Is Indianapolis, IN cheaper than Madison, WI?

Based on cost of living data, Indianapolis, IN is 17.1% cheaper than Madison, WI. This translates to saving $1286 per month.

What salary do I need in Indianapolis, IN to live like I do in Madison, WI?

If you earn $150,000 in Madison, WI, you'd need approximately $134,571.429 in Indianapolis, IN to maintain the same standard of living.

How does housing cost compare between Madison, WI and Indianapolis, IN?

Housing in Indianapolis, IN is 29.2% cheaper than in Madison, WI. For a two-bedroom apartment, rent is $1,360/month in Indianapolis, IN compared to $1,835/month in Madison, WI.

How much can I save per month by moving from Madison, WI to Indianapolis, IN?

Moving from Madison, WI to Indianapolis, IN could save you approximately $1286 per month, or $15429 per year, based on a $150,000 salary.

Madison, WI vs Indianapolis, IN: Cost of Living Comparison 2026

MoveNumbers

Tap to swap

Cost of Living Comparison 2026

Current salary in Madison, WI

Numbers update automatically as you type

You'd save $1.3K/month moving to Indianapolis, IN

$150.0K in your current city equals $134.6K in Indianapolis, IN

Rent data from HUD ZIP-level estimates · COL index from Madison, WI area

Overall Cost

↓ 17.1%

Less expensive

Monthly Impact

$1,286

Savings

Annual Impact

$15.4K

Per year

Based on monthly living costs (rent, groceries, utilities, transport, healthcare). Home purchase prices shown separately below.

Madison, WI

Population:270K

Cost Index:100

Median Home:$427K

Indianapolis, IN

Population:888K

Cost Index:83

Median Home:$176K

Madison, WI

The Badger State

270K

Population

State Tax

Yes

Located in Wisconsin, this city has a population of 270K residents.

Indianapolis, IN

The Hoosier State

888K

Population

State Tax

Yes

Located in Indiana, this city has a population of 888K residents.

Cost Breakdown by Category

Annual spending: Madison, WI vs Indianapolis, IN

Category	Madison, WI	Indianapolis, IN	Difference	Change
🏠Housing	$2,755/mo	$1,949/mo	↓ $806less	29.2%
🚗Transportation	$1,407/mo	$1,188/mo	↓ $219less	15.5%
📦Other	$1,791/mo	$1,590/mo	↓ $201less	11.2%
🏥Healthcare	$719/mo	$582/mo	↓ $136less	19.0%
🛒Groceries	$959/mo	$919/mo	↓ $39.97less	4.2%
⚡All Utilities	$508/mo	$503/mo	↓ $5.46less	1.1%

🏠Housing

↓ 29.2%

Madison, WI

$2,755

Indianapolis, IN

$1,949

Difference

$806

less

🚗Transportation

↓ 15.5%

Madison, WI

$1,407

Indianapolis, IN

$1,188

Difference

$219

less

📦Other

↓ 11.2%

Madison, WI

$1,791

Indianapolis, IN

$1,590

Difference

$201

less

🏥Healthcare

↓ 19.0%

Madison, WI

$719

Indianapolis, IN

$582

Difference

$136

less

🛒Groceries

↓ 4.2%

Madison, WI

$959

Indianapolis, IN

$919

Difference

$39.97

less

⚡All Utilities

↓ 1.1%

Madison, WI

$508

Indianapolis, IN

$503

Difference

$5.46

less

🏛️ Local Income Taxes

Indianapolis, IN: Marion County Income Tax$3,030/yr (2.0%)

Madison, WI has no local income tax.

Local taxes are in addition to state income tax. Not all cities levy local income taxes.

🏠Rent Comparison

Studio

From$1,370

To$1,030

↓ $340

1 Bed

From$1,605

To$1,170

↓ $435

2 Bed

From$1,835

To$1,360

↓ $475

3 Bed

From$2,425

To$1,760

↓ $665

Madison, WIZIP-level data

1BR range: $1,360–$1,840/mo

Indianapolis, INZIP-level data

1BR range: $1,080–$1,870/mo

💡 Note: Rent prices are based on HUD Fair Market Rent data and represent median costs. Actual prices vary by neighborhood, amenities, and condition. Source: HUD Small Area Fair Market Rents FY2026.

$8,139

Monthly in Madison, WI

$6,732

Monthly in Indianapolis, IN

$1,407

Difference

Home Values

Madison

Indianapolis

$427K

Median Value

$176K

↑ +2.3%

YoY Change

↓ -1.1%

↑ +37.4%

5-Year Change

↑ +26.9%

$359K - $534K

Price Range

$109K - $340K

Homes in Indianapolis are 59% less expensive than Madison

Calculate payment - Madison Calculate payment - Indianapolis

Source: Zillow Home Value Index (ZHVI), January 2026

Tax Comparison

Annual tax burden comparison at $150.0K salary

Tax Savings

↑ $4.0K

Per year

Monthly Difference

$334

More take-home

Effective Rate Diff

2.7%

Rate difference

Madison, WI

Federal Income Tax

Effective: 18.9%

$25.5K

Wisconsin State Tax

Effective: 5.9%

$8.8K

FICA Taxes

Social Security + Medicare

$11.5K

Total Taxes

Effective: 30.6%

$45.9K

Take-Home Pay

$8,678/month

$104.1K

Indianapolis, IN

Federal Income Tax

Effective: 18.9%

$25.5K

Indiana State Tax

Effective: 3.2%

$4.8K

FICA Taxes

Social Security + Medicare

$11.5K

Total Taxes

Effective: 27.9%

$41.9K

Take-Home Pay

$9,012/month

$108.1K

Additional Tax Information

Madison, WI Tax Rates

Sales Tax:5.6%

Property Tax:1.8%

Indianapolis, IN Tax Rates

Sales Tax:7.0%

Property Tax:0.9%

💡 Note: Tax calculations are estimates based on 2024/2025 tax brackets for single filers with standard deduction. Actual taxes may vary based on filing status, deductions, credits, and local variations.