounts, and exemptions.

Healthcare

• The average cost of health insurance in Chicago is $503 per month for a 40-year-old. Rates will vary based on age, lifestyle, location, etc.
• The average cost of a doctor’s visit is $242.25

Taxes

• Washington does not have a state income tax on wages. This means there is no personal income tax in Washington. According to AARP, these are the current rates for main taxes in Seattle:
• Property tax: 0.98 percent of a home’s assessed value (average)
• Sales tax: 9.38 percent

Cost of Living in Portland

Portland is renowned for its eclectic and progressive culture, often described as quirky and artistic. Portland is also known for its commitment to sustainability, with extensive bike lanes, eco-friendly initiatives, and a strong emphasis on environmental consciousness. Portland’s beautiful natural surroundings, including nearby forests, rivers, and the iconic Columbia River Gorge, provide ample opportunities for outdoor activities such as hiking, biking, and exploring the great outdoors.

Housing

• Portland offers a unique lifestyle with a focus on sustainability and eco-friendly living, although housing costs have risen in recent years.
• Average Rent Cost: The average rent for a one-bedroom apartment in Portland is $1,728.
• Median Home Prices: The median sale price for homes in Portland is around $530,000.

Transportation

• Portland has a comprehensive public transit system operated by TriMet, including buses, MAX light rail, and streetcars, promoting alternative modes of transportation. Fare rates are as follows:
  • TriMet bus and MAX Light Rail fares are $2.80 to ride for 2.5 hours; $5.60 for a day pass
  • For the Portland Streetcar: $2.50 to ride for 2.5 hours; $5 for a day pass.
• The city is bike-friendly with bike lanes, paths, and bike-sharing programs, contributing to a culture of cycling.
  • Portland has a bike-share program known as Biketown since 2016, with 1,000 bright orange, eight-speed bicycles. After paying a one-time $5 sign-up fee, you’ll be charged 8 cents per minute ($2.40 for 30 minutes of use). You can use up to four bikes per account.
  • You can also rent an electric scooter. Powered by an electric motor and maxing out at 15 miles per hour, these e-scooters are another energy-efficient alternative to driving a car.

Healthcare

• The average cost of health insurance in Portland is $578 per month for a 40-year-old. Rates will vary based on age, lifestyle, location, etc.
• The average cost of a doctor’s visit ranks between $93 – $143.

Taxes

• Oregon has a progressive income tax system. Portland residents also pay state and local taxes, including property taxes and sales tax on purchases. According to the Tax Foundation, these are the current rates for main taxes in Portland:
• Income tax: Oregon has a graduated individual income tax, with rates ranging from 4.75 percent to 9.90 percent.
• Property tax: 2.24 percent of a home’s assessed value (average)
• Sales tax: Oregon does not have a state sales tax and does not levy local sales taxes.

Cost of Living in Los Angeles

Los Angeles is known for its glamorous entertainment industry, with Hollywood at its epicenter, making it a global hub for film, television, and music. With a Mediterranean climate and miles of stunning beaches like Santa Monica and Venice, outdoor activities such as surfing, hiking in the nearby hills, and enjoying beachfront attractions are integral parts of the LA lifestyle. The city’s dynamic arts scene, museums like the Getty Center, and diverse neighborhoods further contribute to its status as a cultural and entertainment capital.

Housing

• Average Rent Cost: The average rent for a one-bedroom apartment in Los Angeles  is $2,719.
• Median Home Prices: The median sale price for homes in Los Angeles is around 1.2 million.
• Housing costs in popular areas like Santa Monica, Beverly Hills, and Downtown LA are typically higher.

Transportation

• Los Angeles is known for heavy traffic congestion and long commute times.
• However, the city has one of the country’s most extensive public transportation networks, including subways, light rail, buses and shuttles that service every corner of the Greater Los Angeles area.
  • A regular Metro ride is $1.75. Fares for a one-way trip on Metro includes 2 hours of free transfers.

Healthcare

• The average cost of health insurance in Los Angeles is $600 per month for a 40-year-old. Rates will vary based on age, lifestyle, location, etc.
• The average cost of a doctor’s visit is $130.

