States Where Being Middle Class Got the Most Expensive Since 2020
It is more expensive to be middle class now in every U.S. state than it was in 2020. That said, these costs have increased by a shocking amount in a handful of states. A new MoneyLion study reveals there are seven states, including California, Hawaii, Massachusetts, New Hampshire, New Jersey, Rhode Island and Washington, where the annual cost of living has dramatically skyrocketed by more than $25,000 from 2020 to 2026.
To find the states where the cost of living has increased the most, we analyzed key factors such as median household incomes and each state’s cost of living indexes for 2020 and 2026. These cost-of-living indexes were used to calculate the average expenditure costs for households in 2020 and 2024.
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The expenditure costs plus average mortgage were calculated to find the total cost of living in each state. We doubled the total cost of living to determine each state’s comfortable cost of living and calculated the change in costs using each state’s average mortgage, expenditures and cost of living.
Key Findings
It costs $30,000+ more to live in California, Hawaii, Massachusetts and New Jersey than it did in 2020. Here’s how much the annual cost of living has gone up, in order of most to least: Hawaii ($38,991), California ($34,668), Massachusetts ($33,479) and New Jersey ($30,169).
The cost of living in nine states has gone up by less than $13,000 from 2020 to 2026. Middle class changed the least in Alabama, Arkansas, Iowa, Kansas, Louisiana, Mississippi, North Dakota, Oklahoma and West Virginia compared to the majority of America.
There is only one U.S. state where the annual cost of living hasn’t gone up by more than $10,000 since 2020. Louisiana’s annual cost of living has increased by just $9,137 since 2020.
As the cost of living goes up, median household incomes have increased in all 50 states. Our data indicates the middle class reached six-figure income earnings in four states (Hawaii, Maryland, Massachusetts and New Jersey) as of 2024. By comparison, there were no states in 2020 where the middle-class median household income was $100,000 or more.
Ranked in order of states with the largest to smallest cost of living increases, here’s where being middle class has become the most expensive.
1. Hawaii
Median household income (2024): $100,389
Median household income (2020): $83,173
Change in average mortgage: $2,962
Change in monthly cost of living: $3,249
Change in annual cost of living: $38,991
2. California
Median household income (2024): $99,122
Median household income (2020): $78,672
Change in average mortgage: $2,445
Change in monthly cost of living: $2,889
Change in annual cost of living: $34,668
3. Massachusetts
Median household income (2024): $103,960
Median household income (2020): $84,385
Change in average mortgage: $2,275
Change in monthly cost of living: $2,790
Change in annual cost of living: $33,479
4. New Jersey
Median household income (2024): $103,556
Median household income (2020): $85,245
Change in average mortgage: $2,049
Change in monthly cost of living: $2,514
Change in annual cost of living: $30,169
5. New Hampshire
Median household income (2024): $99,031
Median household income (2020): $77,923
Change in average mortgage: $1,924
Change in monthly cost of living: $2,317
Change in annual cost of living: $27,801
6. Washington
Median household income (2024): $98,141
Median household income (2020): $77,006
Change in average mortgage: $1,901
Change in monthly cost of living: $2,298
Change in annual cost of living: $27,571
7. Rhode Island
Median household income (2024): $87,796
Median household income (2020): $70,305
Change in average mortgage: $1,810
Change in monthly cost of living: $2,108
Change in annual cost of living: $25,296
8. Montana
Median household income (2024): $72,509
Median household income (2020): $56,539
Change in average mortgage: $1,669
Change in monthly cost of living: $2,067
Change in annual cost of living: $24,801
9. New York
Median household income (2024): $85,974
Median household income (2020): $71,117
Change in average mortgage: $1,723
Change in monthly cost of living: $2,055
Change in annual cost of living: $24,655
10. Connecticut
Median household income (2024): $95,781
Median household income (2020): $79,855
Change in average mortgage: $1,704
Change in monthly cost of living: $2,021
Change in annual cost of living: $24,251
11. Utah
Median household income (2024): $95,166
Median household income (2020): $74,197
Change in average mortgage: $1,777
Change in monthly cost of living: $2,019
Change in annual cost of living: $24,231
12. Idaho
Median household income (2024): $77,800
Median household income (2020): $58,915
Change in average mortgage: $1,577
