Cost of Living in Massachusetts

(Last Updated – September 3,2025)

Massachusetts is known for its natural beauty, leading educational and health care institutions, and of course, the many historic sites located throughout the state. And if you’re a sports fan, you’ll appreciate the state’s pro teams, including the Red Sox, the Bruins, the Celtics, and the Patriots. Whether you prefer the laid-back coastal vibe of Cape Cod, the traditional charm of towns like Concord, or the big-city bustle of Boston, you’ll find plenty to see and do.

Massachusetts is listed as ninth best overall in the U.S. News & World Report “Best States” ranking. But be prepared: You can expect to pay a little more for the pleasure of planting roots in the Bay State. Massachusetts is one of the more expensive places to live in the U.S., especially when it comes to housing.

Is it worth it? Read on to learn more about the cost of living in Massachusetts, and if this New England state might be a good fit for you.

What’s the Average Cost of Living in Massachusetts?

Average Cost of Living in Massachusetts: $69,101 per year

If affordability is a concern for you, the cost of living in Massachusetts could be an obstacle. According to data from the Missouri Economic Research and Information Center (MERIC), Massachusetts comes in as the second highest state in the U.S. for its overall cost of living, behind only Hawaii. That makes it more expensive than any of its neighboring states in the Northeast, based on data gathered in the first quarter of 2025. Even pricey New York and the District of Columbia have a lower cost of living.

What is the cost of living in Massachusetts? According to 2023 data from the Bureau of Economic Analysis, the annual average cost of living in Massachusetts is $69,101. Based on that number, the average monthly cost of living in Massachusetts would be about $5,758. (Your costs will vary: Singles typically spend significantly more per capita than married couples do on categories like food and housing, for example, and less on health care.)

Here’s how costs typically break down into major categories.

Category	Average Annual Per-Capita Cost in Massachusetts
Housing & Utilities	$12,470
Health Care	$11,354
Food and Beverages (nonrestaurant)	$4,870
Gas and Energy Goods	$1,019
All Other Personal Expenditures	$39,388

Housing Costs in Massachusetts

Average Housing Costs in Massachusetts: $1,459 to $2,659 per month

You can expect housing to be one of your biggest costs no matter where you live, but according to MERIC data, housing costs in Massachusetts are well above the national average. (Only Hawaii ranks higher in the U.S.) That could make buying your first home—or your dream home—a challenge.

Massachusetts has just under three million housing units, according to census data. But whether you rent or buy, you may have a hard time finding a place for less than $1,800 a month. Zillow listed the typical Massachusetts home value at about $658,406 at the end of August 2025, compared with the U.S. average home value of $368,581.

As you consider your budget, it may be helpful to know how housing costs break down. The median monthly mortgage cost in Massachusetts is $2,659. And here’s what monthly housing prices can look like in Massachusetts.

•  Median studio rent: $1,494

•  Median one-bedroom rent: $1,459

•  Median two-bedroom rent: $1,882

•  Median three-bedroom rent: $1,935

•  Median four-bedroom rent: $2,308

•  Median five-bedroom (or more) rent: $2,063

•  Median gross rent: $1,757

Of course, Massachusetts home prices can vary substantially depending on where you are in the state. Here are the typical home prices in 10 major Massachusetts cities, according to Zillow, in August 2025.

Massachusetts City	Typical Home Price (August 2025)
Boston	$779,777
Brockton	$501,995
Cambridge	$1,052,899
Fall River	$444,298
Lowell	$488,319
Lynn	$586,220
New Bedford	$434,458
Quincy	$681,156
Springfield	$296,809
Worcester	$436,840

Utility Costs in Massachusetts

Average Utility Costs in Massachusetts: $406 per month

Once you have your housing costs covered, there are still the utility bills to consider. Costs can vary based on location, family size, and time of year, but here’s a look at what you can expect to spend monthly in Massachusetts.

Utility	Average Massachusetts Bill
Electricity	$165.55
Gas	$77
Cable & Internet	$127
Water	$38

Food & Beverage

Average Food & Beverage Costs in Massachusetts: $406 per person, per month

Another ongoing expense is buying groceries. Along with your personal food choices and family size, where you live also can affect how much you’ll spend on food.

The Bureau of Economic Analysis estimates that the average Massachusetts resident’s nonrestaurant food cost is $4,870 annually, or about $406 per month. That means a family of four can expect to spend about $1,624 on groceries each month.

The Council for Community and Economic Research, which ranks the food costs in major American cities, ranked these Massachusetts cities from lowest to highest for their 2024 grocery costs.

Massachusetts City	Grocery Items Index
Boston	104.4
Framingham-Natick	107.1

Transportation

Average Transportation Cost in Massachusetts: $9,708 to $18,065 per year

Transportation costs can be a budgeting headache, depending on the current price of gas, commute times, and public transportation access.

Although public transportation is a popular option in Massachusetts, most people still drive themselves to and from work. Depending on where you live, that trip can take a while. Massachusetts comes in at 47th in the nation for its commuting time in the U.S. News and World Report current “Best States” rankings. And Boston consistently ranks near the top of the worst commutes in the country.

Family size, including the number of working adults in the home, can also be a factor in how much your transportation costs will be. The following results from MIT’s Living Wage Calculator, with data from the first quarter of 2025, can give you a general idea of what to expect.

Family Makeup	Average Annual Transportation Cost
One adult, no children	$9,708
Two working adults, no children	$11,236
Two working adults, three children	$18,065

Health Care in Massachusetts

Average Health Care Costs in Massachusetts: $11,354 per person, per year

Your health care needs, as well as your insurance coverage, will help determine how much you end up paying for care each year for yourself and your family. But according to the 2023 Bureau of Economic Analysis Personal Consumption Expenditures by State report, the annual cost of health care per Massachusetts resident is $11,354.

