Indiana vs Minnesota Cost of Living
Purchasing power
Your $75,000 is worth different amounts in each state
$82,690
in Indiana
$80,128
in Minnesota
Each cell = 1% of purchasing power. Green = value, red = gap.
Spending breakdown
Estimated annual spending on a $75,000 salary
What things actually cost
Real dollar costs side by side
Category breakdown
| Category | Indiana | Minnesota | Difference |
|---|---|---|---|
| Housing | 75.4 | 80.6 | -6% |
| Groceries | 99.2 | 100.6 | -1% |
| Utilities | 95.0 | 95.0 | 0% |
| Transportation | 101.0 | 96.2 | +5% |
| Healthcare | 96.3 | 102.4 | -6% |
| Dining & Misc | 95.8 | 99.8 | -4% |
| Overall | 90.7 | 93.6 | -3% |
Index values relative to national average (100). Positive difference = more expensive in Indiana.
What things actually cost
| Item | Indiana | Minnesota | Difference |
|---|---|---|---|
| Median home price | $230,000 | $330,000 | $100,000 |
| Average 2BR rent | $1,056/mo | $1,128/mo | $72 |
| Gas price | $3.49/gal | $3.26/gal | +$0.23 |
| Electric bill | $101/mo | $109/mo | $9 |
| Infant childcare | $14,471/yr | $22,569/yr | $8,098 |
Salary equivalent: Indiana → Minnesota
What a Indiana salary buys you in Minnesota, adjusted for cost of living.
| Salary in Indiana | Equivalent in Minnesota | Difference |
|---|---|---|
| $50,000 | $51,599 | $-1,599 |
| $75,000 | $77,398 | $-2,398 |
| $100,000 | $103,197 | $-3,197 |
| $150,000 | $154,796 | $-4,796 |
| $200,000 | $206,395 | $-6,395 |
Positive = your money goes further in Minnesota. Based on overall COL index ratio.
Based on MERIC/C2ER 2025 composite indices. Dollar amounts from AAA, EIA, Zillow, and Child Care Aware.
Overview
Minnesota is 3% more expensive than Indiana overall. Minnesota has an index of 93.6 vs 90.7 for Indiana (national average = 100).
FAQ
Is it cheaper to live in Indiana or Minnesota?
Indiana is cheaper to live in. Minnesota is 3% more expensive overall. The biggest driver is housing — median home prices are $230,000 in Indiana vs $330,000 in Minnesota.
Is Indiana cheaper than Minnesota?
Yes, Indiana is 3% cheaper than Minnesota overall based on the MERIC/C2ER cost-of-living index. Housing, groceries, and utilities all factor into the difference.
Is Minnesota more expensive than Indiana?
Yes, Minnesota is 3% more expensive than Indiana based on the MERIC/C2ER composite index. Housing is typically the largest factor in the difference.
What salary in Minnesota equals $100,000 in Indiana?
To maintain the same purchasing power as a $100,000 salary in Indiana, you would need approximately $103,197 in Minnesota. This is based on the overall cost-of-living index (90.7 vs 93.6).
How do housing costs compare between Indiana and Minnesota?
Housing is significantly cheaper in Indiana. Median home prices are $230,000 in Indiana vs $330,000 in Minnesota — a $100,000 difference. Average 2-bedroom rent is $1,056/mo vs $1,128/mo.
What costs more in Indiana vs Minnesota?
Healthcare is 6% lower in Indiana (index 96.3 vs 102.4). Housing is 6% lower in Indiana (index 75.4 vs 80.6). Transportation is 5% higher in Indiana (index 101 vs 96.2).
Is gas cheaper in Indiana or Minnesota?
Gas averages $3.49/gallon in Indiana and $3.26/gallon in Minnesota — a $0.23 difference per gallon.
Indiana vs Minnesota cost of living — how do they compare?
Indiana has an overall cost-of-living index of 90.7 and Minnesota has 93.6 (national average = 100). Minnesota is 3% more expensive overall. Use the calculator above to see how this affects your specific salary.
How do taxes compare between Indiana and Minnesota?
Cost of living is only part of the picture — state income taxes also affect your take-home pay. Indiana has a flat state income tax of 2.95% for 2026, one of the lowest flat rates in the country. Minnesota has a progressive income tax with 4 brackets, topping out at 9.85% on income over $193,240. Use the Indiana vs Minnesota paycheck comparison to see how a specific salary compares after federal and state taxes, FICA, and deductions.
Do I need to file state tax returns in Indiana and Minnesota?
Indiana requires residents to file a state income tax return annually, typically due April 15. Minnesota requires residents to file a state income tax return annually, typically due April 15. If you move between states mid-year, you typically file a part-year resident return in each state for the income earned while living there.
Where does this cost of living data come from?
Cost-of-living indices are from the MERIC/C2ER 2025 Annual Average. Dollar amounts use AAA gas prices (March 2025), EIA electricity rates (2024), Child Care Aware childcare costs (2024), Zillow home values (2024-2025), and BEA Regional Price Parities.
Related tools
- Indiana Cost of Living — Housing, groceries, gas, and more
- Minnesota Cost of Living — Housing, groceries, gas, and more
- Indiana vs Minnesota Paycheck Comparison — Compare take-home pay after taxes
- House Affordability in Indiana — How much house can you afford?
- House Affordability in Minnesota — How much house can you afford?
- Indiana Tax Brackets — See 2026 marginal rates
- Minnesota Tax Brackets — See 2026 marginal rates
- Indiana Mortgage Calculator — Estimate monthly payments with local rates
- Minnesota Mortgage Calculator — Estimate monthly payments with local rates
- Indiana Bonus Tax Calculator — See how bonuses are taxed differently
- Minnesota Bonus Tax Calculator — See how bonuses are taxed differently
- Gross-Up Calculator — Find the salary you need to hit a target take-home
- Salary to Hourly Converter — Convert annual salary to hourly rate
- Compare any two states
Based on MERIC/C2ER 2025 composite indices and publicly available price data. Cost of living varies significantly by metro area within a state. These are statewide averages.