By Jamie Cattanach

(Last Updated – 02/2025)

From the bright lights and big cities to the endless waving seas of agricultural fields, Illinois truly has something for everybody — which is probably why more than 12.7 million people live there. That makes it the sixth most populous state in the nation, though Chicago alone is home to almost 2.7 million residents.

What’s the Average Cost of Living in Illinois?

Average Cost of Living in Illinois: $58,333 per year

So we know it’s beautiful, diverse, and full of friendly faces and delicious food. But is Illinois affordable to live in? Good news, Midwesterners: According to most accounts, the answer is yes. Illinois enjoyed the 21st lowest cost of living in the United States for 2024, according to the Missouri Economic Research and Information Center (MERIC).

The Bureau of Economic Analysis estimates personal expenditures by state, and on average, an Illinois resident spends $58,333 per year, as per the bureau’s 2023 data.Here’s how that figure breaks down into different basic expense categories:

Let’s take a closer look into each of these categories, as well as a few others.

Housing Costs in Illinois

Average Housing Costs in Illinois: $1,086 to $1,650 per month

For many Americans, housing is the single largest cost they face. Mortgage or rent payments represent a significant chunk of the monthly budget.

But housing is one of those costs that really depends on where you’re living: not only which state but also which city.

According to June 2024 data from Zillow, the typical home value in Illinois is $264,399. Redfin puts the median sale price at $283,800. Those figures are significantly lower than the average U.S. existing-home sale price of $355,328 for January 2025, according to Zillow.

Furthermore, the state’s averages are boosted by the cost of housing in major cities like Chicago. Until recently, many Illinois population centers boasted typical home prices that were five digits rather than six digits long. (As of late 2024, only two cities do). But even Chicago homes are fairly affordable, especially for a large U.S. city.

Here are the typical home values in a variety of Illinois cities, according to December 2024 data from Zillow.

So how does that break down on a by-month basis? Here are the median mortgage and rent prices in Illinois, according to 2021 data from the U.S. Census Bureau.

•  Median monthly mortgage cost: $1,902

•  Median studio rent: $1,158

•  Median one-bedroom rent: $1,086

•  Median two-bedroom rent: $1,254

•  Median three-bedroom rent: $1,424

•  Median four-bedroom rent: $1,650

•  Median five-bedroom (or more) rent: $1,386

•  Median gross rent: $1,238

Utility Costs in Illinois

Average Utility Costs in Illinois: $346 per month

Roof over your head? Check. Now for the electricity, water, gas, and internet connection that make it livable.

While individual utility costs vary — people use different amounts of each service, depending on their lifestyles — here are some averages to help you estimate how much you might stand to spend monthly on utilities in Illinois.

Sources: U.S. Energy Information Administration, Electric Sales, Revenue, and Average Price; Statista.com “Average monthly residential utility costs in the United States, by state”; DoxoInsights, U.S. Cable & Internet Market Size and Household Spending Report; and Rentcafe.com, What Is the Average Water Bill? June 2024

Groceries & Food

Average Grocery & Food Costs in Illinois: $343 per person, per month

There’s so much more to Illinois cuisine than corn — or even Chicago-style hot dogs and pizza. But how much does it cost to feed yourself and your family in the Prairie State?

Per the Bureau of Economic Analysis figures above, the average Illinois resident spends $4,119 per year on nonrestaurant food and beverages, which works out to about $343 per person, per month. That would mean about $686 per month for a married couple, or $1,372 per month for a family of four — but do keep in mind that this average doesn’t take into account the fact that children eat less than adults, or even that some adults eat less than others!

Location also matters, though. The Council for Community and Economic Research regularly updates its cost-of-living index for major American metro areas, and includes data on grocery costs specifically. Here’s how some major Illinois cities stack up when it comes to how much you might expect to pay at the grocery store, per its 2024 data.

Transportation

Average Transportation Costs in Illinois: $9,346 to $17,391 per year

Chicago is well known (and loved) for its fast and friendly public transportation options — but even in the big city, a lot of residents depend on private vehicles to travel, and no matter how you get around, you’ll pay for it somehow.

While a family’s specific travel costs can range widely depending on their lifestyles, MIT’s Living Wage Calculator offers some great insights into how much you might expect to pay on transportation costs each year, based on its February 2025 data.

Health Care

Average Health Care Costs in Illinois: $9,238 per person, per year

Drawing on the same Bureau of Economic Analysis data used in the initial expenditure breakdown above, the average Illinois resident spends $9,238 per year on health care, or about $769.83 per month, per person.

