Cost of Living in Nebraska

(Last Updated – September 4,2025)

Nebraska lies in the heart of the Midwest and is one of the fastest-growing states in the region, according to the U.S. Census Bureau. Along with rolling plains and a vibrant college football scene, Nebraska boasts a thriving economy that attracts plenty of jobseekers.

What is the cost of living in Nebraska like compared to the rest of the U.S.? It may come as no surprise to learn that the Cornhusker State is an affordable place to call home. Keep reading to learn more about the cost of living in Nebraska and how it may fit your budget.

What’s the Average Cost of Living in Nebraska?

Average cost of living in Nebraska: $52,177 per year

Before you move to Nebraska, it’s wise to assess the impact on your monthly budget. The Bureau of Economic Analysis puts the average cost of living in Nebraska at $52,177 annually. Based on that figure, you’d need $4,348 in monthly income to live here. Overall, it’s one of the best affordable places in the U.S.

Speaking of the cost of living in the U.S., Nebraska ranks 16th, according to the Missouri Economic Research and Information Center (MERIC). It’s not the cheapest place to live, but it’s nowhere near the most expensive either.

Here’s how average consumer spending in Nebraska breaks down.

Category	Average Annual Per-Capita Cost in Nebraska
Housing and Utilities	$7,756
Health Care	$9,572
Food and Beverages (nonrestaurant)	$3,904
Gasoline and Energy Goods	$1,992
All Other Personal Expenditures	$28,953

Housing Costs in Nebraska

Average Housing Costs in Nebraska: $885 to $1,896.64 per month

Whether you’re buying your first home or you’re a repeat buyer, there are plenty of homes in Nebraska, many of which sell at reasonable prices. There are also many lenders to choose from as you begin the mortgage preapproval process.

The average home value in Nebraska was $276,711 in August 2025, according to Zillow. The median sale price, meanwhile, was $281,650, significantly below the national median sale price of $371,300. The average monthly mortgage payment is $1,897.

Here’s what you can expect to spend on housing monthly in Nebraska if you’re renting.

Housing Status	Typical Cost
Studio	$885
One Bedroom	$893
Two Bedroom	$1,059
Three Bedroom	$1,292
Four Bedroom	$1,512
Five or More Bedrooms	$1,450
Median Gross Rent	$1,042

Where you live in Nebraska can make a difference in what you pay for a home. Here’s how the average home value compares in selected Nebraska cities, according to Zillow.

Nebraska City	Average Home Value
Columbus	$270,723
Fremont	$252,904
Grand Island	$259,702
Kearney	$314,153
Lincoln	$289,468
Norfolk	$259,146
North Platte	$206,601
Omaha	$293,272
Papillion	$407,559

Prices are within a normal range for the most part, which lowers the odds of needing a jumbo loan to buy a home.

Recommended: What Are the Different Types of Home Mortgage?

Utility Costs in Nebraska

Average Utility Costs in Nebraska: $311.52 per month

Housing may be your biggest expense, but utilities can also add up. Here’s what you’ll pay for utility services in Nebraska monthly.

Utility	Average Nebraska Bill
Electricity	$111.52
Natural Gas	$68
Cable & Internet	$97
Water	$35

Note that these figures don’t include sewer or cell phone service, which can increase your overall expenditures.

Food & Beverages

Average Cost of Food and Beverages in Nebraska: $325 per month, per person

Rising grocery prices can instantly increase your cost of living. According to the Bureau of Economic Analysis, Nebraskans spend an average of $3,904 per capita on food annually. The average monthly expenses for one person works out to about $325, which adds up to $1,300 for a family of four.

Where you live in Nebraska can determine how much you pay for groceries. The Council for Community and Economic Research ranks food costs for major American cities. Here’s how grocery prices compare for the Nebraska cities surveyed, from lowest to highest.

City in or Near Nebraska	Grocery Items Index
Kansas City, MO	97.3
Omaha, NE	99.1
Lincoln, NE	99.3
Denver, CO	101.3

Transportation

Average Transportation Costs in Nebraska: $10,958 to $19,720 per year

Getting around in Nebraska can add up if you’re paying for gas, vehicle maintenance, and insurance. Public transportation is available in larger cities like Omaha and Lincoln, but if you live in the suburbs or a rural area, you’ll need a vehicle to go from A to B.

Here’s how the average cost of transportation in Nebraska breaks down, according to MIT’s Living Wage Calculator.