Change in monthly cost of living: $1,935
Change in annual cost of living: $23,225
13. Maine
Median household income (2024): $74,733
Median household income (2020): $59,489
Change in average mortgage: $1,454
Change in monthly cost of living: $1,895
Change in annual cost of living: $22,741
14. Colorado
Median household income (2024): $95,470
Median household income (2020): $75,231
Change in average mortgage: $1,578
Change in monthly cost of living: $1,851
Change in annual cost of living: $22,213
15. Oregon
Median household income (2024): $83,011
Median household income (2020): $65,667
Change in average mortgage: $1,485
Change in monthly cost of living: $1,787
Change in annual cost of living: $21,447
16. Maryland
Median household income (2024): $103,678
Median household income (2020): $87,063
Change in average mortgage: $1,308
Change in monthly cost of living: $1,762
Change in annual cost of living: $21,144
17. Nevada
Median household income (2024): $78,260
Median household income (2020): $62,043
Change in average mortgage: $1,441
Change in monthly cost of living: $1,740
Change in annual cost of living: $20,875
18. Virginia
Median household income (2024): $93,170
Median household income (2020): $76,398
Change in average mortgage: $1,351
Change in monthly cost of living: $1,707
Change in annual cost of living: $20,482
19. Arizona
Median household income (2024): $79,964
Median household income (2020): $61,529
Change in average mortgage: $1,353
Change in monthly cost of living: $1,693
Change in annual cost of living: $20,312
20. Florida
Median household income (2024): $74,568
Median household income (2020): $57,703
Change in average mortgage: $1,279
Change in monthly cost of living: $1,600
Change in annual cost of living: $19,194
21. Vermont
Median household income (2024): $81,203
Median household income (2020): $63,477
Change in average mortgage: $1,272
Change in monthly cost of living: $1,556
Change in annual cost of living: $18,671
22. Delaware
Median household income (2024): $84,954
Median household income (2020): $69,110
Change in average mortgage: $1,298
Change in monthly cost of living: $1,550
Change in annual cost of living: $18,598
23. Alaska
Median household income (2024): $92,788
Median household income (2020): $77,790
Change in average mortgage: $1,157
Change in monthly cost of living: $1,469
Change in annual cost of living: $17,634
24. Wyoming
Median household income (2024): $76,176
Median household income (2020): $65,304
Change in average mortgage: $1,142
Change in monthly cost of living: $1,467
Change in annual cost of living: $17,600
25. Georgia
Median household income (2024): $77,353
Median household income (2020): $61,224
Change in average mortgage: $1,110
Change in monthly cost of living: $1,463
Change in annual cost of living: $17,551
26. North Carolina
Median household income (2024): $72,388
Median household income (2020): $56,642
Change in average mortgage: $1,127
Change in monthly cost of living: $1,429
Change in annual cost of living: $17,148
27. South Dakota
Median household income (2024): $75,081
Median household income (2020): $59,896
Change in average mortgage: $1,046
Change in monthly cost of living: $1,423
Change in annual cost of living: $17,080
28. Wisconsin
Median household income (2024): $77,485
Median household income (2020): $63,293
Change in average mortgage: $1,154
Change in monthly cost of living: $1,417
Change in annual cost of living: $17,004
29. Tennessee
Median household income (2024): $69,595
Median household income (2020): $54,833
Change in average mortgage: $1,116
Change in monthly cost of living: $1,398
Change in annual cost of living: $16,774
30. Minnesota
Median household income (2024): $89,062
Median household income (2020): $73,382
Change in average mortgage: $1,066
Change in monthly cost of living: $1,351
Change in annual cost of living: $16,211
31. New Mexico
Median household income (2024): $64,059
Median household income (2020): $51,243
Change in average mortgage: $1,058
Change in monthly cost of living: $1,348
Change in annual cost of living: $16,178
32. Illinois
Median household income (2024): $83,390
Median household income (2020): $68,428
Change in average mortgage: $983
Change in monthly cost of living: $1,332
Change in annual cost of living: $15,987
33. South Carolina
Median household income (2024): $69,324
Median household income (2020): $54,864
Change in average mortgage: $1,012
Change in monthly cost of living: $1,302
Change in annual cost of living: $15,630
34. Texas
Median household income (2024): $78,476
Median household income (2020): $63,826
Change in average mortgage: $893
Change in monthly cost of living: $1,248
Change in annual cost of living: $14,974
35. Nebraska
Median household income (2024): $76,475
Median household income (2020): $63,015
