What’s the cost of living in Missouri?

1 min readLast updated May 25, 2023by Charlie Barton

When considering a move to a new state, understanding the cost of living is vital for effective budgeting and financial planning. If Missouri is at the top of your list, here are some current statistics related to the cost of living in the state that could help you make up your mind.

The average cost of living in Missouri

Missouri is home to over 6.1 million people. The state has the lowest cost of living in the US.

According to data gathered in 2022 from MERIC, the Mississippi Economic Research and Information Center, the state ranks 6th in a list of states with the lowest to the highest cost of living.

Housing costs in Missouri

As of March 2023, the average home value in Missouri is estimated to be around $227,347, according to the Zillow Home Value Index as of March 2023.

It’s important to note that housing prices can significantly differ across various regions within the state.

Typical Home Prices in Missouri (Zillow Data):

  1. Columbia - $281,112

  2. Kansas City - $228,545

  3. Springfield - $222,615

  4. St. Louis - $163,503

  5. Independence - $190,815

The monthly rental price ranges across the state for those considering renting in Missouri. For example, the average apartment rent in Saint Louis is $1,151.

Utility costs in Missouri

Utility costs play a significant role in Missouri's overall cost of living. According to Forbes, the average monthly cost is around $447.

Average Monthly Utility Costs in Missouri:

  1. Phone bill - $114

  2. Natural gas - $108

  3. Energy bill - $118.55

  4. Streaming - $47.50

  5. Monthly water bill - $39

  6. Internet - $20

Grocery and food costs in Missouri

When it comes to groceries and food costs, Missouri generally aligns with prices found elsewhere in the United States.  

According to Zippia, those in Kansas City pay over $312 on average each month. 

According to 2021 data from the Bureau of Labor Statistics, the average spending on food at home is $5,259 annually, or about $438 per month for US households.  

Transportation costs in Missouri

Transportation costs, including gas prices and vehicle maintenance, impact Missouri's overall cost of living.

According to MIT, a single adult with no children can expect to pay upwards of $5,300.

Gas prices in Missouri are typically in and around the national average. At the time of writing, Missouri was below the national average. These prices fluctuate over time.  

It is also worth noting that prices can vary across different regions within the state. 

Healthcare costs in Missouri

Understanding healthcare expenses is crucial when considering the cost of living.

The specific healthcare costs in Missouri can vary depending on factors such as insurance coverage and individual circumstances. Therefore, it is advisable to research and consult with healthcare providers and insurance companies to obtain accurate cost estimates.

Annual Health Expenditure in Missouri Estimated by MIT:

  1. One adult, no children - $3,225

  2. One adult, one child - $9,700

  3. One adult, two children - $9,710

  4. Two adults (one working), no children - $6,531

  5. Two adults (one working), one child - $9,710

  6. Two adults (one working), two children - $9,635

  7. Two adults (two working), no children - $6,531

  8. Two adults (two working), one child - $9,710

  9. Two adults (two working), two children - $9,635

Childcare costs in Missouri

Families in Missouri currently pay around $7,044 per year for childcare for one child. This figure doubles for two children.  

However, it's important to note that this figure can vary across the state. 

Taxation in Missouri

Missouri’s state income tax rate works on a graduated system, ranging between 0% and 5.4%.

Taxes in Missouri compared to neighboring states:

  1. Iowa - Income Tax Rate (Highest Bracket): 8.53%

  2. Arkansas - Income Tax Rate (Highest Bracket): 6.9%

  3. Kansas - Income Tax Rate (Highest Bracket): 5.7%

  4. Missouri - Income Tax Rate (Highest Bracket): 5.4%

  5. Illinois - Income Tax Rate (Highest Bracket): 4.95%

Please note that these rates represent each state's highest income tax bracket rates and may vary based on income level and other factors.

The sales tax rate in Missouri is 4.225%. However, additional local sales taxes may apply, varying by city and county. It's important to note that some local jurisdictions may have higher or lower sales tax rates than the state rate.

The bottom line

The amount of money needed to live comfortably in Missouri can vary depending on location, lifestyle, family size, and personal preferences. However, as the most expensive state in the US, you may need more than you first think.

It's essential to consider these factors, along with personal circumstances and preferences, when evaluating the cost of living in Missouri. In addition, consulting with a financial advisor can provide valuable insights and assistance in managing expenses and financial planning.

Whether you’re retirement planning or considering relocating to chase a new career, Unbiased can assist you with your move's financial ins and outs. Find the right advisor for your needs today.

Writer

Charlie Barton

Charlie Barton is a writer at Unbiased. He has been writing about personal finance and investing since 2017, with extensive knowledge of platforms and products. Charlie has a first-class degree from the London School of Economics.