What does a cost-of-living index of 162 mean?

On a scale where the US average equals 100, Boston's 162 means living there costs about 62% more than the typical US city. The biggest driver is housing, which is far above national norms.

How do I find my city's index?

Cost-of-living indices are published by sources like the Council for Community and Economic Research. Many US cities fall between 85 and 200. If you do not know yours, use 100 to compare directly against the national average.

How is the equivalent salary calculated?

The tool multiplies your salary by the ratio of Boston's index to your city's index. Moving from a city at index 100 to Boston at 162 means you need 1.62 times your salary to maintain the same standard of living.

Does a higher salary fully offset the higher cost?

Only if the raise matches or exceeds the index ratio. If Boston pays you 40% more but costs 62% more, your real purchasing power falls. Compare the equivalent-salary figure here against any actual offer to judge it.

Boston Cost-of-Living Index

Q: Which categories drive Boston's high cost?

Housing is the dominant factor, running roughly twice the national average. Groceries, transportation, utilities, and healthcare are also above average but by smaller margins. Housing alone explains most of the 62% premium.

This tool benchmarks Boston’s cost of living against the US average using a composite index where 100 is the national norm. Boston sits at about 162, so it also computes the salary you would need to maintain your current standard of living after a move.

How it works

equivalent salary = current salary × (boston index / your city index)
percent difference = (boston index / your city index − 1) × 100

Each spending category carries its own index. Housing is the heaviest weight and the main reason Boston’s composite reaches 162; groceries, transportation, utilities, and healthcare are above average but contribute less to the total premium.

Example and tips

Earning $90,000 in a city at the national average (index 100), you would need about $90,000 × 1.62 = $145,800 in Boston to live equivalently — a 62% increase. When weighing a Boston job offer, compare the offered salary against this equivalent figure, not your current pay. Because housing dominates the index, choosing a smaller home or a commuter suburb can lower your personal cost well below the headline 162 even while groceries and healthcare stay near it.