Change in average mortgage: $913
Change in monthly cost of living: $1,242
Change in annual cost of living: $14,898
36. Indiana
Median household income (2024): $71,957
Median household income (2020): $58,235
Change in average mortgage: $873
Change in monthly cost of living: $1,195
Change in annual cost of living: $14,341
37. Michigan
Median household income (2024): $72,875
Median household income (2020): $59,234
Change in average mortgage: $863
Change in monthly cost of living: $1,181
Change in annual cost of living: $14,172
38. Pennsylvania
Median household income (2024): $77,971
Median household income (2020): $63,627
Change in average mortgage: $918
Change in monthly cost of living: $1,177
Change in annual cost of living: $14,122
39. Missouri
Median household income (2024): $70,702
Median household income (2020): $57,290
Change in average mortgage: $897
Change in monthly cost of living: $1,167
Change in annual cost of living: $14,000
40. Ohio
Median household income (2024): $71,389
Median household income (2020): $58,116
Change in average mortgage: $846
Change in monthly cost of living: $1,158
Change in annual cost of living: $13,890
41. Kentucky
Median household income (2024): $63,726
Median household income (2020): $52,238
Change in average mortgage: $753
Change in monthly cost of living: $1,091
Change in annual cost of living: $13,086
42. Kansas
Median household income (2024): $74,275
Median household income (2020): $61,091
Change in average mortgage: $829
Change in monthly cost of living: $1,078
Change in annual cost of living: $12,933
43. North Dakota
Median household income (2024): $76,657
Median household income (2020): $65,315
Change in average mortgage: $832
Change in monthly cost of living: $1,060
Change in annual cost of living: $12,718
44. Arkansas
Median household income (2024): $60,773
Median household income (2020): $49,475
Change in average mortgage: $706
Change in monthly cost of living: $1,042
Change in annual cost of living: $12,508
45. Oklahoma
Median household income (2024): $65,039
Median household income (2020): $53,840
Change in average mortgage: $730
Change in monthly cost of living: $1,017
Change in annual cost of living: $12,209
46. Iowa
Median household income (2024): $75,059
Median household income (2020): $61,836
Change in average mortgage: $768
Change in monthly cost of living: $1,002
Change in annual cost of living: $12,021
47. Alabama
Median household income (2024): $63,999
Median household income (2020): $52,035
Change in average mortgage: $728
Change in monthly cost of living: $975
Change in annual cost of living: $11,701
48. West Virginia
Median household income (2024): $59,608
Median household income (2020): $48,037
Change in average mortgage: $570
Change in monthly cost of living: $934
Change in annual cost of living: $11,214
49. Mississippi
Median household income (2024): $56,447
Median household income (2020): $46,511
Change in average mortgage: $563
Change in monthly cost of living: $868
Change in annual cost of living: $10,415
50. Louisiana
Median household income (2024): $60,756
Median household income (2020): $50,800
Change in average mortgage: $498
Change in monthly cost of living: $761
Change in annual cost of living: $9,137
Methodology: For this study, MoneyLion analyzed each U.S. state to find the states where the cost of living has increased the most. For each state several factors were sourced from the U.S. Census 2024 5-Year ACS including the total population, population ages 65 and over, total households, and median household income. The cost-of-living indexes for 2020 and 2026 were sourced from Missouri Economic and Research Information Center for each state. The average expenditure costs for all households for 2020 and 2024 were sourced from the Bureau of Labor Statistics and using the cost-of-living indexes for each state, the average expenditure costs were calculated. The average single-family home value was sourced from Zillow Home Value Index for June 2020 and June 2026. Assuming a 10% down payment and using the national average 30-year fixed mortgage rate from June 2020 and June 2026, the average mortgage cost for each state was calculated. Using the average mortgage and expenditure costs for each state, the total cost of living for necessities was calculated. Using the 50/30/20 finance rule that states needs should not exceed 50% of household income, the total cost of living was doubled to calculate the comfortable cost of living. The change in costs was calculated for each state using the average mortgage, expenditure and cost of living. The states were sorted to show the largest increase in cost of living first. All data is up to date as of July 31, 2026.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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