Of course, if you’ve got kids running and jumping around the playground or consider yourself a sports aficionado, you may stand to spend more than that. Conversely, if you eat well, exercise, and aren’t very accident-prone, you may spend less — all depending on your health care coverage.

Child Care

Average Child Care Costs in Illinois: $917 to $1,113 or more per child, per month

Taking care of the kiddos: It’s some of the best work there is, but it sure is work, and when you’ve got another job to do, you usually have to pay someone else to do it.

Child care isn’t cheap anywhere, though costs do vary depending on where you are. Costofchildcare.org offers some great averages for how much you might expect to pay in Illinois (and elsewhere) depending on how many children you have and what kind of care scenario you’re after.

Sound expensive? The Illinois Department of Human Services offers resources for lower-income families to help match them with affordable child care throughout the state.

Taxes

State Income Tax Rate in Illinois: 4.95%

Illinois, unlike many other U.S. states, levies its income tax at a single rate — so all eligible earners living in Illinois pay the same rate, regardless of income level.

The good news is, per the Tax Foundation’s Tax Foundation’s State Individual Income Tax Rates and Brackets for 2025, that tax rate is a relatively low 4.95%. While it’s not the lowest in the country (which hovers in the 2-3% range, aside from the seven states that levy no state income tax at all), it’s much lower than neighboring Wisconsin’s 7.65%.

Miscellaneous Costs

Once all the basics are taken care of, it’s time to have some fun. If Illinois residents spend an average of $34,405 on nonessential personal expenditures, where might some of that money be going? (Prices accurate as of February 2025.)

•  Tickets to see a Chicago Cubs home game at Wrigley Field: Starting under $20, according to SeatGeek, but could cost hundreds from third-party vendors close to game time.

•  Admission to the Art Institute of Chicago, a renowned museum founded by a group of artists all the way back in 1879: Start at $21 for adults who are Illinois residents ($14 for Chicagoans), but non-Illinois visitors will pay $26. (Kids aged 13 and younger are always free.)

•  A regular beef from Al’s #1 Italian Beef, is $9.25 (cash only) from the legendary source of the city’s iconic Italian beef sandwich – serving the goods from its location on Taylor Street since 1938. (Dipped, regular, or dry, but with no extras.)

The good news is, there’s plenty of free stuff to do in Illinois. For starters, every single one of its many glorious state parks is free to enter, though there may be fees to camp. Additionally, tours of the Lincoln Home in Springfield are free (first come, first served). And of course, Chicago is known for its many public parks, events, and art exhibits, including Cloud Gate, popularly known as “The Bean,” which is free to walk up to and admire in Millennium Park.

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

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

Obviously, definitions of “comfortable” vary. What might feel cushy to one person could feel like belt-tightening to another.

That said, all things considered, Illinois is one of the cheapest states to live in based on a variety of different figures. As mentioned, MERIC puts it in the 21st position on its cost-of-living ranking, and while U.S. News and World Report, sets the state at 34th on its Affordability Ranking.

Again, where exactly you decide to hang your hat in Illinois could make a big difference.

What City Has the Lowest Cost of Living in Illinois?

Even as a relatively affordable state overall, you can stack the odds in your favor by opting for one of the lowest-cost cities in Illinois. The Council for Community and Economic Research, which we cited above when parsing grocery costs, also ranks metro areas by overall cost of living.

Here are the three least expensive Illinois cities on its list as of 2024.

Decatur

With a cost-of-living index of 79.1 (Chicago’s is 115.1, for comparison), Decatur is the largest city in Macon County, with a population of almost 70,000.

Only about 45 minutes east of Springfield, Decatur offers all of its own attractions — such as the Scovill Zoo and Chevrolet Hall of Fame Museum — within easy reach of the nearby capital city, and at a fraction of the price.

Danville

Tucked just over the border from Indiana, Danville has a cost-of-living index score of 94.4, and it also enjoys the lowest housing index costs in the state.

With a population of just over 28,800, per census estimates, it’s certainly not a big city, but it packs a punch in charm: Lake Vermilion offers a lovely local waterfront, part of which is populated by a country club, and the Vermilion County Museum offers reconstructions of a 1900s school room and the interior of a coal mine.

Champaign-Urbana

Coming in with a cost-of-living index score of 93.9, Champaign-Urbana is another inland Illinois city worth taking a closer look at if you’re looking for affordable living. Per December 2024 Zillow data, the typical home value here is an affordable $206,351, and its status as home to the University of Illinois means there’s always something to do here.