F
53%
Overall NAT. AVG.
27%
Goods & Services NAT. AVG.
132%
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 Westwood New Jersey National
Cost of living153121100
Goods & Services127106100
Groceries113102100
Health care12199100
Housing232158100
Transportation115103100
Utilities102107100

An Overview of Cost of Living in Westwood, NJ

Understanding the cost of living in Westwood can help future residents assess whether their current financial situation aligns with the expenses they will encounter. It enables them to plan for potential changes in their budget and lifestyle. The Westwood cost of living index is 153, which is 53% higher than the national average. The cost of living index is calculated by taking into account multiple categories, which encompass both the cost of everyday expenditures and larger expenses as well.

The cost of living in Westwood is among the highest in the country, making it a very expensive place to live. Only a small fraction of regions boast a cost of living that is at least 20% higher than the national average, and regrettably, Westwood falls into this category, which may not be suitable for those seeking an economically favorable living environment.

When it comes to the cost of living in Westwood, housing costs are a real heavyweight, often hogging a significant chunk of your earnings. Sadly, in this area, housing expenses for both buying and renting were 132.1% more expensive compared to your average city. That means you'll be shelling out more for homes, rents, mortgage rates and insurance.

Recurring goods and services expenses like haircuts, toothpaste, gym memberships and movie nights are a big part of your spending and make up 33% of the cost of living index. In Westwood, these items will cost you 26.8% more than what most folks pay, making it a bit more expensive to live here.

The cost of groceries continues to rise at an alarming rate. Over the last two years, grocery prices have increased by more than 10%! Unfortunately, in Westwood, the news isn't any better as grocery prices are 13.4% higher than the national average.

Is Westwood Affordable?

Is Westwood an affordable place to live? It's a good question and one that you might want to ask when considering any new city, as affordability can play a huge role in the decision making process. The cost of living index (which we covered above), as well as housing costs and income levels play a vital role in determining the affordability of an area. The median home price in Westwood is 148.1% higher than the national average, while the average monthly rent prices are 94.7% higher than average. The affordability of any location can also be influenced by median income levels. Westwood has a median household income of $127,847, which is 131.1% higher than the national average.

What Factors can Influence the Cost of Living in Westwood?

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 Westwood, the groceries index is 13.4% higher than the national average.

Utilities: Similar to the prices of any other goods or services, utility expenditures can exhibit substantial variability, influenced by factors such as climate, energy sources accessibility, geographical location and state regulations. Costs related to electricity, water, heating, and waste disposal can fluctuate, whether higher or lower, contingent on the city or state. In Westwood, the utilities index is 1.7% higher than the national average.

Taxes: Cities that enforce higher taxes, covering both sales taxes and income taxes, can be a factor contributing to a higher cost of living. Paying more in taxes for everyday essentials like clothing and food inevitably leads to higher expenses. A higher income tax rate can further contribute to an overall elevated cost of living. In Westwood, the baseline sales tax rate begins at 6.625%, and income tax rates start at 1.4%.

Where is the Data From?

The cost of living in Westwood, presented above is derived from the C2ER cost of living index, offering a practical method for assessing living cost disparities in urban areas. Published quarterly, this index compiles data from more than 300 independent researchers, encompassing over 60 goods and services in 6 categories. The weightings assigned to cost variances are informed by government survey data tracking the expenditure patterns of professional and executive households. It should be noted that the C2ER index does not include data on sales or income tax rates, however, AreaVibes incorporates tax rates into the overall cost of living score for each area.

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Cost Of Living Quick Facts

  • The cost of living in Westwood is 26% higher than the New Jersey average
  • The cost of living in Westwood is 53% higher than the national average
  • Westwood housing is 132% higher than the national average
  • New Jersey general sales tax is 30% higher than the national average
  • New Jersey state income tax is 46% lower than the national average

Most Affordable Places to Live in and Around Westwood

See all the best places to live around Westwood

Compare Westwood, NJ 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$149,493$12,458$3,488$4,485
      Renters$80,290$6,691$1,873$2,409
      A good indicator of the general affordability of housing in Westwood, NJ, is the percentage of monthly income that should be spent on housing expenses, otherwise known as the debt-to-income ratio (DTI). Generally speaking, no more than 28 percent of your total gross income should be spent on your housing expenses and not more than 36 percent of your gross income on total expenses, including debts. In Westwood, the median monthly income is $149,493 for those who own their own homes. Under the standard rule, that income level would allow for $3,488 to be budgeted for housing expenses each month, at the most. Renters, on the other hand, earn about $80,290, per the median income in the area. That would allow for renters to spend up to $1,873 on monthly rental expenses.

      New Jersey Sales Tax

      State General Sales Tax With Max Surtax
      New Jersey 6.625% 12.625%

      New Jersey Income Tax

      State Income Tax (Low) Income Tax (High)
      New Jersey 1.4% 10.75%

      Goods & Services

      Item Westwood National avg. Difference
      Haircut $34.94$24.2644.0%
      Beauty Salon $64.07$45.5640.6%
      Toothpaste $3.96$3.707.0%
      Shampoo $1.69$1.2832.3%
      Movie $13.68$12.1312.8%
      Bowling $29.40$18.0063.3%

      Groceries

      Item Westwood National avg. Difference
      Ground Beef $5.87$5.840.6%
      Fried Chicken $1.46$1.576.9%
      Milk $4.97$4.676.3%
      Potatoes $5.21$4.935.7%
      Pizza $12.57$12.094.0%
      Beer $11.87$10.4114.0%

      Health Care

      Item Westwood National avg. Difference
      Optometrist $128.97$125.682.6%
      Doctor $162.24$135.7819.5%
      Dentist $149.64$113.2932.1%
      Ibuprofen $11.15$10.654.6%
      Lipitor $402.75$468.6014.1%

      Housing

      Item Westwood National avg. Difference
      Home Price $458,300.00$184,700.00148.1%
      Avg. Mortgage Payment $6,916.73$2,346.69194.7%
      Apartment Rent $1,848.00$949.0094.7%

      Transportation

      Item Westwood National avg. Difference
      Gasoline $3.55$3.462.5%
      Tire Balancing $86.43$59.9244.2%

      Utilities

      Item Westwood National avg. Difference
      All Electricity $201.27$193.993.8%
      Phone $200.67$192.254.4%
      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.
      Greenville CDP (Greene County), NY6041066.1%
      Silver Lake CDP (Warren County), NJ32011313.2%
      Paterson, NJ145,48411515.3%
      Mount Ivy, NY7,39012221.6%
      Haverstraw, NY12,07612322.7%
      Westwood, NJ11,09615352.7%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Lincolnton, NC11,099954.8%
      South Huron, ON11,104n/a 
      Westwood Lakes, FL11,08612929.0%
      Big Lake, MN11,0851087.7%
      New Albany, OH11,08514242.4%
      Westwood, NJ11,09615352.7%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.