Child Care

Average Child Care Costs in Massachusetts: $1,104 to $2,006 or more per child, per month

Having children can have a major impact on your budget, and child care is often one of the biggest monthly expenses for a family. In Massachusetts, the price you pay monthly may depend on where you live, how old your child is, and whether or not you choose home-based family care. Here are the average child care costs in Massachusetts, per the most recent data from CostofChildCare.org.

Type of Child Care	Average Cost Per Month, Per Child
Infant Classroom	$2,006
Toddler Classroom	$1,698
Preschooler Classroom	$1,104
Home-Based Family Child Care	$1,327

Eligible families in Massachusetts can apply to the state’s Department of Early Education and Care (EEC) to get help with their costs.

Taxes

Highest Marginal Tax Rate in Massachusetts: 9%

At 9%, Massachusetts’ highest marginal state income tax rate is one of the highest in the U.S., as noted by the Tax Foundation’s map of Top Marginal State Individual Income Tax Rates for 2025. Residents of New York and New Jersey pay more (10.9% and 10.75%, respectively), while neighboring New Hampshire doesn’t have any state income or sales tax.

The state sales tax rate in Massachusetts is 6.25%, which also is among the highest in the U.S. And Massachusetts counties collect an average of 1.04% of a property’s assessed value as property tax per year.

Miscellaneous Costs

Now that we’ve covered the essentials (food, housing, utilities, etc.), let’s change the focus to some fun stuff. Here’s a look at how you might spend some of your discretionary funds as a resident of Massachusetts:

•  Take yourself out to the ballpark. Single-game tickets to a Boston Red Sox game at historic Fenway Park can range in cost from about $35 for an upper-bleacher seat to $425 or more for a seat in a dugout box. Add a cold beverage and a hot dog for about $20, and you’re all set.

•  Explore Boston’s iconic Freedom Trail. The 2.5-mile Freedom Trail leads you to 16 historic sites, including the Bunker Hill Monument, Boston Common, the Old North Church, and Paul Revere’s house. You can walk the trail yourself for free, although there is an admission charge for some sites. Guided “Walk into History” tours cost $17 for adults, $15 for seniors and students, and $8 for children 6-11, with a $1 fee tacked on at every level.

•  Enjoy swimming, hiking, fishing, and more at the picturesque Cape Cod National Seashore. Shopping and dining options are offered in many of the towns around the seashore. Standard entry passes range from $15 to $25, while an annual pass costs $60. Beaches, parking areas, and trails are open year-round. Tickets for a three-hour guided kayak tour of the Nauset Marsh at low tide are $75 for adults and $60 for kids 12 and under.

•  See Boston Harbor from the bay. Check out the city’s skyline and learn about Boston’s (and the nation’s) history during a one-hour narrated sightseeing cruise. Ticket prices vary depending on the cruise you choose, but typically start at about $40 for adults.

•  Have a whale of a time in New Bedford. Learn about whales, whaling, and the ancient art of scrimshaw (intricate designs carved on ivory or bone by whalers) at the New Bedford Whaling Museum. Tickets are $23 for adults, $21 for seniors, $13 for kids, and free for museum members. Add $4 to your ticket price to see a 3D movie.

Recommended: What Are the Average Monthly Expenses for One Person?

How Much Money Do You Need to Live Comfortably in Massachusetts?

We all have different wants and needs, so it’s hard to say exactly how much money you might require to maintain a lifestyle that’s comfortable for you in Massachusetts. But building a life in the Bay State could be expensive compared to the cost of living in other states. U.S. News & World Report ranked Massachusetts 46th for cost of living and 47th for housing affordability in its most recent “Best States” listing. And remember, MERIC ranked Massachusetts as the second highest state in the U.S. for its overall cost of living.

What City Has the Lowest Cost of Living in Massachusetts?

These three cities in Massachusetts all have a low cost of living compared to other cities in the state, according to the Economic Research Institute (ERI):

Springfield

Springfield is popular for its scenic location alongside the Connecticut River and for its many recreational activities. It’s also an economic hub for the region, and is home to several large companies, including MassMutual and Big Y. There’s a zoo, an ice rink, and a symphony hall there, and a Six Flags theme park is located in nearby Agawam. The MassMutual Center hosts concerts, conventions, and other events, and it’s where the American Hockey League’s Springfield Thunderbirds play. Based on the ERI cost of living calculator, Springfield is 12% more expensive than the average city in the U.S. and 14% less expensive than the average city in Massachusetts.

New Bedford

New Bedford leans into its history as a whaling port and seat of Portuguese heritage. You’ll find plenty to explore, from beaches to museums to the Buttonwood Park Zoo. The city is still known for its strong ties to the seafood industry, and tourism is also important to the local economy. Based on the ERI cost of living calculator, New Bedford is 16% more expensive than the national average, and 11% less expensive than the average Massachusetts city.

Fall River

Fall River is another Massachusetts city that makes the most of its waterfront location. You’ll find the world’s largest collection of World War II naval vessels in the city’s Battleship Cove. And you can tour the home (and hunt for ghosts) at the Historic Lizzie Borden House. If you’re a fan of Portuguese cuisine, you’ll likely find the local restaurants serve many of your favorite dishes. Textile and apparel manufacturing, health care, and education are among Fall River’s largest industries. Based on the ERI cost of living calculator, Fall River is 9% more expensive than the national average, and 16% less expensive than the average Massachusetts city.

Helpful Resources for Future Massachusetts Residents