Is Paterson expensive to live in?

Paterson is considered moderately expensive, with a cost index of 118 compared to the US average of 100. Living here costs about 18% more than the national average. The median monthly rent is $2,088, and the median household income is $53,766.

What salary do you need to live comfortably in Paterson?

Using the standard 30% rent-to-income rule, you need at least $83,520/year to afford median rent in Paterson. The median household income is $53,766, giving a rent-to-income ratio of 47%. Financial experts recommend keeping rent below 30% of gross income.

What is the average rent in Paterson?

The median rent in Paterson is $2,088 per month. Housing costs score 144 against the national average of 100, meaning housing is 44% more expensive than the US average.

How does Paterson compare to the national average cost of living?

Paterson's overall cost index is 118 vs the national average of 100. Breaking it down: housing (144), food & groceries (115), transportation (112), utilities (108), and healthcare (121). Paterson is above average in most categories.

Is Paterson, New Jersey a good place to live?

Paterson has a population of 156,452 and a median household income of $53,766. With a cost index of 118, it offers a higher-cost lifestyle. The rent-to-income ratio is 47%, which is above the recommended 30% threshold.

What are the cheapest cities near Paterson?

To find the most affordable cities near Paterson in New Jersey, use the Livably city comparison tool or browse the New Jersey state page. You can compare rent, cost index, income, and affordability side by side across all tracked cities.

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Paterson

Monthly city intelligence across housing costs, tax load, and affordability signals to help you plan your next move with clearer numbers.

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Cost index: 118

Median rent: $2,088

Median income: $53,766

Cost Index

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About Paterson

Living in Paterson, New Jersey

Paterson, New Jersey is a growing city with a population of approximately 156,452. The overall cost of living index sits at 118, which is above the national average of 100. This means everyday expenses — housing, groceries, transportation, and healthcare — are roughly 18% more expensive compared to the typical U.S. city.

Housing is the largest cost driver in Paterson. Median rent is $2,088 per month, while the median home price is $527,848. At a median household income of $53,766, rent consumes roughly 47% of gross income, which places a heavy burden on household budgets. The housing sub-index of 144 highlights significantly elevated shelter costs.

Beyond housing, healthcare is the most elevated non-shelter expense in Paterson with a sub-index of 121, while utilities is comparatively more affordable at 108. State-level taxes also shape the true cost of living: New Jersey applies a 10.75% income tax rate, and property tax averages 2.08% of assessed home value. The combined sales tax rate is 6.63%. Local income tax may apply in some municipalities.

Over the past twelve months, the cost of living in Paterson has trended upward. Among the 4 tracked cities in New Jersey, Paterson ranks #2 from most to least affordable. Whether you're evaluating a job offer, planning a relocation, or comparing salary purchasing power, these numbers give a grounded, data-backed view of what life in Paterson actually costs.

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