A+
3%
Overall NAT. AVG.
1%
Goods & Services NAT. AVG.
13%
Housing NAT. AVG.
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Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index Bloomington Indiana National
Cost of living10390100
Goods & Services9994100
Groceries10198100
Health care9596100
Housing11372100
Transportation9695100
Utilities104107100

An Overview of Cost of Living in Bloomington, IN

Are you thinking about relocating, but curious about the potential cost of living in Bloomington? Is it more expensive or more affordable than average? Based on the most recent report, the cost of living in Bloomington stands at 103, making it 3% higher than the national average. The cost of living directly affects the affordability of one's desired lifestyle. Knowing the cost of housing, transportation, groceries and other essentials in the new area allows people to gauge whether they can maintain their preferred standard of living.

In Bloomington, daily expenses such as food, housing, goods and services, transportation and health care are in line with comparable areas and about average when compared to all cities across the nation. This ensures that the cost of living in Bloomington will resemble that of an average city, contributing to a manageable cost of living.

What Do Locals Say About the Cost of Living in Bloomington?

Locals have the inside scoop on their city. So, we polled 13 residents in Bloomington to learn how they view the cost of living. We asked how they felt about the cost of living in their area, and if they thought that prices were increasing, decreasing or staying the same. The verdict? 23% find it reasonable with decreasing prices, but 77% think it's quite pricey, with prices that continue to rise.

Is Bloomington Affordable?

Is Bloomington affordable? It's a key consideration when pondering a move, as affordability often shapes your choices. The cost of living index (we discussed it earlier), coupled with housing costs and income levels, serves as the cornerstone for determining a location's affordability. Take Bloomington, for instance, where the median home price falls 18.7% higher than the national average, and monthly rent rates are 0.3% lower than usual. Additionally, median income levels contribute to the equation, with Bloomington flaunting a median household income of $41,354, 25.2% lower than the national norm.

What Factors can Influence the Cost of Living in Bloomington?

Subsidies: Certain cities or states may institute government subsidies or assistance programs designed to alleviate the financial burdens associated with the cost of living for their residents. These programs encompass a variety of support mechanisms, including Medicare, Medicaid, housing subsidies, low-income home energy assistance programs, school lunch programs, supplemental nutrition assistance programs, student loans, electric vehicle tax credits, affordable care act subsidies and farm subsidies. Areas that provide fewer subsidies may see an uptick in their overall cost of living.

Taxes: Locations with elevated tax rates, encompassing both sales and income taxes, can be a factor in driving up the cost of living. When you're paying more in taxes for everyday goods and services, it naturally translates into higher expenses. Similarly, a higher income tax rate can also contribute to an overall higher cost of living. In Bloomington, the standard sales tax rate starts at 7%, and the income tax rates commence at 3.23%.

Healthcare: The costs associated with healthcare and insurance premiums can exhibit notable disparities based on the city or state of residence. Access to healthcare facilities, out-of-pocket expenses for medical appointments, dental care charges, prescription medication costs and specialized medical care expenses all contribute to variations in the cost of living. In Bloomington, healthcare costs are 5.4% lower than the national average.

Where is the Data From?

The cost of living data in Bloomington displayed above is sourced from the C2ER cost of living index, which serves as a practical tool for comparing living expenses across urban areas. Published on a quarterly basis, this index aggregates data from over 300 independent researchers, encompassing more than 60 goods and services, in 6 different categories. The weightings assigned to cost differences rely on government survey data that tracks the spending habits of professional and executive households. It's worth noting that the C2ER index excludes data on sales or income tax rates, while AreaVibes integrates tax rates into the overall cost of living evaluation for each region.

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Cost Of Living Quick Facts

  • The cost of living in Bloomington is 15% higher than the Indiana average
  • The cost of living in Bloomington is 3% higher than the national average
  • Bloomington housing is 13% higher than the national average
  • Indiana general sales tax is 37% higher than the national average
  • Indiana state income tax is 21% higher than the national average

Most Affordable Places to Live in and Around Bloomington

See all the best places to live around Bloomington

Compare Bloomington, IN Cost of Living

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      Salary Calculator

      This is how much you would need to earn in
      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$82,281$6,857$1,920$2,469
      Renters$25,345$2,112$591$760
      The percentage of monthly income spent on housing related expenses can help predict the affordability of housing in Bloomington, IN, as well as what the overall cost of living might be. Generally, a good rule to follow is that the debt-to-income (DTI) level you want to maintain is 28 percent or less of your income on your rent or mortgage payments and not more than 36 percent of income on all expenses and debts. In Bloomington, homeowners have a median income of $82,281. Using that number, a maximum of $1,920 per month should be allocated to housing expenses. For those who are renting instead of owning, the median income is $25,345, which means there is a maximum of $591 to be spent on the costs of renting a home or apartment.

      Indiana Sales Tax

      State General Sales Tax With Max Surtax
      Indiana 7% 7%

      Indiana Income Tax

      State Income Tax (Low) Income Tax (High)
      Indiana 3.15% 3.15%

      Goods & Services

      Item Bloomington National avg. Difference
      Haircut $26.42$24.268.9%
      Beauty Salon $47.57$45.564.4%
      Toothpaste $3.55$3.704.0%
      Shampoo $1.36$1.286.5%
      Movie $11.48$12.135.4%
      Bowling $16.61$18.007.7%

      Groceries

      Item Bloomington National avg. Difference
      Ground Beef $5.88$5.840.8%
      Fried Chicken $1.74$1.5710.8%
      Milk $4.78$4.672.4%
      Potatoes $5.01$4.931.6%
      Pizza $12.45$12.093.0%
      Beer $10.53$10.411.1%

      Health Care

      Item Bloomington National avg. Difference
      Optometrist $173.41$125.6838.0%
      Doctor $108.22$135.7820.3%
      Dentist $104.94$113.297.4%
      Ibuprofen $10.84$10.651.8%
      Lipitor $483.43$468.603.2%

      Housing

      Item Bloomington National avg. Difference
      Home Price $219,200.00$184,700.0018.7%
      Avg. Mortgage Payment $2,453.08$2,346.694.5%
      Apartment Rent $946.00$949.000.3%

      Transportation

      Item Bloomington National avg. Difference
      Gasoline $3.56$3.462.9%
      Tire Balancing $47.16$59.9221.3%

      Utilities

      Item Bloomington National avg. Difference
      All Electricity $206.98$193.996.7%
      Phone $190.02$192.251.2%
      Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

      Nearby cities with low cost of living

      City Population Cost of Living Index National Avg.
      Stinesville, IN3238317.2%
      Gosport, IN1,0528614.3%
      Spencer, IN2,2248712.9%
      Morgantown, IN1,3528811.5%
      Ellettsville, IN6,650936.6%
      Bloomington, IN84,6911033.4%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Hemet, CA84,68611312.6%
      Lake Forest, CA84,66617575.2%
      Largo, FL84,666936.6%
      Danbury, CT84,65012828.0%
      New Braunfels, TX84,6221065.6%
      Bloomington, IN84,6911033.4%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.