Find out which states are the least affordable for American families based on how much it costs to rent a two-bedroom apartment.
The Impact of Inflation
Once upon a time, most of the country was relatively affordable for the average American family. Now, inflation has put pressure on the majority of American citizens, creating stress around finances for people from many different walks of life.
Which States Are Most Expensive?
Some states are harder to afford than others, and this roundup lists the most expensive states to live in. The data is based on the cost of a two bedroom apartment, and we’ve included information on the state’s minimum wage and average grocery costs for a family of four.
Ranked here starting with the most expensive, take a look at which states are hardest to afford for renters. These figures represent averages, as costs can vary greatly from urban to rural areas within a state.
#1. Hawaii
Average rent: $2400
Minimum wage: $14
Monthly grocery cost: $1169
The Aloha State
Hawaii may be a favorite tropical destination for tourists, but for locals, it’s the most expensive place in the country to live. For a family of four living on one minimum-wage income, a two bedroom apartment is out of reach. Just to afford rent and groceries alone, a family would need to earn $25 per hour in Hawaii.
#2. California
Average rent: $1972
Minimum wage: $16
Monthly grocery cost: $1288
The Golden State
California is known as the Golden State, but its cost of living is anything but golden. It is slightly more affordable than Hawaii, but it would still be impossible for a family of four to make it on minimum wage. Luckily for Californians, the average hourly wage in California is closer to $24.
#3. New Jersey
Average rent: $1874
Minimum wage: $15.13
Monthly grocery cost: $1144
The Garden State
New Jersey is home to thousands of commuters who live in the Garden State and commute to New York City or Philadelphia for work. That means that while the minimum wage in New Jersey is only about $15 per hour, many of those who reside in New Jersey are making bigger city wages. Still, that doesn’t account for the many families living on minimum wage who struggle to make ends meet given the high costs of living in the state.
#4. Massachusetts
Average rent: $1840
Minimum wage: $15
Monthly grocery cost: $1657
The Bay State
Bay Staters know that Massachusetts is expensive, but the trade-off is that there is plenty to do in this historic state. Despite all its history, Massachusetts is a difficult state to live in if you make minimum wage.
#5. New York
Average rent: $1724
Minimum wage: $15
Monthly grocery cost: $1946
The Empire State
While much of upstate New York is more affordable, the state’s figures are skewed high because of how costly it is to live in New York City. Still, the Empire State is one of the most expensive states to live in because of its high costs overall, not just in the city.
#6. Maryland
Average rent: $1722
Minimum wage: $15
Monthly grocery cost: $804
The Old Line State
Given its proximity to the nation’s capital, Maryland is home to a diverse population that includes government officials. Average rents are high compared to its minimum wage, which is barely enough just to cover rent, much less other living expenses.
#7. Connecticut
Average rent: $1622
Minimum wage: $15.69
Monthly grocery cost: $1159
The Constitution State
Coming in at #7 is the northeastern state of Connecticut, home to the prestigious Yale University and a popular autumn tourist destination. With exorbitant grocery costs and high rents, Connecticut remains one of the most expensive states in the country.
#8. Colorado
Average rent: $1585
Minimum wage: $14.42
Monthly grocery cost: $1366
The Centennial State
Though the state offers beautiful mountain scenery, the minimum wage in Colorado is not enough to cover an apartment and groceries, like many on this list. Families would need a dual income or higher wages to make ends meet in the Centennial State.
#9. Washington
Average rent: $1462
Minimum wage: $16.28
Monthly grocery cost: $809
The Evergreen State
Situated in Washington is the city of Seattle, which boasts tons of tech jobs. That’s lucky for the citizens of the Evergreen State who need more than minimum wage to stay afloat.
#10. Oregon
Average rent: $1341
Minimum wage: $14.20
Monthly grocery cost: $1341
The Beaver State
Staying in the Pacific Northwest, #10 on our list is the state of Oregon, which has a lower minimum wage than most of our top ten. Despite that, rents and food costs are still pretty high for the Beaver State.
The post Ten States Where Inflation is Pricing Out Residents first appeared on Liberty & Wealth.
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The content of this article is for informational purposes only and does not constitute or replace professional financial advice.
