The 10 Most Affordable Cities With High Salaries and Low Costs of Living

Average salaries and costs of living vary wildly across the United States. The most affordable cities hit the sweet spot by having comparatively high salaries combined with a low cost of living.

That's a big financial benefit for residents, and it makes cities like these popular places to live. Read on to learn about the 10 most affordable cities in the United States, as well as the cheapest and most expensive cities overall.

A note on methodology:

• To rank the most affordable places to live, Motley Fool Money compared median household income to cost-of-living data in hundreds of cities. A higher estimated income-to-expense ratio indicates more affordability.
• Each city's cost-of-living index from the Council for Community and Economic Research was multiplied by median household expenditures nationwide to calculate a cost-of-living estimate.
• Each city's median household income was then divided by its cost-of-living estimate to calculate an estimated income-to-expense ratio. The higher a city's income-to-expense ratio, the more its median income exceeds its cost-of-living estimate. That means a higher score indicates more affordability.
• Cities with a cost-of-living value 10% or more over the national average are excluded from consideration.

The 10 most affordable cities in the U.S.

1. McKinney, TX

• Estimated income-to-expense ratio: 1.55
• Cost-of-living estimate: $75,348
• Median household income: $116,654
• Cost-of-living index: 97.5

McKinney, Texas, a suburb of Dallas-Fort Worth, is the most affordable city in the United States by Motley Fool Money's calculations. McKinney boasts a cost-of-living index three points below the national average, while residents earn a median income 43% higher than the national median.

McKinney is an attractive location for mid-career Americans. The average age there is 37 and the median property value is $440,000, which is about $20,000 higher than the national median home sales price. The largest industries are professional, scientific and technical services, retail, and healthcare.

2. Morristown, NJ

• Estimated income-to-expense ratio: 1.44
• Cost-of-living estimate: $79,899
• Median household income: $115,409
• Cost-of-living index: 104.7

Morristown, New Jersey is the second-most affordable city in the U.S. based on Motley Fool Money's methodology. The small town of 20,000 is located 20 miles west of Newark and 30 miles west of New York City. Its cost of living is slightly above the national average, but that's more than offset by the median household income there being 41% above the national median.

Housing is what puts the cost of living in Morristown above the national average. The housing cost of living there is 30 points above the national average. That said, the cost of utilities, transportation, and healthcare are all near the national average.

3. Edmond, OK

• Estimated income-to-expense ratio: 1.42
• Cost-of-living estimate: $69,243
• Median household income: $98,524
• Cost-of-living index: 89.6

Located in Central Oklahoma, Edmond is the third-most affordable city in the U.S. thanks to median household income well above the national median and a cost-of-living score below the national average.

Housing is particularly affordable in Edmond. The median property value there in 2023 was 324,900, which was about $100,000 below the national median home sales price. Utilities and healthcare are also decently more affordable than the national average.

4. Midland, TX

• Estimated income-to-expense ratio: 1.29
• Cost-of-living estimate: $70,340
• Median household income: $90,699
• Cost-of-living index: 96.4

Midland, Texas, the fourth-most affordable city in the U.S., is located in the western part of the state and falls in the oil-rich Permian Basin. The cost of living there is just below the national average, while the median household income is 11% above the national median.

The oil and gas industry is the largest employer and the highest-paying industry in the city, per the Census Bureau.

Housing is relatively affordable in Midland, about 16% below the national average, per the Council for Economic and Community Research.

While Midland is affordable by our measure, it may not be the most attractive place for some. There aren't many attractions nearby, the economy is dominated by the oil industry, and it's hours away from bigger cities and even mid-size cities like Lubbock and Albuquerque.

5. Austin, TX

• Estimated income-to-expense ratio: 1.29
• Cost-of-living estimate: $70,997
• Median household income: $91,501
• Cost-of-living index: 97.3

Austin, Texas is the fifth-most affordable city in the United States and the largest city in the top 10 by population by a wide margin. Despite the city's impressive growth, the cost of housing is only four points above the national benchmark, while costs in every other major category are below average, according to the Council for Economic and Community Research.

Affordability plus a strong and diverse economy and vibrant culture makes Austin a top destination to put roots down in.

