Rhode Island, known as the "Ocean State", is a moderately expensive New England state with above-average housing and utilities. Here is everything you need to know about the cost of living in the Ocean State — from housing and groceries to taxes, utilities, childcare, and what salary you actually need.
Here is what a typical month costs in Rhode Island for a single person earning the median income of $71,200/year:
Each category shows how Rhode Island 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 Rhode Island.
Select a state to see how much salary you would need there to maintain the same lifestyle you have in Rhode Island.
The most popular cities for residents and newcomers in Rhode Island:
Housing is the single biggest expense in Rhode Island, as it is everywhere. The median home price in Rhode Island is $425,000, and the median rent for a one-bedroom apartment is $1,200/month. With a housing cost index of 112, Rhode Island housing is 12% more expensive than the national average.
Housing costs in Rhode Island are above average but manageable for households earning the median income. The 30% rule (spend no more than 30% of gross income on housing) is achievable in most areas.
Rhode Island has a state income tax rate of 5.99%. On the median household income of $71,200, you will pay approximately $4,265/year in state income tax ($355/month). This is a moderate rate that most households can absorb.
The average single person in Rhode Island spends approximately $430/month on groceries. A family of four can expect to spend $1,075-$1,290/month. The food cost index of 103 means groceries in Rhode Island are 3% above the national average.
Gas prices in Rhode Island average $3.45/gallon. For the average commuter driving 15,000 miles/year at 25 MPG, that is roughly $2,070/year in fuel costs.
Rhode Island healthcare costs are 13% above the national average (index: 113). The average annual healthcare cost per person in Rhode Island is approximately $6,780 including premiums and out-of-pocket expenses. Employer-sponsored health insurance covers the majority of working adults.
Infant daycare in Rhode Island averages $1,150/month ($13,800/year). This is a significant expense that rivals rent in many areas. Many families in Rhode Island find that one parent staying home is more cost-effective when two or more children need daycare.
Rhode Island is a higher-cost state, but the higher expenses often come with higher incomes, better infrastructure, and more job opportunities. The median household income of $71,200 helps offset the 9% premium on living costs.
See all Rhode Island financial calculators:
Rhode Island (RI) has a cost of living index of 109, meaning it is 9% more expensive than the US average. Housing is the biggest factor with an index of 112. The median rent is $1,200/month and the median home price is $425,000. Rhode Island ranks #38 out of 50 states for affordability (1 = cheapest).
For a single person, a comfortable salary in Rhode Island is approximately $92,560/year ($7,713/month). For a family of four, aim for $156,640/year. This covers housing at 30% of income, groceries ($430/mo), transportation, healthcare, and a 15% savings rate. The median household income in Rhode Island is $71,200.
The median rent for a one-bedroom apartment in Rhode Island is approximately $1,200/month. A two-bedroom averages $1,620/month. Rent varies significantly by city: Providence, Cranston, Warwick are the most popular metro areas. Housing costs in Rhode Island are above average — budget carefully.
Rhode Island is a more expensive state (COL index 109), but offers strong job markets and high median incomes ($71,200). Popular areas include Providence, Cranston, Warwick.
The most affordable areas in Rhode Island are typically smaller cities and rural areas away from the major metros. Within Rhode Island, costs can vary 20-40% between the most expensive city (Providence metro) and more affordable areas. Pawtucket and Newport tend to offer lower costs while still providing good amenities and job opportunities.
The average monthly grocery bill in Rhode Island for a single person is approximately $430 ($1,075 for a family of four). Rhode Island food costs are 3% above the national average. Shopping at Walmart, Aldi, and local discount stores can reduce this by 15-25%.
The average monthly electric bill in Rhode Island is approximately $165. Total utilities (electric, gas, water, internet) average $363/month. Rhode Island utilities are 17% above the national average. Utility costs are manageable for most households.
Rhode Island has a state income tax rate of 5.99%. On the median household income of $71,200, that is approximately $4,265/year in state income tax. This is a moderate rate near the national average.