A+
12%
Overall NAT. AVG.
7%
Goods & Services NAT. AVG.
43%
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 Salem Ohio National
Cost of living8892100
Goods & Services93100100
Groceries100101100
Health care9198100
Housing5773100
Transportation107100100
Utilities12599100

An Overview of Cost of Living in Salem, OH

The cost of living in Salem affects the quality of life one can afford in this new location. It allows people to assess whether they can maintain their preferred lifestyle, including housing, leisure activities and dining options. Your total monthly expenditures can varry depending on the area, as well as many other factors. The cost of living in Salem is 88, which is 12% lower than the national average. Knowledge of the cost of living can help individuals make informed decisions about retirement savings, investments, and financial goals.

It's not uncommon for housing expenses to eat up a substantial portion of your income, oten exceeding 30%. The good news is that Salem stands out by reporting housing costs that are 43.2% lower than the national average. This signifies that both homeownership and rental expenses in this region are considerably more affordable compared to the rest of the country. This favorable housing situation allows residents to allocate a more manageable portion of their income to housing, resulting in greater financial flexibility.

Is Salem Affordable?

Is Salem 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 Salem, for instance, where the median home price falls 50.2% lower than the national average, and monthly rent rates are 26.8% lower than usual. Additionally, median income levels contribute to the equation, with Salem flaunting a median household income of $38,822, 29.8% lower than the national norm.

What Factors can Influence the Cost of Living in Salem?

Utilities: Much like any other costs, utility expenses can exhibit considerable variations, influenced by factors such as climate, available energy sources, geographic location and state regulations. The costs associated with electricity, water, heating, and waste disposal can vary significantly depending on the city or state in question. In Salem, the utilities index stands at 25.4% higher than the national average.

Housing: A sought-after location with high housing demand often leads to increased property values and rental rates, which can significantly inflate the overall cost of living. Conversely, areas with low housing demand, particularly in less desirable locales, tend to experience the opposite effect, causing prices to drop and contributing to a more affordable cost of living. In Salem, the housing index stands at 43.2% lower than the national average.

Groceries: The costs associated with groceries have witnessed substantial increases over the past 2-3 years. In select markets, food prices have escalated by more than 20% during this timeframe, whereas others have seen more restrained upticks. The variances in food expenses can exert a considerable influence on the overall cost of living in a given locale. In Salem, the groceries index is 0.3% lower than the national average.

Where is the Data From?

The Salem cost of living data you see above is sourced from the C2ER cost of living index, providing a practical and accurate means of comparing living expenses in urban areas. Updated quarterly, this index gathers data from over 300 independent researchers, covering more than 60 goods and services, in 6 different categories. These selections are made meticulously to represent a wide range of consumer expenditure categories. The weightings applied to cost differences are based on government survey data that tracks spending patterns among professional and executive households. It's important to note that while the C2ER index excludes data on sales or income tax rates, AreaVibes factors tax rates into the overall cost of living score for each region.

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Cost Of Living Quick Facts

  • The cost of living in Salem is 5% lower than the Ohio average
  • The cost of living in Salem is 12% lower than the national average
  • Salem housing is 43% lower than the national average
  • Ohio general sales tax is 13% higher than the national average
  • Ohio state income tax is 6% higher than the national average

Most Affordable Places to Live in and Around Salem

See all the best places to live around Salem

Compare Salem, OH 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$61,319$5,110$1,431$1,840
      Renters$23,681$1,973$553$711
      The percentage of monthly income spent on housing related expenses can help predict the affordability of housing in Salem, OH, 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 Salem, homeowners have a median income of $61,319. Using that number, a maximum of $1,431 per month should be allocated to housing expenses. For those who are renting instead of owning, the median income is $23,681, which means there is a maximum of $553 to be spent on the costs of renting a home or apartment.

      Ohio Sales Tax

      State General Sales Tax With Max Surtax
      Ohio 5.75% 8%

      Ohio Income Tax

      State Income Tax (Low) Income Tax (High)
      Ohio 2.76% 3.99%

      Goods & Services

      Item Salem National avg. Difference
      Haircut $23.73$24.262.2%
      Beauty Salon $40.40$45.5611.3%
      Toothpaste $3.72$3.700.6%
      Shampoo $1.39$1.288.5%
      Movie $11.77$12.133.0%
      Bowling $16.24$18.009.8%

      Groceries

      Item Salem National avg. Difference
      Ground Beef $5.70$5.842.3%
      Fried Chicken $1.41$1.5710.6%
      Milk $4.52$4.673.2%
      Potatoes $5.47$4.9310.8%
      Pizza $12.83$12.096.2%
      Beer $10.58$10.411.6%

      Health Care

      Item Salem National avg. Difference
      Optometrist $109.26$125.6813.1%
      Doctor $100.92$135.7825.7%
      Dentist $110.50$113.292.5%
      Ibuprofen $10.45$10.651.9%
      Lipitor $502.54$468.607.2%

      Housing

      Item Salem National avg. Difference
      Home Price $92,000.00$184,700.0050.2%
      Avg. Mortgage Payment $2,225.61$2,346.695.2%
      Apartment Rent $695.00$949.0026.8%

      Transportation

      Item Salem National avg. Difference
      Gasoline $3.73$3.467.6%
      Tire Balancing $64.05$59.926.9%

      Utilities

      Item Salem National avg. Difference
      All Electricity $270.68$193.9939.5%
      Phone $196.77$192.252.4%
      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.
      Damascus, OH286963.8%
      East Rochester, OH851010.8%
      Youngstown, OH64,1528218.1%
      Campbell, OH7,8478415.9%
      Beloit, OH1,1718217.6%
      Salem, OH11,6928812.4%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Smyrna, DE11,6941066.3%
      Tomball, TX11,689991.1%
      El Campo, TX11,695964.5%
      Excelsior Springs, MO11,6888910.9%
      North Dumfries, ON11,684n/a 
      Salem, OH11,6928812.4%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.