Cost of living in Indianapolis

Young professionals are flocking to Indiana’s cosmopolitan capital, and for good reason. The cost of living in Indianapolis is remarkably low compared to nearby cities such as New York, and it offers an exceptional quality of life.

You’ll be happy to know that accommodation, in particular, can be rented for a relatively low price. In fact, most everyday expenses are cheaper in Indianapolis than in other big US cities, while salaries are only fractionally lower than the national average.

Below, we list some costs you will have to consider before negotiating your salary and moving to the Circle City.

Cost of accommodation in Indianapolis

The cost of accommodation in Indianapolis is one of the most attractive aspects of living here. The average housing expenses in the city are over 20 percent lower than the national average, making housing in Indianapolis highly affordable.

Most newcomers relocating to Indy from other parts of the country will opt to rent rather than buy, at least at first. The downtown area has a booming accommodation market where young professionals and new families rent furnished or unfurnished small to large luxury apartments, duplexes, condos, and lofts. Neighbourhoods surrounding downtown offer a variety of reasonable single-family bungalows and houses, as well as bigger properties and mansions, with a vast price range to suit most preferences.

In addition to rental costs, you’ll also have to pay for utilities such as electricity, water, and internet. These are priced higher than the national average, so be sure to adjust your monthly budget accordingly. To save on utility costs, consider energy-efficient appliances, sealing windows and doors to prevent drafts, and look into budget billing plans offered by local utility companies.

Best Areas and Suburbs in Indianapolis
Accommodation and Utilities in Indianapolis

Cost of transport in Indianapolis

Getting around in Indianapolis is easy. The public transport system is not only efficient but also quite affordable. Buses are most popular with commuters. The introduction of electric buses along the Purple Line BRT route has improved both efficiency and sustainability, helping to reduce emissions and noise pollution in the city.

Short and long-term bus passes, or the tap and go MyKey fare card, are easily reloadable and among the most cost-effective and convenient options, with daily fare caps and an easy-to-use app for managing fare payments.

You may feel like you’ll be more comfortable exploring the city with your own set of wheels, particularly if you have long-distance commutes or are eager to venture further afield. Gas/petrol isn’t expensive, especially compared to bigger East Coast cities, and second-hand vehicles can be acquired cheaply. One of the biggest daily and monthly costs associated with owning a vehicle in Indianapolis is parking, so consider this when purchasing a car.

Getting Around in Indianapolis

Cost of groceries in Indianapolis

The cost of groceries in Indianapolis is one of the reasons you’ll find the cost of living here so reasonable. If you purchase local brands at popular shops such as Kroger, Walmart, or Meijer, you can expect to spend significantly less than in other major US cities.

Although there are indications that costs are correcting, grocery prices have experienced inflation recently. To manage your grocery budget effectively, use loyalty programmes and coupons available through shop apps. Buying in bulk and shopping at farmers’ markets for seasonal produce can also help keep costs down.

If you’re in the market for premium and speciality products, you’ll enjoy shopping at The Fresh Market or Whole Foods. These shops, and some smaller local alternatives, offer organic produce and speciality items from around the world at premium prices.

If you’re after ethnic food shops, the city offers plenty of options. Areas like Broad Ripple, Fountain Square, and the east side of Indianapolis are well known for their diverse international grocery shops, where you can find anything from Asian to Middle Eastern and Hispanic ingredients.

Cost of entertainment and eating out in Indianapolis

If you like to treat yourself to the odd night out, you’ll find that Indianapolis’s entertainment and dining options cater to most tastes with fine eateries, fun bars, and ritzy clubs. The cost of a night out will largely depend on your preference, but budget-conscious newcomers can still enjoy the city.

Thanks to Devour Indy, a bi-annual fine dining event, January and August are great for learning about the city’s culinary offerings, with hundreds of restaurants offering special three-course menus at discounted prices. May is another lively time in the city, as it hosts the iconic Indy 500 motor race, during which you can find special rates and promotions all across town. Cultural events like the Indy Jazz Fest, the Indianapolis Pride Festival, and the Indiana State Fair are great ways to experience local culture without a hefty price tag.

Many of the city’s attractions are free of charge. Museums, parks, canal walks, monuments, memorials, galleries, and more can be visited for little or no cost, making it possible to enjoy Indianapolis without stretching your budget too far.

Lifestyle, Shopping, Attractions and Events in Indianapolis

Cost of education in Indianapolis

If you’re relocating from other cities, you’ll want to factor in the cost of education in Indianapolis. Take some time to research the schools in Indianapolis to ensure your children continue getting the standard of education they’re used to, and at a comparable price.

Indianapolis has a wide array of excellent public schools, which come at little to no cost – including several charter and magnet schools – that may meet your family’s needs. Additionally, the city boasts many private and international schools that provide exceptional education, strong sports programmes, and a wide range of extracurricular activities that public schools might not. That said, private schooling typically comes with high tuition fees.

Education and Schools in Indianapolis

Cost of healthcare in Indianapolis

The cost of healthcare in Indianapolis is an important factor to consider, especially if you’re moving to the city for work or with your family. Indianapolis is a healthcare hub in the Midwest, with a wide range of superb hospitals. Indianapolis is also home to the state’s only medical school, contributing to the quality of healthcare available here. The city is divided into four rough quadrants, each dominated by one of the major healthcare systems, the largest being Clarian, which has three hospitals.

Compared to other Midwest cities like Chicago or Columbus, healthcare affordability in Indianapolis is markedly better. Although cheaper than the American average, Indiana’s healthcare is still relatively pricey on an international scale, and you should carefully consider health insurance plans before you move.

Insurance schemes vary widely, so research your options. Negotiate with prospective employers to include medical insurance or at least a contribution towards it in your employment contract, as this can lead to considerable monthly savings. Healthcare plans in Indiana include various marketplace plans, employer-sponsored insurance, and expanded Medicaid for those who qualify.

Healthcare in Indianapolis
Understanding Health Insurance in the USA