Taxes

• California has a progressive income tax system with higher rates for higher incomes. Los Angeles residents also pay local taxes, including sales tax and property taxes. According to AARP, these are the current rates for main taxes in Los Angeles:
• Income tax: 1 percent to 12.3 percent (California has nine tax brackets, ranging from 1 percent to 12.3 percent. Those who make over $1 million also pay an additional 1 percent income tax).
• Property tax: 0.75 percent of a home’s assessed value (average)
• Sales tax: 8.85 percent

Cost of Living in Phoenix

Phoenix is known for its desert climate, stunning natural landscapes, and outdoor recreational opportunities. The city’s cultural scene includes museums like the Heard Museum, showcasing Native American art and history, and the Phoenix Art Museum. With a growing culinary scene, diverse neighborhoods, and major sports teams like the Phoenix Suns (NBA) and Arizona Cardinals (NFL), Phoenix offers a blend of outdoor adventure, cultural exploration, and urban amenities.

Housing

• Phoenix offers a relatively affordable cost of living compared to other major cities.
• Average Rent Cost: The average rent for a one-bedroom apartment in Phoenix is $1,534.
• Median Home Prices: The median sale price for homes in Phoenix is $525,000.

Transportation

• According to the Bureau of Labor Statistics, it costs more to get around in Phoenix – a city that was designed for cars – than in any other U.S. metro. Phoenix households spend an average of $12,776 per year on transportation, whether by private car or public transportation.
• Phoenix has a network of highways and roads, and the Valley Metro system provides public transit services including buses and light rail (Valley Metro Rail).
  • The one-way cost is $2.00 for local bus and an All-Day pass is $4.00. The one-way cost is $3.25 for RAPID and Express buses and $6.50 for an All-Day pass.

Healthcare

• The average cost of health insurance in Phoenix is $517 per month for a 40-year-old. Rates will vary based on age, lifestyle, location, etc.
• The average cost of a doctor’s visit is $99.

Taxes

• With notably low taxes on working and retirement income, and no estate or inheritance tax, Arizona is one of the more tax-friendly states for older workers and retirees. According to AARP, these are the current rates for main taxes in Phoenix:
• Income tax: 2.5 percent
• Property tax: 0.63 percent of a home’s assessed value (average)
• Sales tax: 8.37 percent

Cost of Living in Denver

Denver is renowned for its scenic beauty, outdoor recreational opportunities, and vibrant cultural scene. Situated near the Rocky Mountains, Denver attracts outdoor enthusiasts with easy access to hiking, skiing, and camping in nearby mountain areas. Denver’s cultural offerings include the Denver Art Museum, Denver Center for the Performing Arts, and a rich music scene spanning genres from indie and folk to jazz and blues. Additionally, Denver is a hub for technology, startups, and entrepreneurship, contributing to its dynamic economy and diverse community.

Housing

• Denver’s housing market has seen significant growth and demand in recent years, leading to rising housing costs, especially in popular neighborhoods and downtown areas.
• Average Rent Cost: The average rent for a one-bedroom apartment in Denver is $1,979.
• Median Home Prices: The median sale price for homes in Denver is $600,000.

Transportation

• Denver has an extensive public transit system operated by RTD (Regional Transportation District), including buses, light rail (RTD Rail), and commuter rail services.
• In 2023, the RTD approved a new fare plan that lowered the cost of a ticket for most riders. RTD said “simpler, more affordable fares” will replace the current ticking system of fare zones. The Denver Post provides a useful graphic:

Healthcare

• The average cost of health insurance in Denver is $535 per month for a 40-year-old. Rates will vary based on age, lifestyle, location, etc.
• The average cost of a doctor’s visit is $121.25

Taxes

• Colorado has a flat income tax rate for individuals. The state has no estate or inheritance tax, relatively low property taxes and one of the lowest state sales taxes in the country; however, some municipalities levy a local sales tax. According to AARP, these are the current rates for main taxes in Denver:
• Income tax: 4.4 percent. Denver also collects local income taxes. The tax is paid by people working in those cities, regardless of where they live.
• Property tax: 0.55 percent of a home’s assessed value (average)
• Sales tax: 7.81 percent

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