Family Makeup	Average Annual Transportation Cost
One adult, no children	$10,958
Two working adults, no children	$12,264
Two working adults, three children	$19,720

Health Care in Nebraska

Average Health Care Costs in Nebraska: $9,572 per year, per person

The average Nebraska resident pays $9,572 for health care each year, according to the Bureau of Economic Analysis. That’s just shy of $800 per month for doctor visits, medications, and other health care expenses.

Your actual health care spending will depend on your medical history, age, and insurance coverage.

Child Care

Average Child Care Costs in Nebraska: $922 to $1,196 per month, per child

Child care can easily be one of the biggest expenses households face. In Nebraska, families pay anywhere from $922 to $1,196 per month on average for child care for a single child.

The amount you’ll pay depends on the level of care your child needs and the number of children you have. Here’s a sample of how child care costs in Nebraska compare, according to CostofChildCare.org.

Type of Child Care	Average Cost Per Month, Per Child
Infant Classroom	$1,196
Toddler Classroom	$1,196
Preschooler Classroom	$922
Home-Based Family Child Care	$954

Taxes

Highest Marginal Tax Rate in Nebraska: 5.20%

Nebraska has a graduated income tax system that assesses higher tax rates at higher levels of income. The highest marginal tax rate is 5.2%, which applies to single filers with incomes above $38,870 and married couples earning more than $77,730, according to the Tax Foundation.

Type of Tax	Tax Rate
Income Tax	5.20%
Sales Tax	6.98%
Property Tax	1.43%

Where you live in Nebraska can determine what you pay in property taxes. Here’s how the typical property tax bill compares across selected Nebraska counties.

County	Median Tax Bill
Adams	$2,670
Douglas	$4,295
Kearney	$2,675
Lancaster	$4,055
Merrick	$1,969
Nance	$1,470
Platte	$2,789
Richardson	$1,329
Thomas	$1,228
York	$2,115

Miscellaneous Costs

Average Miscellaneous Costs in Nebraska: $28,953 per year

The typical Nebraskan spends $28,953 per year on miscellaneous expenses, according to the Bureau of Economic Analysis. Miscellaneous expenses are anything you might spend money on after you’ve paid for essentials like housing, utilities, food, health care, transportation, and child care.

Here’s a sampling of how costs to various Nebraska attractions compare if you’re looking to have a little fun as a family.

•   Trek the Omaha Zoo with kids: $22.50 to $31.95, depending on age and military status

•   Take in the sights at the Scotts Bluff National Monument: Free

•   Explore Indian Cave State Park: $7 to $14 for daily permits

•   Get to know the local history at the Chimney Rock museum: $4 to $8 (kids under four are free)

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

As mentioned earlier, the cost of living in Nebraska is $52,177 per year. Beyond that, the amount of money you need to live comfortably in Nebraska depends largely on your preferred standard of living. Nebraska comes in 12th in U.S. News & World Report’s Affordability rankings, so it’s not unreasonable to assume you could live fairly well here, even on a smaller income.

Creating an estimated budget can help you decide if you can afford the cost of living in Nebraska. Look at essential expenses, from housing to transportation to food, then compare the average cost of each one with your expected income to gauge how affordable Nebraska is likely to be for you.

Recommended: Do You Qualify as a First -Time Homebuyer?

What City Has the Lowest Cost of Living in Nebraska?

Some Nebraska cities are more affordable than others. Comparing the cost of living can help you narrow down which cities are the best fit for your budget. Here’s a look at how costs compare in three Nebraska cities, using data from the Council for Community and Economic Research’s Cost of Living Index for 2024.

Hastings

Hastings is one of the most affordable cities in Nebraska, with an affordability index of 85.7 (compared to the national average of 100). The average value for homes is $206,242, according to Zillow.

Lincoln

Lincoln has an affordability index of 93.8, which actually makes it slightly more expensive than Omaha. The average value of homes is $289,468, while the average renter pays $1,308 per month. Like other Nebraska cities, home prices and rent prices in Lincoln have experienced a slow but steady upward trend over the last year.

Omaha

Omaha is Nebraska’s most populous city and many people move here to take advantage of job opportunities and good schools. Traffic is a little heavier but there’s also plenty to do, whether you prefer the arts or the nightlife scene. So, what is the cost of living in Omaha, Nebraska?

It scores a 93.1 on the cost of living index, making it surprisingly affordable for a larger city. The average home value is $293,272, according to Zillow. Renters, meanwhile, pay $1,443 on average.

Helpful Resources for Future Nebraska Residents