15 Most Affordable Cities to Live in the U.S.
- Sioux Falls, South Dakota
- Amarillo, Texas
- Rochester, Minnesota
- Clarksville, Tennessee
- Huntsville, Alabama
- Cedar Rapids, Iowa
- Fargo, North Dakota
- Lubbock, Texas
- Springfield, Illinois
- Beaumont, Texas
- Minneapolis, Minnesota
- Oklahoma City, Oklahoma
- Raleigh, North Carolina
- Newport News, Virginia
- Peoria, Illinois
The Affordability Index is composed of a weighted combination of ERI SalaryExpert’s Cost of Labor and Median Household Income versus ERI SalaryExpert’s Cost of Living. ERI SalaryExpert’s Cost of Labor is defined as the annual cost of labor based on the U.S. national average for an annual income of $78,000, calculated using 2025 data from ERI SalaryExpert’s Geographic Assessor. Median Household Income is derived from the American Community Survey (ACS), an annual publication by the U.S. Census Bureau providing detailed population and housing information. ERI SalaryExpert’s Cost of Living is defined as the annual cost of living based on the U.S. national average for an annual income of $78,000 using ERI SalaryExpert’s defaults for family size (4 people), transportation (ownership of 2 vehicles), and a rental accommodation, calculated using 2025 data from ERI SalaryExpert’s Geographic Assessor. A list of 261 major U.S. cities, as defined in ERI SalaryExpert’s Geographic Assessor, were compared in this analysis, and the 15 highest-ranking cities with populations of more than 100,000 are provided in the Affordability Index above.
Understanding the cost of living between cities and affordability as compared to the national average can help HR professionals make informed decisions about relocation, salary planning, and budgeting. For a more in-depth analysis of cost of living, turn to ERI SalaryExpert. Our Assessor Platform can help you stay on top of cost-of-living changes among cities and analyze cost-of-living differentials based on earnings level, home size, home ownership or rental, family size, number of vehicles, and automobile value. Total cost-of-living analyses include breakdowns of major expenditures, including consumables, transportation, health services, housing, tax obligations, and more. To learn more about cost-of-living analyses using ERI SalaryExpert’s Assessor Platform, visit www.salaryexpert.com.
References:
U.S. Census Bureau, U.S. Department of Commerce. “Median Household Income in the Past 12 Months (in 2023 Inflation-Adjusted Dollars).” American Community Survey, ACS 5-Year Estimates Detailed Tables, Table B19013, 2023, https://data.census.gov/table/ACSDT5Y2023.B19013?q=B19013&d=ACS+5-Year+Estimates+Detailed+Tables