Is it cheaper to live in Little Rock or Minneapolis?

Little Rock, AR is cheaper. Its monthly baseline of $1,080 (1BR rent + utilities) runs about 21% below Minneapolis, MN's $1,370, mainly because of rent.

How much more do you need to earn to live in Little Rock than in Minneapolis?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Little Rock versus $48,000 in Minneapolis.

Which has lower taxes, Little Rock or Minneapolis?

Little Rock is taxed under Arkansas's rules (a top state income tax rate of 3.90% and a 6.5% state sales tax); Minneapolis under Minnesota's (a top state income tax rate of 9.85% and a 6.875% state sales tax).

Little Rock vs Minneapolis Cost of Living 2026

Little Rock

Arkansas

$1,080/mo est.

Minneapolis

Minnesota

$1,370/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,080 in Little Rock, AR versus $1,370 in Minneapolis, MN. Overall, Little Rock, AR is roughly 21% cheaper to live in day-to-day than Minneapolis, MN, driven mainly by rent.

Median household income is $60,583 in Little Rock, AR and $80,269 in Minneapolis, MN — about 25% higher in Minneapolis, MN. Arkansas has a top state income tax rate of 3.90% and a 6.5% state sales tax; Minnesota has a top state income tax rate of 9.85% and a 6.875% state sales tax.

Little Rock, AR

Minneapolis, MN

Rent

Studio

$981

$992

+1% in Minneapolis, MN

1 Bedroom

$904

$1,192

+32% in Minneapolis, MN

2 Bedroom

$1,064

$1,555

+46% in Minneapolis, MN

3 Bedroom

$1,292

$1,761

+36% in Minneapolis, MN

Buying a Home

Median Home Value

$221,200

$345,600

+56% in Minneapolis, MN

Income

Median Household Income

$60,583

$80,269

+32% in Minneapolis, MN

Metro Median Wage (annual)

$45,790

$59,320

+30% in Minneapolis, MN

People & Lifestyle

Median Age

36.4 yr

33.0 yr

+3.4 yr in Little Rock, AR

Homeownership

54.2%

48.0%

+6.2 pp in Little Rock, AR

Bachelor's+ (25+)

44.0%

54.5%

+10.5 pp in Minneapolis, MN

Avg Commute

18.3 min

22.5 min

+4.2 min in Minneapolis, MN

Crime (per 100k/yr)

Violent Crime

1,673

1,168.5

+30% in Little Rock, AR

Property Crime

5,251.5

5,183.1

+1% in Little Rock, AR

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

Climate

Avg Annual Temperature

62.7°F

47.4°F

+15.3°F in Little Rock, AR

Annual Precipitation

49.8 in

32.8 in

+16.9 in in Little Rock, AR

Gas

Regular Gasoline

$3.62/gal

$3.95/gal

+9% in Minneapolis, MN

Area: Gulf Coast (PADD 3) vs Minnesota.

Public Transit

Base Fare (one-way)

—

$2.00

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

Utilities

Electricity (¢/kWh)

14.4

16.9

+18% in Minneapolis, MN

Natural Gas ($/MCF)

$25.93

$14.95

+42% in Little Rock, AR

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

Groceries

Milk (gal)

$4.00

$4.31

+8% in Minneapolis, MN

Bread (lb)

$1.75

$1.66

+5% in Little Rock, AR

Eggs (doz)

$2.21

$3.63

+64% in Minneapolis, MN

Ground Beef (lb)

$6.45

$6.77

+5% in Minneapolis, MN

Chicken (lb)

$1.90

$2.10

+10% in Minneapolis, MN

Bananas (lb)

$0.62

about equal

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

State Taxes

Sales Tax (AR / MN)

6.5%

6.875%

+0.4 pp in MN

Income Tax (top rate)

3.90%

9.85%

+5.9 pp in MN

Little Rock vs Minneapolis — FAQ

Is it cheaper to live in Little Rock or Minneapolis?: Little Rock, AR is cheaper. Its monthly baseline of $1,080 (1BR rent + utilities) runs about 21% below Minneapolis, MN's $1,370, mainly because of rent.
How much more do you need to earn to live in Little Rock than in Minneapolis?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $36,000 a year in Little Rock versus $48,000 in Minneapolis.
Which has lower taxes, Little Rock or Minneapolis?: Little Rock is taxed under Arkansas's rules (a top state income tax rate of 3.90% and a 6.5% state sales tax); Minneapolis under Minnesota's (a top state income tax rate of 9.85% and a 6.875% 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).