Loading
Assembling your view…
Crunching costs, sorting signals, rendering insights.
Crunching costs, sorting signals, rendering insights.
Retirement planning isn't just about lowest rent — it's about protecting a fixed income from healthcare costs and state taxes. We scored 3 cities in Indiana on what hits retirees hardest: cost of living, healthcare, and tax burden. Indianapolis leads with index 92, a 3.05% state tax rate, and a heal…
879,293 residents · Indiana
The #1 spot goes to Indianapolis, and the breakdown explains why. Renters here pay $1,356/month — saving renters $6,468 per year compared to the national average. Meanwhile, Housing is the standout at index 80, making it one of the cheapest in the country for that category. The weak spot? Healthcare at 95. A 26% rent-to-income ratio keeps most households inside the safe zone.
269,994 residents · Indiana
Why Fort Wayne ranks #2: the numbers tell a clear story. At 90 on the cost index, residents save roughly 22% less than the typical American. Rent sits at $1,160/month while the median household pulls in $60,293/year. The Housing category is particularly strong at 74, though Healthcare (92) lags behind. Home prices average $238,593 — $228,777 below the national median.
115,332 residents · Indiana
What does daily life actually cost in Evansville? Start with the 23% rent-to-income ratio — that's the kind of margin that lets people build savings. On the category level, Housing (index 63) is where the real savings show up, while Healthcare (index 88) is the line item most likely to surprise newcomers. Income at $52,251 and homes at $194,790 round out a profile that ranks #3 for clear reasons.
#1 Ranked: Indianapolis — cost index 92, rent $1,356/mo, income $62,995
Retiree-weighted scoring: healthcare index 95, state tax 3.05%, cost index 92 — protecting fixed retirement income
Data sourced from Census Bureau, Zillow, BLS, and Tax Foundation — current as of 2026
| Rank | City | Cost Index | Median Rent | |
|---|---|---|---|---|
| 1 | Indianapolis | 92 | $1,356 | Details |
| 2 | Fort Wayne | 90 | $1,160 | Details |
| 3 | Evansville | 85 | $1,010 | Details |
Retirement planning isn't just about lowest rent — it's about protecting a fixed income from healthcare costs and state taxes. We scored 3 cities in Indiana on what hits retirees hardest: cost of living, healthcare, and tax burden. Indianapolis leads with index 92, a 3.05% state tax rate, and a healthcare index of 95.
Here's Indianapolis by the numbers — and there's a lot to like (and a little to watch). Cost index: 92. Rent: $1,356/month. Income: $62,995/year. Home price: $226,528. Population: 879,293. The strongest category is Housing at 80; the most expensive is Healthcare at 95. Translate that rent to annual numbers, and residents are saving renters $6,468 per year vs. the national median. The delta here is big enough to fund a retirement account.
Retirement affordability is about protecting fixed income. Our model weights healthcare costs at 25 points (medical bills are the #1 financial risk in retirement), cost index at 25 points, and state tax burden at 15 points (taxes directly reduce pension and Social Security income). Indianapolis leads with low healthcare costs, a 3.05% state tax rate, and a cost index of 92 — we had to double-check this one — . Fort Wayne offers competitive healthcare and cost metrics. Not flashy. Just effective.
What to do with this data: use the ranking as a shortlist, then dig into the city profiles for trend lines and category breakdowns. The difference between #1 and #5 is often smaller than the difference between "good on paper" and "actually fits my life." Compare your top picks with our calculator to see real take-home numbers.
Our persona scoring model weights cost of living, income, rent, healthcare costs, tax burden, and population size differently based on what matters most to retirees. Each factor contributes 10-25 points to a 0-100 composite score. Cities with the highest composite rank first. All data is sourced from federal agencies and verified research institutions. Cost of living indices are normalized to 100 (national median) using Zillow rent as the primary signal, with sub-category adjustments derived from regional BLS price data. Rankings are updated monthly as new data is released.
Indianapolis ranks #1 in Indiana for this analysis with a cost index of 92 and median income of $62,995.
Indianapolis scores highest for retirees due to its below-average cost of living, median rent of $1,356/mo, and competitive median income of $62,995.
Our cost of living index uses real Zillow rent data as the foundation, indexed to 100 (national median). Sub-categories (housing, food, transport, utilities, healthcare) are derived from the overall index with regional adjustments. Data is updated monthly.
Indianapolis (ranked #1) has a cost index of 92 and rent of $1,356/mo, while Evansville (ranked #3) has a cost index of 85 and rent of $1,010/mo — a 7-point difference in cost of living.
City data is refreshed monthly from Census Bureau population estimates, Zillow rent and home price indices, BLS salary data, and Tax Foundation tax rates. Last updated: 2026.
The median 1-bedroom rent in Indianapolis is $1,356/month as of 2026, based on Zillow's Observed Rent Index. This is $539 below the national median of $1,895/month.
The median home price in Indianapolis is $226,528, which is 3.6× the local median income. It's on the edge of affordability for median-income households. The national median home price is $467,370.
Indiana has a 3.05% state income tax rate. Combined state and local sales tax averages 7%, and the effective property tax rate is 0.78%.
This ranking was generated using data current as of early 2026. Population and income data comes from the Census Bureau's American Community Survey (5-year estimates). Rent and home price data is from Zillow's monthly releases. Tax rates are from the Tax Foundation's 2025 edition. Rankings are refreshed monthly.