Is it cheaper to live in Indianapolis or Tacoma?

Indianapolis, IN is cheaper. Its monthly baseline of $1,150 (1BR rent + utilities) runs about 23% below Tacoma, WA's $1,500, mainly because of rent.

How much more do you need to earn to live in Indianapolis than in Tacoma?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $39,000 a year in Indianapolis versus $53,000 in Tacoma.

Which has lower taxes, Indianapolis or Tacoma?

Indianapolis is taxed under Indiana's rules (a top state income tax rate of 2.95% and a 7% state sales tax); Tacoma under Washington's (no state income tax and a 6.5% state sales tax).

Indianapolis vs Tacoma Cost of Living 2026

Indianapolis

Indiana

$1,150/mo est.

Tacoma

Washington

$1,500/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,150 in Indianapolis, IN versus $1,500 in Tacoma, WA. Overall, Indianapolis, IN is roughly 23% cheaper to live in day-to-day than Tacoma, WA, driven mainly by rent.

Median household income is $62,995 in Indianapolis, IN and $83,857 in Tacoma, WA — about 25% higher in Tacoma, WA. Indiana has a top state income tax rate of 2.95% and a 7% state sales tax; Washington has no state income tax and a 6.5% state sales tax.

Indianapolis, IN

Tacoma, WA

Rent

Studio

$933

$1,178

+26% in Tacoma, WA

1 Bedroom

$963

$1,332

+38% in Tacoma, WA

2 Bedroom

$1,132

$1,693

+50% in Tacoma, WA

3 Bedroom

$1,304

$2,094

+61% in Tacoma, WA

Buying a Home

Median Home Value

$207,000

$454,600

+120% in Tacoma, WA

Income

Median Household Income

$62,995

$83,857

+33% in Tacoma, WA

Metro Median Wage (annual)

$49,340

$72,610

+47% in Tacoma, WA

People & Lifestyle

Median Age

34.1 yr

37.3 yr

+3.2 yr in Tacoma, WA

Homeownership

55.3%

56.5%

+1.2 pp in Tacoma, WA

Bachelor's+ (25+)

34.2%

33.5%

+0.7 pp in Indianapolis, IN

Avg Commute

24.3 min

29.0 min

+4.7 min in Tacoma, WA

Crime (per 100k/yr)

Violent Crime

936.6

1,064.4

+14% in Tacoma, WA

Property Crime

3,351.7

5,695.2

+70% in Tacoma, WA

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

Climate

Avg Annual Temperature

53.2°F

52.1°F

+1.1°F in Indianapolis, IN

Annual Precipitation

42.4 in

43.0 in

+0.6 in in Tacoma, WA

Gas

Regular Gasoline

$3.94/gal

$5.12/gal

+30% in Tacoma, WA

Area: Midwest (PADD 2) vs Washington.

Public Transit

Base Fare (one-way)

$1.75

—

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

Utilities

Electricity (¢/kWh)

18.1

14.9

+18% in Indianapolis, IN

Natural Gas ($/MCF)

$13.70

$20.41

+49% in Tacoma, WA

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

Groceries

Milk (gal)

$4.31

$4.82

+12% in Tacoma, WA

Bread (lb)

$1.66

$2.04

+23% in Tacoma, WA

Eggs (doz)

$3.63

$2.19

+40% in Indianapolis, IN

Ground Beef (lb)

$6.77

$7.36

+9% in Tacoma, WA

Chicken (lb)

$2.10

$2.01

+4% in Indianapolis, IN

Bananas (lb)

$0.62

$0.70

+14% in Tacoma, WA

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

State Taxes

Sales Tax (IN / WA)

6.5%

+0.5 pp in IN

Income Tax (top rate)

2.95%

None

+3.0 pp in IN

Indianapolis vs Tacoma — FAQ

Is it cheaper to live in Indianapolis or Tacoma?: Indianapolis, IN is cheaper. Its monthly baseline of $1,150 (1BR rent + utilities) runs about 23% below Tacoma, WA's $1,500, mainly because of rent.
How much more do you need to earn to live in Indianapolis than in Tacoma?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $39,000 a year in Indianapolis versus $53,000 in Tacoma.
Which has lower taxes, Indianapolis or Tacoma?: Indianapolis is taxed under Indiana's rules (a top state income tax rate of 2.95% and a 7% state sales tax); Tacoma under Washington's (no state income tax and a 6.5% 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).