Nerdwallet Calculator Cost of Living

The cost of living calculator helps you compare expenses across different cities using NerdWallet's cost of living index. Whether you're relocating, budgeting, or planning a move, this tool provides a clear picture of how your salary translates to your lifestyle in various locations.

What is Cost of Living?

The cost of living refers to the price of goods and services in a specific location. It includes expenses like housing, transportation, food, and healthcare. The cost of living index (COLI) is a standardized measure that allows you to compare salaries and expenses across different cities.

NerdWallet's cost of living index is based on a national average of 100. A city with a COLI of 120 costs 20% more than the national average, while a city with a COLI of 80 costs 20% less.

How to Use This Calculator

Enter your current salary in the "Current Salary" field.
Select your current city from the dropdown menu.
Select your target city from the dropdown menu.
Click "Calculate" to see your adjusted salary based on the cost of living difference.

Cost of Living Formula

The adjusted salary is calculated using the following formula:

Adjusted Salary = (Current Salary × Target COLI) ÷ Current COLI

Where:

Current Salary = Your current annual salary
Target COLI = Cost of Living Index for your target city
Current COLI = Cost of Living Index for your current city

Example Calculations

Let's say you earn $60,000 per year in a city with a COLI of 100 (national average). If you move to a city with a COLI of 120, your adjusted salary would be:

Adjusted Salary = ($60,000 × 120) ÷ 100 = $72,000

This means your $60,000 salary would need to be $72,000 to maintain the same standard of living in the more expensive city.

FAQ

What is the cost of living index?

The cost of living index is a standardized measure that compares the relative cost of living between different cities. A COLI of 100 represents the national average, while higher numbers indicate more expensive cities and lower numbers indicate less expensive cities.

How accurate is this calculator?

This calculator provides an estimate based on NerdWallet's cost of living data. For precise financial planning, consult with a local financial advisor or use official government resources.

Can I use this for international comparisons?

This calculator is designed for domestic comparisons within the United States. For international cost of living comparisons, use specialized international cost of living calculators.