Boston vs Chicago: cost of living compared

Chicago is 27% cheaper than Boston overall. State income tax tops out around 4.95% in IL vs 5% in MA.

Indexes use a US average of 100: below 100 is cheaper than the national average. Housing and transportation are derived from median home prices, rents and commute times; figures come from BLS, Census ACS, Numbeo and the MIT Living Wage Calculator.

The big picture

Comparing Boston and Chicago reveals a substantial difference in overall cost of living, with Boston being considerably more expensive. This disparity is primarily driven by housing costs, which are dramatically higher in the New England city. While other categories also show Boston as pricier, the gap in housing expenses is the most significant factor influencing the total budget for residents in either metro area.

Housing

Housing in Boston, whether buying or renting, is notably more expensive than in Chicago. Median home prices show a considerable difference, and monthly rents for a one-bedroom unit are also substantially higher. Chicago offers more affordable housing options, including a wider variety of multi-family dwellings and single-family homes, while Boston's housing stock tends to be older and more compact, contributing to its higher costs.

Taxes and everyday costs

Daily expenses beyond housing also vary. State income tax rates are roughly similar in both states. However, Boston residents can expect to pay more for utilities, food, and healthcare compared to Chicago. Transportation costs are quite similar, and average commute times are nearly identical, suggesting that daily travel expenses might not differ significantly between the two cities.

Lifestyle trade-offs

Beyond costs, lifestyle differences are apparent. Boston experiences distinct seasons, including cold, snowy winters and humid summers, with a dense, historic urban core. Chicago also has four distinct seasons, known for its cold winters and hot summers, but offers a sprawling urban landscape with extensive public transit. Boston's compact nature often means more walking, while Chicago's layout encourages broader exploration.

Bottom line

For those considering a move, Chicago generally offers a much more budget-friendly environment than Boston. The most significant savings will be found in housing, which can free up substantial funds for other expenses or savings. While some daily costs like transportation are comparable, the cumulative effect of higher housing, utilities, and other goods in Boston means a household budget will stretch considerably further in Chicago.

MeasureBoston, MAChicago, IL
Overall cost of living (US avg = 100)162118
Housing index19497
Transportation index121121
Food index115105
Healthcare index118108
Utilities index135102
Misc index122108
Median home price$698,000$318,000
Median 1-bedroom rent$2,850/mo$1,650/mo
Average commute32 min34 min

Compare any two metros with the free cost of living tool, or see the true monthly cost of a specific Chicago home with the True Cost Calculator.

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