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Crunching costs, sorting signals, rendering insights.
Crunching costs, sorting signals, rendering insights.
This is one of the closest races in our database: the top 5 cities are separated by just 8 points on the cost index. And for the typical household, chicago, Joliet, Naperville, Rockford, Elgin are all within striking distance. At this margin, secondary factors — taxes, rent trends, category-specific…
#1 Ranked: Chicago — cost index 111, rent $2,292/mo, income $75,134
Top 5 separated by only 8 points
4 of 5 cities come in below the national cost-of-living average of 112
Data sourced from Census Bureau, Zillow, BLS, and Tax Foundation — current as of 2026
This is one of the closest races in our database: the top 5 cities are separated by just 8 points on the cost index. And for the typical household, chicago, Joliet, Naperville, Rockford, Elgin are all within striking distance. At this margin, secondary factors — taxes, rent trends, category-specific costs — become the tiebreakers. Here's the full breakdown.
Tax burden isn't just income tax. And generally speaking, take it or leave it — the data is what it is. We combine three layers: state income tax (4.95% in Chicago), combined state+local sales tax (8.83%), and effective property tax (1.73%). At 4.95% state income tax, the real differentiator becomes sales and property tax rates. On a $75,000 — for better or worse — salary, the estimated take-home in #1 Chicago is $53,997/year.
A closer look at Chicago: the cost index of 111 breaks down to a Utilities index of 102 (strongest category) and a Housing index of 127 (weakest). Median rent is $2,292/month — 21% above the national median — while household income sits at $75,134, meaning locals spend about 37% of income on rent. That exceeds the recommended 30% threshold — affordability here depends on earning above the median.
It checks most boxes — but the housing costs are the asterisk. In Chicago, the housing index sits at 127 — above average and worth factoring in.
Before making assumptions, look at this: Top 5 separated by only 8 points. And in most cases, the race is tight: Chicago, Joliet, Naperville, Rockford, Elgin are all within 8 points of each other. At this level, differences in rent, taxes, or a single category can sway the decision.
Bottom line: Chicago leads this ranking for clear, data-backed reasons — but the "best" city depends on your priorities. Click into any city below to see the full detail page with 12-month trend charts, profession-specific salary data, and a breakdown of all five cost categories. If you're seriously considering a move, use our salary calculator to model your specific income against these numbers.
The race is tight: Chicago, Joliet, Naperville, Rockford, Elgin are all within 8 points of each other. At this level, differences in rent, taxes, or a single category can sway the decision.
Rent in #1-ranked Chicago has increased from $2,179 to $2,292/mo over the past 12 months — a 5% increase. Rising costs may erode its top ranking over time.
2,664,452 residents · Illinois
No sugarcoating: Chicago earns its position at #1 through a combination that's hard to replicate. The 111 cost index sits 1 points below the national baseline, and the $75,134 median income means purchasing power here is amplified by the low cost base. Homes list at $312,457 — $154,913 below the national median — a genuine ownership opportunity. On the cost side, Utilities leads the way at 102, while Housing trails at 127.
150,489 residents · Illinois
Here's Joliet by the numbers — and there's a lot to like (and a little to watch). Cost index: 97. Rent: $1,559/month. Income: $88,026/year. Home price: $255,981. Population: 150,489. The strongest category is Utilities at 89; the most expensive is Healthcare at 100. Translate that rent to annual numbers, and residents are saving renters $4,032 per year vs. the national median. At this level, the city practically pays for your move.
150,245 residents · Illinois
A closer look at Naperville: the cost index of 122 breaks down to a Utilities index of 112 (strongest category) and a Housing index of 154 (weakest). Median rent is $2,157/month — 14% above the national median — while household income sits at $150,937, meaning locals spend about 17% of income on rent. That's a healthy margin by any standard.
146,120 residents · Illinois
Real talk: a closer look at Rockford: the cost index of 86 breaks down to a Housing index of 66 (strongest category) and a Healthcare index of 89 (weakest). That alone makes it worth considering. Median rent is $1,151/month — 39% below the national median — while household income sits at $53,328, meaning locals spend about 26% of income on rent. That's within the recommended 30% threshold, though it doesn't leave much room. The math checks out.
113,310 residents · Illinois
Elgin is one of the cheaper options here. Rent is $1,736/month — worth pausing on — , which is lower than most cities in this ranking. The cost index is 103. Income sits at $88,316. You get the picture.
| City | State Tax | Sales Tax | Property Tax | Est. Take-Home |
|---|---|---|---|---|
1Chicago | 4.95% | 8.83% | 1.73% | $54,085 |
2Joliet | 4.95% | 8.83% | 1.73% | $54,085 |
3Naperville | 4.95% | 8.83% | 1.73% | $54,085 |
4Rockford | 4.95% | 8.83% | 1.73% | $54,085 |
5Elgin | 4.95% | 8.83% | 1.73% | $54,085 |
We combine state income tax rate, combined sales tax (state + local), and effective property tax rate into a total tax burden score. Cities are ranked by this combined metric — lower is better for your wallet. 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.
Chicago ranks #1 in Illinois for this analysis with a cost index of 111 and median income of $75,134.
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.
Chicago (ranked #1) has a cost index of 111 and rent of $2,292/mo, while Elgin (ranked #5) has a cost index of 103 and rent of $1,736/mo — a 8-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 Chicago is $2,292/month as of 2026, based on Zillow's Observed Rent Index. This is $397 above the national median of $1,895/month.
The median home price in Chicago is $312,457, which is 4.2× the local median income. It's on the edge of affordability for median-income households. The national median home price is $467,370.
Illinois has a 4.95% state income tax rate. Combined state and local sales tax averages 8.83%, and the effective property tax rate is 1.73%.
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.