6. Plano, TX

• Estimated income-to-expense ratio: 1.28
• Cost-of-living estimate: $84,931
• Median household income: $108,594
• Cost-of-living index: 109.9

The sixth-most affordable city in the United States is Plano, Texas. Its overall cost-of-living index score is just below the cutoff for our methodology, at 109.9, but its high median household income makes up for how expensive it is to live in the city.

A 30-minute drive north of Dallas, Plano is fast-growing and boasts a strong economy. Toyota Motor North America has its headquarters in Plano, and other large companies have significant footprints there including JPMorgan, JCPenney, and Frito-Lay.

7. Joliet, IL

• Estimated income-to-expense ratio: 1.25
• Cost-of-living estimate: $68,881
• Median household income: $86,054
• Cost-of-living index: 94.4

Joliet, Illinois, about an hour southwest of Chicago, is the seventh-most affordable city in the United States. Its cost-of-living index is about six points below the national benchmark and the median household income there is 5% above the national median. Its low cost of living is driven by housing costs being 20 points below the national average, according to the Council for Economic and Community Research.

Healthcare and social assistance and retail are the largest industries in Joliet. Historically a manufacturing town, the city has become a commuter suburb to the greater Chicago metro.

8. Kansas City, MO-KS

• Estimated income-to-expense ratio: 1.23
• Cost-of-living estimate: $66,473
• Median household income: $81,927
• Cost-of-living index: 91.1

The eighth-most affordable city in the United States is Kansas City, which boasts a cost-of-living index score nine points below the national average. Housing, transportation, healthcare, and miscellaneous goods and services are all roughly 10 points below their respective national benchmarks, based on data from the Council for Economic and Community Research.

Kansas City has seen its population grow more quickly in recent years, but has managed to maintain affordability. The city has a strong and diverse economy alongside historic cultural attractions, including the National World War I Museum and Memorial.

9. Atlanta, GA

• Estimated income-to-expense ratio: 1.23
• Cost-of-living estimate: $70,048
• Median household income: $85,880
• Cost-of-living index: 96.0

Atlanta is the ninth-most affordable city in the United States and only state capital to make the top 10. Relatively cheap housing is enough to push Atlanta's cost-of-living index down, and the median household income in the city being 5% above the national median puts the city into the top 10 most affordable nationwide.

The city is a desirable destination thanks to its robust economy and multi-faceted cultural scene. Numerous large corporations are headquartered in Georgia, perhaps most famously Coca-Cola, Delta Air Lines, and Chick-Fil-A.

10. Charleston, SC

• Estimated income-to-expense ratio: 1.21
• Cost-of-living estimate: $78,748
• Median household income: $95,126
• Cost-of-living index: 101.9

Charleston, South Carolina combines Southern charm with a strong economy and high quality of life. Though the cost of living is slightly above the national average, the median income remains well above it, helping to offset expenses.

The city's largest industries include healthcare, professional services, and education, while utilities and housing run above average costs. With a median age of 36.1 and a growing professional sector, Charleston attracts young professionals and families alike. Historic architecture, coastal scenery, and a vibrant cultural scene make it one of the more desirable affordable cities on the list.

Cheapest and most expensive cities in the United States

According to cost-of-living data from the Council for Community and Economic Research, these are the 10 cheapest and most expensive cities to live in based on data from 2024.

A cost of living index of 100 represents the nationwide average, with a lower score meaning the cost of living in that city is lower.

These lists are based only on the cost-of-living index, not overall affordability, which is based on the median household income in each city relative to the cost of living there.

Cheapest places to live in the U.S.

Decatur, Illinois is the cheapest city in the United States with a cost-of-living index of 79.1, according to the Council for Community and Economic Research. The Manhattan borough of New York City is the most expensive city in the U.S. with a cost-of-living index of 230.6. A cost-of-living index of 100 represents the nationwide average.

The tables below have the cheapest and most expensive cities in the United States. Note that the cheapest cities are ranked only by their cost of living. It's not a ranking of affordability, because it doesn't account for the average income in each city.

Most expensive cities in the U.S.

Moving to a new city? Here are some resources.

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Other most affordable places to live

• The 10 Most Affordable Cities With High Salaries and Low Cost of Living in the South
• The 10 Most Affordable Cities With High Salaries and Low Cost of Living in the Northeast
• The 10 Most Affordable Cities With High Salaries and Low Cost of Living in the Midwest
• The 10 Most Affordable Cities With High Salaries and Low Cost of Living in the West