Boston vs Minneapolis: cost of living compared

Minneapolis is 33% cheaper than Boston overall. State income tax tops out around 5% in MA vs 7.05% in MN.

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

Moving from Boston to Minneapolis generally means a substantial reduction in overall living expenses. The cost of living in Boston is considerably higher than the national average, while Minneapolis is much closer to it. This significant difference is primarily driven by housing costs, which are dramatically higher in Boston, although other categories also contribute to the gap.

Housing

Housing presents the most striking difference. Both buying a home and renting an apartment are vastly more expensive in Boston compared to Minneapolis. Boston's housing stock often includes older, denser constructions, while Minneapolis offers a broader range of housing types, including more single-family homes. Property taxes and insurance costs will also reflect these price differences, making homeownership in Boston a much larger financial commitment.

Taxes and everyday costs

Daily expenses for transportation, food, healthcare, and utilities are all noticeably higher in Boston. While Minnesota has a somewhat higher state income tax rate, the lower cost of goods and services in Minneapolis means that everyday spending will generally go further. Commute times are also slightly longer on average in Boston, potentially adding to daily travel costs and time spent.

Lifestyle trade-offs

Boston offers a dense, historic urban environment with extensive public transit and a strong pedestrian culture, experiencing four distinct seasons including cold winters. Minneapolis, while also a major city, is known for its extensive park system, a more spread-out feel, and a climate with harsh winters and warm summers. Both cities are cultural hubs, but their urban fabric and pace of life differ, with Boston often feeling more bustling.

Bottom line

For households considering a move between these two metros, the financial impact is substantial. A move from Boston to Minneapolis would likely result in considerable savings across nearly all budget categories, especially housing. Conversely, moving from Minneapolis to Boston would necessitate a much higher income to maintain a similar standard of living, primarily due to the elevated cost of housing and daily necessities.

MeasureBoston, MAMinneapolis, MN
Overall cost of living (US avg = 100)162108
Housing index19494
Transportation index12198
Food index115102
Healthcare index118105
Utilities index135108
Misc index12298
Median home price$698,000$328,000
Median 1-bedroom rent$2,850/mo$1,450/mo
Average commute32 min27 min

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

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