F
29%
Overall NAT. AVG.
9%
Goods & Services NAT. AVG.
69%
Housing NAT. AVG.
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Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index Chico California National
Cost of living129140100
Goods & Services109111100
Groceries108112100
Health care113109100
Housing169196100
Transportation121126100
Utilities114127100

An Overview of Cost of Living in Chico, CA

Are you thinking about relocating, but curious about the potential cost of living in Chico? Is it more expensive or more affordable than average? Based on the most recent report, the cost of living in Chico stands at 129, making it 29% higher than the national average. The cost of living directly affects the affordability of one's desired lifestyle. Knowing the cost of housing, transportation, groceries and other essentials in the new area allows people to gauge whether they can maintain their preferred standard of living.

The cost of living in Chico is among the highest in the country, making it a very expensive place to live. Only a small fraction of regions boast a cost of living that is at least 20% higher than the national average, and regrettably, Chico falls into this category, which may not be suitable for those seeking an economically favorable living environment.

Housing costs significantly influence the Chico cost of living index, typically accounting for a substantial portion of one's post-tax income. Regrettably, within this particular region, expenses related to both residential ownership and renting exceeded those observed in an average city by 68.6%. This entails elements such as housing and rental prices, mortgage interest rates and insurance costs.

What Do Locals Say About the Cost of Living in Chico?

The most insightful perspective on a city comes from its residents. We recently surveyed 18 locals to gauge their perception of the cost of living in Chico. The feedback revealed that 39% of respondents found the cost of living to be reasonable, with prices on the decline, while 61% regarded it as notably expensive with prices that continue to rise.

Is Chico Affordable?

Is Chico an affordable place to live? That's a valid question to ask when you're thinking about moving to a new city. After all, how much it costs to live somewhere can be a huge factor in your decision. Affordability can be broken down into 3 common categories. The cost of living index (we talked about it earlier), housing expenses and income levels all play a big role in figuring out if a place is affordable. For instance, in Chico, the median home price is 89.1% higher than what most folks pay across the country, and monthly rent prices are 20.7% higher than the usual rates. Income levels in Chico come in at $57,357, which is 3.7% higher than the national average.

What Factors can Influence the Cost of Living in Chico?

Taxes: Locations with elevated tax rates, encompassing both sales and income taxes, can be a factor in driving up the cost of living. When you're paying more in taxes for everyday goods and services, it naturally translates into higher expenses. Similarly, a higher income tax rate can also contribute to an overall higher cost of living. In Chico, the standard sales tax rate starts at 7.25%, and the income tax rates commence at 1%.

Urbanization: Urban areas with extensive amenities and job opportunities tend to have a higher cost of living due to increased demand for services and relocation, resulting in higher home prices and higher rents. Less densely populated rural areas, or areas with less demand tend to have fewer amenities and slower job growth, which results in a lower cost of living.

Transportation: If public transportation is limited or not available, residents may need to own and maintain vehicles, which can add to the cost of living. Gas, insurance, regular maintenance and potentially lease or finance payments will all need to be paid on a monthly basis. In Chico, the transportation index is 20.8% higher than the national average.

Where is the Data From?

The cost of living data in Chico displayed above is sourced from the C2ER cost of living index, which serves as a practical tool for comparing living expenses across urban areas. Published on a quarterly basis, this index aggregates data from over 300 independent researchers, encompassing more than 60 goods and services, in 6 different categories. The weightings assigned to cost differences rely on government survey data that tracks the spending habits of professional and executive households. It's worth noting that the C2ER index excludes data on sales or income tax rates, while AreaVibes integrates tax rates into the overall cost of living evaluation for each region.

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Cost Of Living Quick Facts

  • The cost of living in Chico is 8% lower than the California average
  • The cost of living in Chico is 29% higher than the national average
  • Chico housing is 69% higher than the national average
  • California general sales tax is 42% higher than the national average
  • California state income tax is 61% lower than the national average

Most Affordable Places to Live in and Around Chico

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Compare Chico, CA Cost of Living

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      Salary Calculator

      This is how much you would need to earn in
      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$93,637$7,803$2,185$2,809
      Renters$35,957$2,996$839$1,079
      The affordability of the housing market in Chico, CA as well as the overall cost of living can be predicted by what percent of the monthly income is spent on housing related costs. This is konwn as the debt-to-income ratio (DTI). The overall rule of thumb is that no more than 28% of your gross income should be spent on the overall costs related to housing and no more than 36% of gross income on all expenses and debts. Among Chico homeowners, the median income is $93,637. This indicates that a monthly maximum of $2,185 should be spent by homeowners on all housing related costs. Renters have a median income of $35,957. This indicates that renters would have a maximum of $839 for their rent related monthly costs.

      California Sales Tax

      State General Sales Tax With Max Surtax
      California 7.25% 10.5%

      California Income Tax

      State Income Tax (Low) Income Tax (High)
      California 1% 13.3%

      Goods & Services

      Item Chico National avg. Difference
      Haircut $40.00$24.2664.9%
      Beauty Salon $60.53$45.5632.8%
      Toothpaste $3.67$3.701.0%
      Shampoo $1.44$1.2812.5%
      Movie $13.76$12.1313.4%
      Bowling $22.22$18.0023.5%

      Groceries

      Item Chico National avg. Difference
      Ground Beef $5.56$5.844.7%
      Fried Chicken $2.06$1.5731.0%
      Milk $4.93$4.675.5%
      Potatoes $4.69$4.935.0%
      Pizza $13.98$12.0915.7%
      Beer $10.49$10.410.8%

      Health Care

      Item Chico National avg. Difference
      Optometrist $153.50$125.6822.1%
      Doctor $201.43$135.7848.3%
      Dentist $115.72$113.292.1%
      Ibuprofen $11.03$10.653.5%
      Lipitor $380.45$468.6018.8%

      Housing

      Item Chico National avg. Difference
      Home Price $349,300.00$184,700.0089.1%
      Avg. Mortgage Payment $3,182.68$2,346.6935.6%
      Apartment Rent $1,145.00$949.0020.7%

      Transportation

      Item Chico National avg. Difference
      Gasoline $4.51$3.4630.2%
      Tire Balancing $58.67$59.922.1%

      Utilities

      Item Chico National avg. Difference
      All Electricity $238.53$193.9923.0%
      Phone $190.81$192.250.7%
      Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

      Nearby cities with low cost of living

      City Population Cost of Living Index National Avg.
      Hamilton City, CA2,4461088.1%
      Magalia, CA11,4441109.6%
      Paradise, CA17,56011818.1%
      Vina, CA21213636.4%
      Cohasset, CA49713737.3%
      Chico, CA98,68312928.7%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Boca Raton, FL98,77614444.3%
      Beaverton, OR98,56713535.0%
      Lee's Summit, MO98,9971032.7%
      Saint-Jean-sur-Richelieu, QC99,027n/a 
      Roanoke, VA99,122927.9%
      Chico, CA98,68312928.7%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.