Is it cheaper to live in Chicago or Sacramento?

Chicago, IL is cheaper. Its monthly baseline of $1,440 (1BR rent + utilities) runs about 17% below Sacramento, CA's $1,740, mainly because of rent.

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

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $50,000 a year in Chicago versus $57,000 in Sacramento.

Which has lower taxes, Chicago or Sacramento?

Chicago is taxed under Illinois's rules (a top state income tax rate of 4.95% and a 6.25% state sales tax); Sacramento under California's (a top state income tax rate of 13.30% and a 7.25% state sales tax).

Chicago vs Sacramento Cost of Living 2026

Chicago

Illinois

$1,440/mo est.

Sacramento

California

$1,740/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 $1,740 in Sacramento, CA. Overall, Chicago, IL is roughly 17% cheaper to live in day-to-day than Sacramento, CA, driven mainly by rent.

Median household income is $75,134 in Chicago, IL and $83,753 in Sacramento, CA — about 10% higher in Sacramento, CA. Illinois has a top state income tax rate of 4.95% and a 6.25% state sales tax; California has a top state income tax rate of 13.30% and a 7.25% state sales tax.

Chicago, IL

Sacramento, CA

Rent

Studio

$1,186

$1,259

+6% in Sacramento, CA

1 Bedroom

$1,258

$1,418

+13% in Sacramento, CA

2 Bedroom

$1,406

$1,742

+24% in Sacramento, CA

3 Bedroom

$1,554

$1,973

+27% in Sacramento, CA

Buying a Home

Median Home Value

$315,200

$484,600

+54% in Sacramento, CA

Income

Median Household Income

$75,134

$83,753

+11% in Sacramento, CA

Metro Median Wage (annual)

$54,720

$59,750

+9% in Sacramento, CA

People & Lifestyle

Median Age

35.7 yr

about equal

Homeownership

45.5%

51.5%

+6.0 pp in Sacramento, CA

Bachelor's+ (25+)

43.3%

36.4%

+6.9 pp in Chicago, IL

Avg Commute

33.5 min

25.6 min

+7.9 min in Chicago, IL

Crime (per 100k/yr)

Violent Crime

539.8

757.2

+40% in Sacramento, CA

Property Crime

3,489.9

2,615.3

+25% 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

61.0°F

+8.3°F in Sacramento, CA

Annual Precipitation

38.0 in

18.5 in

+19.4 in in Chicago, IL

Gas

Regular Gasoline

$4.82/gal

$5.91/gal

+23% in Sacramento, CA

Area: Chicago vs California.

Public Transit

Base Fare (one-way)

$2.50

about equal

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

Utilities

Electricity (¢/kWh)

18.9

33.4

+77% in Sacramento, CA

Natural Gas ($/MCF)

$12.10

$20.72

+71% in Sacramento, CA

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

Groceries

Milk (gal)

$4.14

$4.37

+6% in Sacramento, CA

Bread (lb)

$1.79

$2.10

+17% in Sacramento, CA

Eggs (doz)

$3.63

$2.25

+38% in Chicago, IL

Ground Beef (lb)

$6.97

$7.23

+4% in Sacramento, CA

Chicken (lb)

$2.15

$2.14

+1% in Chicago, IL

Bananas (lb)

$0.63

$0.74

+18% in Sacramento, CA

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

State Taxes

Sales Tax (IL / CA)

6.25%

7.25%

+1.0 pp in CA

Income Tax (top rate)

4.95%

13.30%

+8.4 pp in CA

Chicago vs Sacramento — FAQ

Is it cheaper to live in Chicago or Sacramento?: Chicago, IL is cheaper. Its monthly baseline of $1,440 (1BR rent + utilities) runs about 17% below Sacramento, CA's $1,740, mainly because of rent.
How much more do you need to earn to live in Chicago than in Sacramento?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $50,000 a year in Chicago versus $57,000 in Sacramento.
Which has lower taxes, Chicago or Sacramento?: Chicago is taxed under Illinois's rules (a top state income tax rate of 4.95% and a 6.25% state sales tax); Sacramento under California's (a top state income tax rate of 13.30% and a 7.25% 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).