Considering a move to Rhode Island? Known for its charming coastal towns and strong economy, the Ocean State offers a comfortable lifestyle with a coastal premium. The average cost of living in Rhode Island stands at 112.2 in 2025—about 12.2% higher than the national average.
This places Rhode Island among mid-tier New England states for affordability—more expensive than the US norm but cheaper than Massachusetts. It’s important to understand what that means for your budget and lifestyle. Here’s a look at Rhode Island’s average cost of living across housing, utilities, and groceries.
TL;DR: Average Cost of Living in Rhode Island 2025
- Cost of Living Index: 112.2 (12.2% above national average)
- Average Rent: $1,964/month
- Median Home Price: $492,939 (up 4.8% YoY)
- Average Utilities: $380/month (8% above US average)
- Grocery Costs: 5% higher than national average
- Required Household Income: $92,000 annually
- Typical Individual Income: $72,000 annually
- Childcare: $16,800 annually per child
Understanding Rhode Island’s Cost of Living
To live comfortably in Rhode Island in 2025, a typical family household needs about $92,000 annually. Meanwhile, single adults will spend roughly $4,260 per month on essentials like rent, food, and commuting.
Rhode Island is generally more affordable than Massachusetts but slightly pricier than Connecticut or New Hampshire. Therefore, it strikes a balance between cost and quality of life for those seeking coastal charm without Boston’s extremes.
Key monthly expenses include:
- Rent: $1,964
- Utilities: $380
- Groceries: 5% above the national average
- Transportation: $230
- Childcare: $1,400 per month per child
Housing and Rental Market in Rhode Island
When analyzing the average cost of living in Rhode Island, housing dominates much of the variance. The state’s average rent is $1,964 per month—19% above the US average. The median home price stands at $492,939, marking a 4.8% rise year-over-year.
How Rhode Island’s housing market compares regionally:
- Massachusetts: $2,400 rent (+18%), $605,000 home price (+23%)
- Connecticut: $1,850 rent (−6%), $454,000 home price (−8%)
- New Hampshire: $1,423 rent (−28%), $569,450 home price (+15%)
- Maryland: $1,662 rent (−15%), $435,024 home price (−12%)
- Minnesota: $1,264 rent (−36%), $351,614 home price (−29%)
Providence features a vibrant housing market driven by healthcare and education sectors. Newport, meanwhile, offers coastal luxury with premium home values, and Warwick provides suburban affordability.
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Utilities and Everyday Expenses in Rhode Island
Utility costs add slightly to the living expenses in Rhode Island, averaging $380 a month—about 8% above national norms.
Utilities by comparison:
- Massachusetts: +45% above US average
- Connecticut: +36% above
- New Hampshire: roughly equal (~$360/month)
- Maryland: +10% above
- Minnesota: −3% below
Groceries are also around 5% pricier than the national level. However, transportation costs remain fairly moderate, averaging $230 monthly. Gas prices hover around $3.73 per gallon—cheaper than in Massachusetts, yet slightly higher than in New Hampshire’s $3.50.
Healthcare costs in Rhode Island average 9% above the national mark, but are consistent with neighboring states like Connecticut and New Hampshire.
Average Salary and Job Market in Rhode Island
The average salary in Rhode Island needed for comfortable living matches its cost profile. A household typically requires around $92,000 annually, while individual earners need about $72,000.
In comparison:
- Massachusetts: $107,000
- Connecticut: $103,000
- New Hampshire: $95,628
- Maryland: $105,000
- Minnesota: $85,000
Therefore, Rhode Island offers fair wages for its regional cost structure. Its job market especially thrives in healthcare, education, and technology sectors, primarily in Providence and Warwick.
Is Rhode Island Expensive?
It depends on your goals. While Rhode Island’s costs sit 12–14% above the US average, it’s still lower than the nearby Massachusetts market. As a result, it’s an attractive option for those who want the coastal lifestyle without the top-tier prices.
Residents enjoy excellent amenities, accessible healthcare, and cultural richness spread across cities like Providence and Newport. However, housing and utilities remain the main budget stretchers.
Relocation Tips for Newcomers
For newcomers relocating to Rhode Island, focus on metro hubs like Providence for job access or choose coastal towns for lifestyle perks. Suburban neighborhoods near Warwick offer the best balance of affordability and commute time.
In addition, reviewing childcare and utility costs early will help in setting an accurate monthly budget. A pragmatic approach makes settling into Rhode Island’s active, seaside life far more comfortable.
Final Thought on Rhode Island’s Cost of Living
Overall, the average cost of living in Rhode Island makes it a moderately expensive but rewarding place to reside. It rivals neighboring New England states in quality of life while staying below Massachusetts’s steep costs.
Housing and utilities remain the high-end components, yet are balanced by strong job prospects and coastal accessibility. Therefore, for many professionals and families seeking balance, Rhode Island remains one of the most appealing spots in the Northeast.
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FAQs About Rhode Island’s Average Cost of Living
Is Rhode Island expensive compared to other states?
Yes. Rhode Island’s average cost of living is about 12.2% above the national average, mainly due to higher housing and utility costs.
What is the average rent in Rhode Island?
The statewide average rent in Rhode Island is $1,964 per month, which is roughly 19% higher than the U.S. average.
How much income is needed to live comfortably?
To live comfortably in Rhode Island, a household typically needs around $92,000 per year, while an individual would need about $72,000 annually.
Are utilities expensive in Rhode Island?
Yes. Rhode Island’s utility costs average about $380 per month, which is roughly 8% higher than the national average.
How do home prices compare regionally?
Median home prices in Rhode Island are $492,939, which is lower than in Massachusetts but higher than in Maryland and Minnesota, placing it in the higher range regionally.
