Kentucky's cost of living index is 90 — 10.0% below the US average of 100. Compare purchasing power and equivalent salaries across states.
CoL Index
90
US avg = 100
vs. National Avg
-10.0%
Less expensive
Median Income
$52,238
Kentucky median household
Equiv. at US Avg
$58,042
Same purchasing power
| CoL Index | 90 | MIT/MERIC composite index (US avg = 100) |
| vs. National | 10.0% | Below average cost |
| Median Household Income | $52,238 | Kentucky median (2023 ACS) |
| National Purchasing Power | $58,042 | Equivalent $ at US avg CoL |
| Overall Category | Low | Qualitative classification |
| Population | 4,505,836 | 2020 US Census |
With a cost of living index of 90, Kentucky is 10% below the national average. Lower costs in Kentucky mean your dollar goes further. A salary of $52,238 in Kentucky provides the equivalent purchasing power of $58,042 in a state at the national average.
Housing is typically the largest driver of cost of living differences between states.Kentucky's median home price of $210,000 is well below the national median of approximately $310,000. Other factors include state income tax (4.5% top rate in Kentucky), sales tax (6.00% state rate), and local property tax rates (0.86%).
