Top 10 Cheapest States to live in America in 2023

The cost of living in the US varies from country to country. It is the sum of money necessary to maintain a certain living standard in a state. Homes, food, taxes, and healthcare are part of the living costs. A strong relationship endures between the cost of living of a state and personal income per capita. The living cost varies between states. In Arkansas, a dollar for rent is worth 1.58 dollars according to the 24.7 Wall St., while in one of the humid states Hawaii, a dollar for a rental is worth 0.61 dollars. 

The life cost index is based on the average life cost index in the United States by 100. Most states with the lowest living costs are in the south, while the richest states often have the highest living costs. Generally speaking, the dollar goes further in states with a smaller proportion of city residents. Mississippi’s living index is at least 83.3, and the total cost of housing in this cheapest state is lower than 66.3.

Here are the ten states of the US in 2023 with the lowest cost index:

10. Indiana

Cost of Living Index:  90.6
Grocery Cost Index: 92.7
Housing Cost Index: 78.3
Transportation Cost Index: 98.3

Indiana is number ten with the overall living costs of 90.6 for the most affordable living cost in the United States, but that doesn’t mean that it’s costly! While smaller cities and towns are typically cheaper than large towns, Indianapolis, the capital city of Indiana, is one of the state’s most affordable towns. Indiana’s domestic index is low at 78.3 and doesn’t have any rainwater harvesting regulations. A two-bedroom apartment has an average home value of approximately $840 per month.

9. West Virginia

Cost of Living Index:  90.5 
Grocery Cost Index: 96.5
Housing Cost Index: 78.6
Transportation Cost Index: 92.2

West Virginia is the ninth-most affordable state in America. Costs are lower than the national average in all categories. Housing affordability is one of the greatest in the country, with 43.5 percent of inhabitants able to afford a home in the West Virginia. The average cost of a single-family home in the United States is $117,768.

The average month’s rent is $727. The cost of transportation and healthcare is also among the lowest in the country. However, due to limited economic prospects, low educational performance, and deteriorating infrastructure, West Virginia is regarded as one of the worst places to live in.

For a family of four in West Virginia, the typical income is $73,600. In West Virginia, however, a family of four may make a living salary of $86,704 per year. With 16 percent of its inhabitants living at or below the poverty level, West Virginia has the country’s fourth-highest poverty rate.

8. Iowa

Cost of Living Index:  89.8
Grocery Cost Index: 98.4
Housing Cost Index: 76 
Transportation Cost Index: 92.4

Iowa is the eighth-most affordable state in the US to live in. In every way, Iowa’s costs are lower than the national average. Housing in Iowa is particularly inexpensive, with an index of 76, the sixth-lowest in the country. The average price of a single-family home is $165,955, while the average rent for a two-bedroom apartment is $808. The average household spends $336.24 per month on utilities.

In Iowa, the median income for a family of four is $95,199, which is much greater than the $89,241 required to meet the same family’s needs for a year. The state of Iowa has a poverty rate of 11%, which is substantially lower.

7. Missouri

Cost of Living Index:  89.8 
Grocery Cost Index: 95 
Housing Cost Index: 80.3 
Transportation Cost Index: 92.4

Missouri provides affordable and economic opportunities with a focus on healthcare and professional services. Missouri’s cost of living total index is 89.8, and its housing score is low at 80.3. It is the fifth less costly state in America and one of the most dangerous places in the world. The lower prices for the four-bedroom house in Joplin, Missouri, are just over $86,410. In Missouri, the food prices are much lower, with just $1.32 to be baked in Joplin for a dozen eggs in the country. Springfield cities are 14.1% lower than the national mean for their lives, while Joplin is 20% lower than the national average.

Missouri’s minimum wage is $11.15 per hour, making it one of the highest in the US.

6. Tennessee

Cost of Living Index:  89
Grocery Cost Index: 94.7 
Housing Cost Index: 79.3
Transportation Cost Index: 88.8

Tennessee’s highest cost of living was $78,800, and up to now, its household costs have been $904. Nevertheless, in one of the most populated states Tennessee’s housing index is only 79.3. Tennessee’s taxes are very low, with no government income taxes and a very low food cost. In cities like Morristown, the average living costs are 11% below the national average. The transport costs are approximately 12.3% lower than the national average.

The state’s unemployment rate is 3.4 percent, with a poverty rate of 13.8 percent.

