Is it cheaper to live in Billings or Chicago?

Billings, MT is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 31% below Chicago, IL's $1,490, mainly because of rent.

How much more do you need to earn to live in Billings than in Chicago?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Billings versus $50,000 in Chicago.

Which has lower taxes, Billings or Chicago?

Billings is taxed under Montana's rules (a top state income tax rate of 5.65% and no state sales tax); Chicago under Illinois's (a top state income tax rate of 4.95% and a 6.25% state sales tax).

Billings vs Chicago Cost of Living 2026

Billings

Montana

$1,030/mo est.

Chicago

Illinois

$1,490/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,030 in Billings, MT versus $1,490 in Chicago, IL. Overall, Billings, MT is roughly 31% cheaper to live in day-to-day than Chicago, IL, driven mainly by rent.

Median household income is $71,855 in Billings, MT and $75,134 in Chicago, IL — about 4% higher in Chicago, IL. Montana has a top state income tax rate of 5.65% and no state sales tax; Illinois has a top state income tax rate of 4.95% and a 6.25% state sales tax.

Billings, MT

Chicago, IL

Rent

Studio

$877

$1,186

+35% in Chicago, IL

1 Bedroom

$889

$1,258

+42% in Chicago, IL

2 Bedroom

$1,102

$1,406

+28% in Chicago, IL

3 Bedroom

$1,398

$1,554

+11% in Chicago, IL

Buying a Home

Median Home Value

$311,800

$315,200

+1% in Chicago, IL

Income

Median Household Income

$71,855

$75,134

+5% in Chicago, IL

Metro Median Wage (annual)

$49,060

$54,720

+12% in Chicago, IL

People & Lifestyle

Median Age

38.1 yr

35.7 yr

+2.4 yr in Billings, MT

Homeownership

64.8%

45.5%

+19.3 pp in Billings, MT

Bachelor's+ (25+)

37.0%

43.3%

+6.3 pp in Chicago, IL

Avg Commute

16.7 min

33.5 min

+16.8 min in Chicago, IL

Crime (per 100k/yr)

Violent Crime

750.2

539.8

+28% in Billings, MT

Property Crime

3,123.5

3,489.9

+12% in Chicago, IL

FBI Crime Data Explorer. Offenses per 100,000 residents per year; agency reporting practices vary, so this is approximate.

Climate

Avg Annual Temperature

48.2°F

52.7°F

+4.5°F in Chicago, IL

Annual Precipitation

13.7 in

38.0 in

+24.3 in in Chicago, IL

Gas

Regular Gasoline

$4.29/gal

about equal

Area: Rocky Mountain (PADD 4) vs Chicago.

Public Transit

Base Fare (one-way)

—

$2.50

Adult base one-way fare — — vs CTA (2026).

Utilities

Electricity (¢/kWh)

14.7

23.9

+63% in Chicago, IL

Natural Gas ($/MCF)

$8.77

$15.39

+75% in Chicago, IL

Residential, state-level averages (EIA). MCF = 1,000 cubic feet.

Groceries

Milk (gal)

$4.82

$4.31

+10% in Billings, MT

Bread (lb)

$2.04

$1.66

+19% in Billings, MT

Eggs (doz)

$2.19

$3.63

+66% in Chicago, IL

Ground Beef (lb)

$7.36

$6.77

+8% in Billings, MT

Chicken (lb)

$2.01

$2.10

+4% in Chicago, IL

Bananas (lb)

$0.70

$0.62

+12% in Billings, MT

Average prices — West vs Midwest (BLS). Regional where available, otherwise U.S. average.

State Taxes

Sales Tax (MT / IL)

None

6.25%

+6.3 pp in IL

Income Tax (top rate)

5.65%

4.95%

+0.7 pp in MT

Billings vs Chicago — FAQ

Is it cheaper to live in Billings or Chicago?: Billings, MT is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 31% below Chicago, IL's $1,490, mainly because of rent.
How much more do you need to earn to live in Billings than in Chicago?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Billings versus $50,000 in Chicago.
Which has lower taxes, Billings or Chicago?: Billings is taxed under Montana's rules (a top state income tax rate of 5.65% and no state sales tax); Chicago under Illinois's (a top state income tax rate of 4.95% and a 6.25% state sales tax).

Sources: US Census Bureau, ACS 5-Year (rent, income, home value, demographics); NOAA Climate Normals 1981–2010 (climate); EIA weekly retail (gas); Tax Foundation 2026 (state taxes).