Nebraska, known as the "Cornhusker State", is an affordable Great Plains state with stable housing and moderate costs. Here is everything you need to know about the cost of living in the Cornhusker State — from housing and groceries to taxes, utilities, childcare, and what salary you actually need.
Here is what a typical month costs in Nebraska for a single person earning the median income of $66,500/year:
Each category shows how Nebraska compares to the national average. Green means cheaper, yellow means similar, orange/red means more expensive.
Adjust your salary to see a detailed monthly budget breakdown for living in Nebraska.
Select a state to see how much salary you would need there to maintain the same lifestyle you have in Nebraska.
The most popular cities for residents and newcomers in Nebraska:
Housing is the single biggest expense in Nebraska, as it is everywhere. The median home price in Nebraska is $245,000, and the median rent for a one-bedroom apartment is $900/month. With a housing cost index of 76, Nebraska housing is 24% cheaper than the national average.
Housing in Nebraska is a genuine advantage. The low cost of housing frees up income for savings, investments, and discretionary spending that residents of expensive states simply cannot afford.
Nebraska has a state income tax rate of 5.84%. On the median household income of $66,500, you will pay approximately $3,884/year in state income tax ($324/month). This is a moderate rate that most households can absorb.
The average single person in Nebraska spends approximately $385/month on groceries. A family of four can expect to spend $963-$1,155/month. The food cost index of 95 means groceries in Nebraska are 5% below the national average.
Gas prices in Nebraska average $3.05/gallon. For the average commuter driving 15,000 miles/year at 25 MPG, that is roughly $1,830/year in fuel costs.
Nebraska healthcare costs are 1% below the national average (index: 99). The average annual healthcare cost per person in Nebraska is approximately $5,940 including premiums and out-of-pocket expenses. Employer-sponsored health insurance covers the majority of working adults.
Infant daycare in Nebraska averages $900/month ($10,800/year). This is a substantial but manageable expense for dual-income households. Many families in Nebraska find that one parent staying home is more cost-effective when two or more children need daycare.
Nebraska offers a solid balance of cost, opportunity, and quality of life. With costs near the national average, you get access to growing job markets in Omaha and Lincoln, and a cost of living that leaves room for saving and investing.
See all Nebraska financial calculators:
Nebraska (NE) has a cost of living index of 91, meaning it is 9% cheaper than the US average. Housing is the biggest factor with an index of 76. The median rent is $900/month and the median home price is $245,000. Nebraska ranks #14 out of 50 states for affordability (1 = cheapest).
For a single person, a comfortable salary in Nebraska is approximately $86,450/year ($7,204/month). For a family of four, aim for $146,300/year. This covers housing at 30% of income, groceries ($385/mo), transportation, healthcare, and a 15% savings rate. The median household income in Nebraska is $66,500.
The median rent for a one-bedroom apartment in Nebraska is approximately $900/month. A two-bedroom averages $1,215/month. Rent varies significantly by city: Omaha, Lincoln, Bellevue are the most popular metro areas. Housing in Nebraska is affordable compared to the national average.
Nebraska is an excellent choice for affordability. With a cost of living 9% below the national average and median rent of just $900/month, your money goes significantly further here. Top cities include Omaha, Lincoln, Bellevue.
The most affordable areas in Nebraska are typically smaller cities and rural areas away from the major metros. Within Nebraska, costs can vary 20-40% between the most expensive city (Omaha metro) and more affordable areas. Grand Island and Kearney tend to offer lower costs while still providing good amenities and job opportunities.
The average monthly grocery bill in Nebraska for a single person is approximately $385 ($963 for a family of four). Nebraska food costs are 5% below the national average. Shopping at Walmart, Aldi, and local discount stores can reduce this by 15-25%.
The average monthly electric bill in Nebraska is approximately $120. Total utilities (electric, gas, water, internet) average $264/month. Nebraska utilities are 2% below the national average. Utility costs are manageable for most households.
Nebraska has a state income tax rate of 5.84%. On the median household income of $66,500, that is approximately $3,884/year in state income tax. This is a moderate rate near the national average.