5. Georgia

Cost of Living Index:  88.8 
Grocery Cost Index: 95.9
Housing Cost Index: 74.4 
Transportation Cost Index: 92.6

The fifth cheapest state in America is Georgia to live in. Low housing costs are the most significant to Georgia’s attractive total cost of living. It has cities with the worst traffic and provides cheaper accommodations, on average, with a housing index of 25% lower than national benchmarks. Georgia’s median household income is $56,183.

Medial home value is $91,161. The average rent rate of both one and two-bedroom apartments is less than in the rest of the country, except for Atlanta. Food and gas prices are lower than the national median. Georgia has a lower unemployment rate than the rest of the country, at 3.2 percent.

4. Oklahoma

Cost of Living Index:  87.9 
Grocery Cost Index: 94.5
Housing Cost Index: 74.7
Transportation Cost Index: 94.8

The fourth-lowest living cost in America is Oklahoma. Oklahoma is much to like when it comes to low living costs. Kiplinger named Oklahoma City, the state’s capital, one of the cheapest cities in America. Housing is the lowest in the country, with an amber of $150,754 for home prices, a 54-size index, and Arkansas for a two-bedroom flat average of $814.

Groceries and healthcare are also among the most affordable in the country. Oklahoma also has some of America’s lowest gas prices. The overall costs for living in Oklahoma City are 20% lower than the national average.

3. Alabama

Cost of Living Index:  87.9 
Grocery Cost Index: 98.2
Housing Cost Index: 70.1
Transportation Cost Index: 92.7

Alabama is the third-largest cost of living. Alabama played a crucial role in the civil rights campaign, and nearly five million people live there. The overall living cost in Alabama is 87.9, and the housing cost is 70.1. Alabama has relatively high tax and service rates, but housing makes it up. A median Alabama apartment rental is $807, while the average home value for a 2-bedroom apartment is $170,184. In Alabama, a living wage of $50,585 is lower than in some other states.

With 15.6 percent of residents living in poverty or below, Alabama has one of the highest poverty rates in the country.

2. Kansas

Cost of Living Index:  86.5 
Grocery Cost Index: 91.7 
Housing Cost Index: 72.6 
Transportation Cost Index: 97.3

Kansas is the second-lowest country in America. Kansas’s consent age is 16 years old and the overall living cost is 86.5, making it the 2nd lowest living price in the country. The cost of housing in Kansas, with a score of 72.6 and about 28% down from the rest of the country, is significantly lower than the national average, and the household income is around $ 89,353. A Kansas two-bedroom apartment costs about $862/month and averages about $176,898 per house.

Kansas has a poverty rate that is somewhat lower than the national average and, at 2.5 percent, has one of the lowest unemployment rates in the country.

1. Mississippi

Cost of Living Index:  83.3
Grocery Cost Index: 92.2
Housing Cost Index: 66.3
Transportation Cost Index: 86.7

With an overall cost of living of 83.3, Mississippi is the lowest country to live in, and it is the US’ most affordable state and has the world’s deepest ocean. Mississippi’s average cost of living is roughly 17% less than the national average cost of living. Mississippi’s living wage for a single-family is just $140,818, the cheapest in the country. The costs of housing in Mississippi are around 777 dollars per month.

So, these are all about The Ten States of the cheapest states to live in the U.S. in 2023! If you want to take a glimpse of all the states ranking along with their respective cost index, grocery, housing, transportation, then have a look below:

StateCost Index GroceryHousingTransportation
New Mexico87.594.684.498.5
West Virginia91.197.977.1104.8
North Carolina94.997.491.895.1
South Carolina95.9101.880.193.5
North Dakota98.8102.193.7105.2
South Dakota99.8101.8112.789.7
New Hampshire109.799.7110.399.6
Rhode Island119.4108.7124.2111.1
New Jersey125.1108.7137106.5
New York139.1118.3230.2110.6


So, this is all about a quick overview of the ten cheapest states to live in the USA in 2023. The usual suspects in the top weren’t too surprising like Mississippi and Kansas isn’t surprised us in the list. We hope to look at these states in the coming years and see how the inflammation, housing, and transportation rates fluctuate in their position.

Sophia Wadke
Sophia Wadke
I am Shopia, a movie enthusiastic and I read lot of books, mostly of science fiction, thrillers and biography. Content writing is just my profession but my passion too.

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