Cost of Living for Iowa (2026)
Iowa (IA) Key Facts
Cost of Living Index
89
National Average Index
100
Median Household Income
$62,000
Approximate Median Rent (1 B R)
$800/month
State Income Tax Rate
5.7%
How This Calculator Works in Iowa
This cost of living calculator helps you compare salaries between Iowa and other states or cities by adjusting for purchasing power differences. Enter a salary and a target location to see what equivalent income you would need. It uses Iowa's cost of living index of 89 relative to the national average of 100 to provide an accurate comparison.
Iowa Overview
Iowa has a cost of living index of 89, where 100 represents the national average. Iowa has a below-average cost of living with affordable housing across most of the state. Des Moines and Iowa City are the most expensive areas but remain modest nationally. The median household income is $62,000, which has a purchasing power equivalent of approximately $69,663 in an average-cost location.
How Iowa Compares
Iowa's cost of living index of 89 compares to Minnesota's 97 and Wisconsin's 93. Residents in Iowa benefit from lower costs compared to the national average, meaning salaries stretch further here. The most affordable states like Mississippi (84) cost roughly 6% less than Iowa, while the most expensive like Hawaii (192) cost 116% more.
| State | Top Rate | Notes |
|---|---|---|
| Minnesota | COL Index: 97 | Minnesota has a cost of living index of 97 and a median household income of $77,000. It is more expensive than Iowa. |
| Wisconsin | COL Index: 93 | Wisconsin has a cost of living index of 93 and a median household income of $64,000. It is more expensive than Iowa. |
| Illinois | COL Index: 95 | Illinois has a cost of living index of 95 and a median household income of $72,000. It is more expensive than Iowa. |
The national average cost of living index is 100. Iowa's index of 89 is below the national average. States like Mississippi (84) and West Virginia (84) have the lowest cost of living, while Hawaii (192) and DC (148) have the highest. Iowa's median household income of $62,000 should be evaluated alongside its cost of living to understand real purchasing power.
Tips for Iowa Residents
- 1Iowa has a below-average cost of living with affordable housing across most of the state. Des Moines and Iowa City are the most expensive areas but remain modest nationally.
- 2Iowa's median household income of $62,000 has a real purchasing power of about $69,663 when adjusted to the national average. Compare this figure, not the raw salary, when evaluating cross-state moves or job offers.
- 3Iowa's top state income tax rate of 5.7% further reduces purchasing power beyond what the cost of living index alone shows. Factor in taxes when making state-to-state comparisons.
- 4When comparing job offers between states, adjust salaries by the cost of living index. A $60,000 salary in a state with an index of 90 provides more purchasing power than $70,000 in a state with an index above 105.
- 5Look beyond the state average — costs can vary dramatically within Iowa between metro areas, suburbs, and rural communities. Research the specific city or county where you would live.