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Indianapolis-Carmel-Greenwood, IN

Cost of living in Indianapolis, Indiana

Marion County, IN

Part of the Indianapolis Metro Area

Estimated monthly cost
$3,076/mo
for a single person, all categories combined

Population 971,822 · Last updated May 21, 2026

Cost breakdown

Single person, by category, per month.

Rent $1,097 36%
Federal tax $508 17%
Healthcare $480 16%
Transport $320 10%
Groceries $318 10%
Energy $199 6%
State tax $104 3%
Water $50 2%

Rent in Indianapolis

Fair Market Rents by bedroom count.

Studio
$955
per month
1 bedroom
$1,097
per month
2 bedroom
$1,283
per month
3 bedroom
$1,669
per month
4 bedroom
$2,028
per month

Source: HUD FMR FY2025

Income and earnings in Indianapolis

Annual earnings figures from the Census ACS.

Household income
$63,450
per year
Individual earnings
$41,112
per year
Per capita
$36,355
per year

Source: ACS 2019-2023 5-Year.

Home values in Indianapolis

Average values reported by homeowners.

Average home value
$207,000
Annual property tax
$1,923

Source: ACS 2019-2023 5-Year

Energy costs in Indianapolis

Estimated monthly electricity and gas costs.

Electricity
$142
per month · 15.8¢/kWh
Natural gas
$57
per month
Annual total
$2,388
per year

Source: EIA

Healthcare in Indianapolis

Insurance premiums and coverage rates.

Individual premium
$480
per month
Family premium
$1,350
per month
Uninsured rate
9.0%

Source: ACS + national avg. Marketplace benchmark premiums are second-lowest Silver plan estimates and do not reflect employer plans, subsidies, or out-of-pocket costs. This is not healthcare advice.

Taxes in Indianapolis

State and local tax rates for Indiana.

State income tax
3.0%
Flat rate
State sales tax
7.0%
Combined sales tax
7.0%
incl. average local

Tax rates change. Consult a qualified tax professional for advice on your specific situation. This is not tax advice.

Transportation in Indianapolis

Commute patterns and estimated costs.

Average commute
24.2 min
Drive alone
73.8%
Public transit
1.3%
Work from home
12.3%

Source: ACS

Monthly cost estimates for Indianapolis

What it costs to live in Indianapolis each month.

Single person
$3,076
per month
  • Rent $1,097
  • Energy $199
  • Water $50
  • Groceries $318
  • Transport $320
  • Healthcare $480
  • Federal tax $508
  • State tax $104
Couple
$4,262
per month
  • Rent $1,283
  • Energy $239
  • Water $60
  • Groceries $527
  • Transport $420
  • Healthcare $864
  • Federal tax $708
  • State tax $161
Family
$6,776
per month
  • Rent $1,669
  • Energy $298
  • Water $70
  • Groceries $800
  • Transport $520
  • Healthcare $1,350
  • Childcare $1,200
  • Federal tax $708
  • State tax $161

Frequently asked questions about Indianapolis

Common questions about cost of living, rent and salary.

What is the average rent in Indianapolis?

In Indianapolis, Indiana, a one-bedroom apartment averages $1,097 per month, a two-bedroom averages $1,283 per month, a three-bedroom averages $1,669 per month, according to HUD Fair Market Rent data.

What is the average salary in Indianapolis?

In Indianapolis, Indiana, the average household income is $63,450 per year and individual earnings for full-time workers average $41,112 per year, according to U.S. Census Bureau data.

What is the cost of living in Indianapolis?

The estimated cost of living in Indianapolis, Indiana is approximately $3,076 per month for a single person, $4,262 for a couple, $6,776 for a family. This includes rent, utilities, groceries, transportation, healthcare, and taxes.

What is the sales tax rate in Indianapolis?

The combined sales tax rate in Indianapolis, Indiana is 7.00%, which includes the Indiana state rate of 7.00% plus an average local rate of 0.00%.

Is Indianapolis an affordable place to live?

Based on the data, a single person in Indianapolis, Indiana would need approximately $3,076 per month to cover rent, utilities, food, transport, healthcare, and taxes. The average household income is $63,450 per year ($5,288 per month). Indianapolis has a moderate cost of living relative to local earnings.

How much does healthcare cost in Indianapolis?

The ACA marketplace benchmark premium in Indianapolis, Indiana is approximately $480 per month for an individual. Approximately 9.0% of residents are uninsured. Actual costs vary based on employer coverage, plan type, and individual circumstances.

What are house prices in Indianapolis?

The average home value in Indianapolis, Indiana is $207,000, with average annual property taxes of $1,923, according to U.S. Census Bureau data.

How does Indianapolis compare to other areas?

You can compare Indianapolis, Indiana with any other US county using our comparison tool at /compare. Indianapolis is in the Indianapolis-Carmel-Greenwood, IN metro area.

Other counties in Indiana

Browse the full list of counties in Indiana, ranked by cost of living.

See all counties in Indiana

Compare Indianapolis with another area

Put two counties side by side to see how rent, taxes and everyday costs stack up.

About this data

All figures on this page come from official U.S. government sources, listed below.

  • HUD FMR FY2025
  • ACS 2019-2023 5-Year
  • EIA
  • ACS + national avg
  • ACS
  • USDA + BEA RPP
Methodology All data sources