Is it cheaper to live in Chicago or Milwaukee?

Milwaukee, WI is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 28% below Chicago, IL's $1,440, mainly because of rent.

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

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $50,000 a year in Chicago versus $34,000 in Milwaukee.

Which has lower taxes, Chicago or Milwaukee?

Chicago is taxed under Illinois's rules (a top state income tax rate of 4.95% and a 6.25% state sales tax); Milwaukee under Wisconsin's (a top state income tax rate of 7.65% and a 5% state sales tax).

Chicago vs Milwaukee Cost of Living 2026

Chicago

Illinois

$1,440/mo est.

Milwaukee

Wisconsin

$1,030/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,440 in Chicago, IL versus $1,030 in Milwaukee, WI. Overall, Milwaukee, WI is roughly 28% cheaper to live in day-to-day than Chicago, IL, driven mainly by rent.

Median household income is $75,134 in Chicago, IL and $51,888 in Milwaukee, WI — about 31% higher in Chicago, IL. Illinois has a top state income tax rate of 4.95% and a 6.25% state sales tax; Wisconsin has a top state income tax rate of 7.65% and a 5% state sales tax.

Chicago, IL

Milwaukee, WI

Rent

Studio

$1,186

$841

+29% in Chicago, IL

1 Bedroom

$1,258

$849

+33% in Chicago, IL

2 Bedroom

$1,406

$1,031

+27% in Chicago, IL

3 Bedroom

$1,554

$1,193

+23% in Chicago, IL

Buying a Home

Median Home Value

$315,200

$172,000

+45% in Chicago, IL

Income

Median Household Income

$75,134

$51,888

+31% in Chicago, IL

Metro Median Wage (annual)

$54,720

$51,160

+7% in Chicago, IL

People & Lifestyle

Median Age

35.7 yr

32.2 yr

+3.5 yr in Chicago, IL

Homeownership

45.5%

41.5%

+4.0 pp in Chicago, IL

Bachelor's+ (25+)

43.3%

26.6%

+16.7 pp in Chicago, IL

Avg Commute

33.5 min

22.4 min

+11.1 min in Chicago, IL

Crime (per 100k/yr)

Violent Crime

539.8

1,452.3

+169% in Milwaukee, WI

Property Crime

3,489.9

2,772.2

+21% 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

52.7°F

47.9°F

+4.8°F in Chicago, IL

Annual Precipitation

38.0 in

34.8 in

+3.2 in in Chicago, IL

Gas

Regular Gasoline

$4.82/gal

$4.35/gal

+10% in Chicago, IL

Area: Chicago vs Midwest (PADD 2).

Public Transit

Base Fare (one-way)

$2.50

$2.25

+10% in Chicago, IL

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

Utilities

Electricity (¢/kWh)

18.9

18.8

+0% in Chicago, IL

Natural Gas ($/MCF)

$12.10

$9.48

+22% in Chicago, IL

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

Groceries

Milk (gal)

$4.14

about equal

Bread (lb)

$1.79

about equal

Eggs (doz)

$3.63

about equal

Ground Beef (lb)

$6.97

about equal

Chicken (lb)

$2.15

about equal

Bananas (lb)

$0.63

about equal

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

State Taxes

Sales Tax (IL / WI)

6.25%

+1.3 pp in IL

Income Tax (top rate)

4.95%

7.65%

+2.7 pp in WI

Chicago vs Milwaukee — FAQ

Is it cheaper to live in Chicago or Milwaukee?: Milwaukee, WI is cheaper. Its monthly baseline of $1,030 (1BR rent + utilities) runs about 28% below Chicago, IL's $1,440, mainly because of rent.
How much more do you need to earn to live in Chicago than in Milwaukee?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $50,000 a year in Chicago versus $34,000 in Milwaukee.
Which has lower taxes, Chicago or Milwaukee?: Chicago is taxed under Illinois's rules (a top state income tax rate of 4.95% and a 6.25% state sales tax); Milwaukee under Wisconsin's (a top state income tax rate of 7.65% and a 5% 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).