Median one-bedroom rent across the cities we track is $963 in Indiana versus $1,192 in Minnesota. Overall, Indiana runs roughly 19% cheaper on rent than Minnesota, its main day-to-day cost driver.
Median household income across tracked cities is $62,995 in Indiana and $80,269 in Minnesota — about 22% higher in Minnesota. Indiana has a top state income tax rate of 2.95% and a 7% state sales tax; Minnesota has a top state income tax rate of 9.85% and a 6.875% state sales tax.
State Taxes
Sales Tax
7%
6.875%
+0.1 pp in Indiana
Income Tax (top rate)
2.95%
9.85%
+6.9 pp in Minnesota
Housing (median across tracked cities)
Median 1BR Rent
$963
$1,192
+24% in Minnesota
Median Home Value
$207,000
$345,600
+67% in Minnesota
Income (median across tracked cities)
Median Household Income
$62,995
$80,269
+27% in Minnesota
Climate (median across tracked cities)
Avg Annual Temperature
53.2°F
47.4°F
+5.8°F in Indiana
Indiana vs Minnesota — FAQ
- Is it cheaper to live in Indiana or Minnesota?
- Indiana is cheaper on rent — its median one-bedroom of $963 runs about 19% below Minnesota's $1,192, based on the cities we track in each state.
- How much more do you need to earn to live in Indiana than in Minnesota?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $39,000 a year in Indiana versus $48,000 in Minnesota.
- Which has lower taxes, Indiana or Minnesota?
- Indiana has a top state income tax rate of 2.95% and a 7% state sales tax. Minnesota has a top state income tax rate of 9.85% and a 6.875% state sales tax.
Housing, income, and climate are medians across the 1/1 cities we track in Indiana/Minnesota — not population-weighted statewide figures. Taxes are exact state-level rates. Sources: US Census Bureau, ACS 5-Year; NOAA Climate Normals 1981–2010; Tax Foundation 2026.