United States
Cost of living in Illinois
Cost of living in Illinois matches the US average at an RPP of 100.0, placing it 18th among all 51 jurisdictions. That neutral headline, however, tells only part of the story. The real financial character of Illinois is defined by its tax structure rather than its raw prices. The state levies a flat income tax of 4.95 percent on all taxable income, applying the same rate to a $30,000 wage as to a $300,000 salary, because the Illinois constitution blocks a graduated schedule. Property taxes in the Chicago metro rank among the highest in the country measured as a share of home value, adding thousands of dollars annually to occupancy costs that the price level index does not fully capture. When Chicago residents pay the combined city-county-regional transit sales tax, which reaches 10.25 percent on most purchases, the effective cost of living in the metro rises well above the flat 100.0 figure. Move downstate to Peoria, Springfield, or Rockford and both housing and local tax burdens drop substantially, pulling costs meaningfully below 100.
Price level
100
US = 100
National rank
18th
of 51, dearest first
Income tax
4.95%
flat
Sales tax
6.25%
state base rate
What your salary is worth in Illinois
Because prices here sit at 100 against the national 100, the same paycheck stretches differently than it would elsewhere. These figures hold buying power constant: the salary listed is what you would need in Illinois to live as you would on the reference amount in another place.
| Same lifestyle as | $60,000 | $100,000 |
|---|---|---|
| US average | $60,000 | $100,000 |
| California (dearest) | $54,201 | $90,334 |
| Arkansas (cheapest) | $69,045 | $115,075 |
Compare Illinois with anywhere in the US
To live the same in California you need
$77,490
to match $70,000 in Illinois
Price level, US = 100
The equivalent salary keeps your purchasing power constant: it is your pay scaled by the ratio of the two price levels. Regional Price Parities measure what a fixed basket of goods and services costs locally. Source: U.S. Bureau of Economic Analysis, 2024.
Illinois in context
The geographic split inside Illinois is wide enough to affect relocation decisions significantly. Chicago and its near suburbs carry a housing market shaped by demand from one of the largest US metros, where property tax bills regularly exceed 2 percent of assessed value and can run higher in Cook County. Those bills embed into rents as well, so renters are not exempt from the property tax pressure. The state sales tax base rate of 6.25 percent applies everywhere, but Cook County and Chicago-area municipalities stack their own levies on top, arriving at combined rates that exceed those of almost any other major city in the country. Downstate residents pay the state base rate with far smaller local additions and access housing at prices 40 to 50 percent below the Chicago metro. The flat 4.95 percent income tax stays constant across the state, so the choice of location inside Illinois affects the property and sales tax picture far more than the income tax line.
The closest state above Illinois on price is Arizona at 100.7. Just below sits Nevada at 100.
Frequently asked questions
Is Illinois expensive to live in?
Illinois sits at a price level of 100 where the US average is 100, so a typical basket of goods and services costs about the same as the national norm. That ranks it 18th most expensive of 51 states. Housing is usually the largest single driver of the gap.
What salary do you need in Illinois?
To match the buying power of $60,000 earned at the US average, you would need about $60,000 in Illinois. The figure scales with the price level: a place dearer than average needs more, a cheaper one needs less. Your own number also depends on housing choice and household size.
How much tax does Illinois charge?
Illinois applies a flat 4.95% state income tax and a base state sales tax of 6.25%. Flat 4.95%. No standard deduction; Illinois uses a per-person personal exemption allowance instead. State sales tax 6.25%. Local jurisdictions can add their own sales tax on top.
Cost of living in other states
Price levels are Regional Price Parities from the U.S. Bureau of Economic Analysis, Regional Price Parities (SARPP, MARPP), 2024 (public domain). State tax figures are the latest published rates from state revenue departments. All figures are estimates for general comparison and not financial advice; your own costs depend on housing, household size and lifestyle.