Cost of Living in Indianapolis, Indiana (2026)
COL Index
89
100 = US avg
1BR Rent
$1,200
per month
Median HHI
$55K
per year
State Tax
3.2%
income tax
Full cost breakdown
| Category | Indianapolis |
|---|---|
| 🏠 HousingQ1 2026 | |
| Studio rent/mo | $950 |
| 1BR rent/mo | $1,200 |
| 2BR rent/mo | $1,550 |
| Median home price | $260K |
| 🛒 Food & GroceriesQ1 2026 | |
| Groceries index (100 = US avg) | 94 |
| Budget meal (1 person) | $12 |
| Mid-range dinner (2 people) | $50 |
| 🚌 TransportationQ1 2026 | |
| Monthly transit pass/mo | $60 |
| Gas price/gal | $3.05 |
| Car insurance/moCompare rates → | $140 |
| ⚡ UtilitiesQ1 2026 | |
| Utilities bundle (elec + gas + water)/mo | $155 |
| Internet/mo | $55 |
| 💰 Income & TaxesQ1 2026 | |
| Median household income/yr | $55K |
| State income tax rate | 3.2% |
| Sales tax (combined) | 7.0% |
| 📊 OverviewQ1 2026 | |
| Overall COL index (100 = US avg) | 89 |
| Walk score / 100 | 28 |
Is Indianapolis affordable on your salary?
How rent burden (1BR) changes across income levels. Under 30% is comfortable; above 40% is tight.
$40K
~$2,622/mo take-home
46% rent burden · Difficult
$50K
~$3,027/mo take-home
40% rent burden · Tight
$60K
~$3,633/mo take-home
33% rent burden · Manageable
$75K
~$4,541/mo take-home
26% rent burden · Comfortable
$80K
~$4,843/mo take-home
25% rent burden · Comfortable
$100K
~$6,054/mo take-home
20% rent burden · Very comfortable
$120K
~$6,835/mo take-home
18% rent burden · Very comfortable
$150K
~$8,544/mo take-home
14% rent burden · Very comfortable
Indianapolis costs less than the US average. Put the difference to work.
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Data: Zillow Observed Rent Index, BLS, Numbeo, Tax Foundation, US Census ACS · Q1 2026 · For general guidance only