Cost of Living in MI Compared to the US

Overall Cost Comparison

• State-wide average costs: Michigan’s cost of living index ranges from 92 to 93, meaning it's approximately 7–8% cheaper than the U.S. average of 100 worldpopulationreview.com+15bestplaces.net+15consumeraffairs.com+15.
• Monthly expenses:
  • For a single person: around $1,900–2,000 (including rent) versus about $2,200 nationally thelivingcost.com+1leverageedu.com+1.
  • For a family of four: roughly $4,200–4,600 vs. a U.S. average closer to $5,200 without rent .

Groceries~10–12% cheaper
Transportation~10–12% cheaper
Childcare~18–22% cheaper
Entertainment~13–15% cheaper
Clothing~12–14% cheaper
Utilities & Bills~11% lower household bills
Housing~17–21% cheaper

Housing & Income Details

• Median home price in Michigan (Detroit‑Warren‑Dearborn) was $240K Q1 2024 vs. U.S. median of $421K consumeraffairs.com+1consumeraffairs.com+1.
• Median rent: ~$1,361/month in 2024 consumeraffairs.com+1leverageedu.com+1.
• Average salary after taxes: ~$4,061/month—enough to cover ~2 months of Michigan living expenses for a single person livingcost.org.
• State median household income: ~$68,600 (U.S. average ~$75,000) .
• Upper-income threshold ($611K) to top 1% is lower than U.S. average ($800K) axios.com

What This Means

1. Michigan offers significantly lower costs for housing, childcare, utilities, groceries, and transportation than the national average.
2. Amenities like clothing, entertainment, and general services are also notably cheaper.
3. Housing affordability stands out—home prices run about 40% below U.S. medians.
4. Income trails the national average, partly offset by lower costs, but still slightly behind.

Bottom Line
Living in Michigan typically costs ~7–10% less across most expense categories compared to the U.S. average. If you're earning around the state median, your purchasing power stretches further—particularly in housing and daily necessities.