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Cost of Living: Philadelphia, PA vs Indianapolis, IN

A data-driven comparison of housing, groceries, transportation, taxes, job market and more. See which city gives you more for your money.

15.7% Indianapolis, IN is cheaper overall
27.3% 27.3% cheaper housing
10.4% 10.4% cheaper groceries
Updated April 2026 · Data: Bureau of Labor Statistics, U.S. Census Bureau National average = 100

At a Glance

🏠 Housing 27.3% cheaper
Philadelphia
110
Indianapolis
80
🛒 Groceries 10.4% cheaper
Philadelphia
106
Indianapolis
95
🚗 Transportation 12.5% cheaper
Philadelphia
112
Indianapolis
98
🏥 Healthcare 8.6% cheaper
Philadelphia
105
Indianapolis
96
⚡ Utilities 10.2% cheaper
Philadelphia
108
Indianapolis
97

Detailed Breakdown

Category Philadelphia, PA Indianapolis, IN Difference
Overall Cost Index1089115.7% less
Housing1108027.3% less
Median 1BR Rent$1,500$1,05030.0% less
Median Home Price$280,000$230,00017.9% less
Groceries1069510.4% less
Transportation1129812.5% less
Healthcare105968.6% less
Utilities1089710.2% less

Tax Comparison

Tax Type Philadelphia, PA Indianapolis, IN
State Income Tax3.07%3.05%
State Sales Tax6.00%7.00%
Avg Property Tax Rate1.36%0.75%
Estate / Inheritance TaxYesNone

What You'd Need to Earn

Philadelphia, PA
$62,000
Median household income
Indianapolis, IN
$60,000
Median household income
✅ Good news: Income in Indianapolis outpaces the cost difference, so your purchasing power should hold up.

Salary Equivalent Calculator

Find out what you'd need to earn in Indianapolis to maintain your Philadelphia lifestyle.

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Based on overall cost index: Philadelphia (108) vs Indianapolis (91). This is an estimate for comparison purposes.

Job Market Snapshot

Unemployment Rate
Philadelphia4.9%
Indianapolis3.9%
Job Growth (YoY)
Philadelphia1.8%
Indianapolis2.6%
Top Industries
PhiladelphiaHealthcare, Education, Pharma
IndianapolisPharma, Logistics, Motorsports

Quality of Life

Avg Commute
Philadelphia34 min
Indianapolis24 min
Walk Score
Philadelphia79
Indianapolis31
Air Quality (AQI)
Philadelphia46
Indianapolis42
Avg Temperature
Philadelphia56°F
Indianapolis53°F
Population
Philadelphia1,603,797
Indianapolis887,642

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Planning Your Move?

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🏠 Find ApartmentsBrowse rentals in Philadelphia and Indianapolis → 🚚 Get Moving QuotesCompare prices from top movers → 📈 Check Home ValuesSee real estate trends in both cities → 💼 Search JobsFind open positions in Indianapolis →

Compare Other Cities

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Frequently Asked Questions

Is Philadelphia or Indianapolis cheaper to live in?+
Indianapolis is the more affordable option overall. The biggest difference is in housing costs, where the gap is about 27.3%. Day-to-day expenses like groceries and transportation are closer between the two cities.
How much is rent in Philadelphia vs Indianapolis?+
A typical one-bedroom apartment costs around $1,500/month in Philadelphia and $1,050/month in Indianapolis — a difference of about $450 per month.
Which city has lower taxes, Philadelphia or Indianapolis?+
Pennsylvania has a state income tax of 3.07% and sales tax of 6.00%. Indiana has a state income tax of 3.05% and sales tax of 7.00%. Consider all tax types together when evaluating total tax burden, as states with no income tax often compensate with higher sales or property taxes.
Can I afford to move from Philadelphia to Indianapolis?+
Median household income in Philadelphia is $62,000 compared to $60,000 in Indianapolis. Use the salary calculator above to see what you'd need to earn to maintain your current standard of living.
What about buying a home in Philadelphia vs Indianapolis?+
The median home price in Philadelphia is $280,000 versus $230,000 in Indianapolis — a difference of $50,000. Property tax rates also differ: Pennsylvania averages 1.36% while Indiana averages 0.75%.