Cost of living in Montana

Cost of Living in Montana

    DISCLAIMER By continuing, you agree that our moving specialist partners may contact you by text message, email, and/or phone (Possibly by auto-dialing or recorded message) to get in touch with you to provide a quote and/or for marketing purposes. You understand consent is not a condition of purchase of movingist. You also agree to the Privacy Policy.

    Montana is the state where all the fun happens!

    Nature thrives here, and with all the mesmerizing wonders, low taxes are just a cherry on top. With just over a million population, it is the 4th largest state by area.

    But things are changing now.

    As per the report by the Bureau of Business and Economic Research, Montana’s net migration rate is now three times higher than the average for the last two decades, thanks to its business-friendly policies.

    So, if you’re planning on moving to Montana, you must be searching for the average cost of living in Montana.


    And this is where we came in with our detailed insights. So, before you start packing your bags, let’s just debunk some facts and myths.

    Is Montana Really The Cheapest State?

    Unfortunately, the answer is no. It is true that the state doesn’t have any state sales tax, but real estate here is so expensive. 

    Due to the high housing demand in certain cities, i.e., Bozeman, the cost of living is now 20% higher than the national average. Have a quick look at the 5 important facts:

    • As per the US News, Montana ranks at #19 when it comes to affordability. 
    • It is the 6th best-performing economy in the US.
    • The healthcare is affordable but ranks as the 35th best in the country.
    • The Median income is $35,272.
    • Currently, the core inflation rate is 5.5% here.

    The best thing is for employment and growth, it is one of the best places with the overall rank of #7, and no levy tax makes it the top spot for opening a new business. 

    What Is The Cost Of Living In Montana – Your Quick Answer!

    The median income in the treasure state is slightly over $35,000. Apart from personal expenditure, around 30% goes to healthcare and housing utilities. Here’s a breakdown of annual per-capita cost:

    • $7770 for housing and utilities 
    • Over $8,200 for health insurance
    • Around $4000 for food and beverages
    • $1500 for gas and transportation
    • The remaining $13500 is either your saving or personal expenditure
    What Is The Cost Of Living In Montana

    How much does it cost to live in Montana a month: You’ll need around $4000 per person (adult) to live a month comfortably.

    Cost Of Living In Montana – Detailed In-Depth Overview

    Usually, there are 7 main aspects of life that will take the biggest chunk of your income. From utilities to the taxes system, we’ve got you covered on everything.

    1. Monthly Grocery Costs In Montana

    A single adult in Montana spends an average of $3,178 on food each year, while a family of four spends $9,179.


    To put things in perspective, a single adult’s yearly food spend is $3,240, while a family of four annual food cost is $9,354.

    Montana Grocery Cost Comparison

    These figures are based on a nutritionally appropriate diet purchased from a grocery shop and prepared at home. Our cost of grocery indices is based on a US average of 100.

    Montana Grocery Cost Comparison

    Are groceries expensive in Montana: The average cost of food shopping in the city is 4.6 % more than the national average.

    2. Montana Healthcare

    During the course of a single year, a single adult without children may expect to spend around $2,450 on medical treatment.


    It is reasonable to anticipate paying $6,857 for a family of four with two working adults and two children.

    Montana Health Systems City Wise Comparison

    All citizens are bound to have insurance. Compared to the national index of 100, health systems in Montana are a bit expensive, and you are expected to pay around 2% more.

    Montana Health Systems City Wise Comparison

    Does Montana have affordable health care?

    Obamacare allows Montanans to obtain cheap private health insurance. Individuals, families, and self-employed professionals without workers can enroll in the plans. 

    Bronze, silver, gold, and platinum plans are available. Your medical expenditures are covered to the tune of 60% (bronze) to 90% (platinum) under your policy.

    Are you required to have health insurance in Montana?

    In accordance with the federal Affordable Care Act, all Montana citizens are obliged to obtain health insurance protection (ACA).

    The Affordable Care Act, popularly known as Obamacare, mandates everyone to obtain health insurance, regardless of where they reside.

    3. Montana Food Cost

    According to estimations by the Massachusetts Institute of Technology, the living wage in Montana for a single adult with no children is $23,671. 


    On average, MIT calculates that $3,573 of those wages goes toward food expenses. That equates to more than 15% of the population, approximately 2% more than the national average.

    Montana Food Cost Comparison

    In Montana, the average annual food expenditure for a single adult is $3,178, while the average annual expenditure for a family of four is $9,179.

    Compared to the national average of 100 index, Bozeman is the most expensive city when it comes to utilities and food. 

    Montana Food Cost Comparison

    4. Monthly Utilities Expense in Montana

    Montana has a monthly average energy cost of $94.75, which is much less expensive than the national average of $111.67.


    According to statistics from the United States Energy Information Administration (EIA) for 2017. 

    Citywise Utilities Cost Comparison 

    Billings is the most expensive city in Montana. Overall, Butte is perfect for families, with 86 points as compared to the national average of 100 indexes.

    Citywise Utilities Cost Comparison 

    How Much Is Gas In Montana: The average regular gas price is $3.48 per gallon while the premium gas cost is $4.047. 

    Average Electric Bill In Montana: On average, the residents of the treasure state pay around $97.84 in electric bills, which is way less than the national average of $121.01.

    Average Water Bill In Montana: On average, the residents of the treasure state pay around $41 for their water bill.

    5. Housing In Montana

    To buy a property in Montana, you’ll have to break the bank. Housing is very much expensive in the States.


    The Montana housing market remains strong in 2023, thanks to high demand and limited supply. 

    Montana Housing Prices Comparison

    Bozeman is the most expensive city to buy a property. You are expected to pay almost double the amount compared to buying a home in Texas or any other affordable state. 

    Montana Housing Prices Comparison

    Are homes expensive in Montana: Yes, homes in Montana are quite expensive. In Feb 2023, the typical home in the state of Montana was valued at $420,572.

    6. Renting In Montana

    Although the property is very expensive here, the rent is generally low. According to Apartment List, the state’s typical studio rent is $554.


    That’s $277 less than the national average. One-bedroom apartments ($618) and two-bedroom apartments ($785) are both $333 and $395 below the US median.

    Montana Citywise Rent Comparison

    Rents in Montana’s more prominent places might be a bit more. Missoula’s studio median rent is $687, one bedroom $742, and two bedrooms $918.

    Despite being over the state level, these rates are much below the national average.

    Rent in Montana

    Is it expensive to rent in Montana: Although there have been rent hikes in Montana, the average rent in the state continues to be 16% less expensive than in the rest of the country.

    7. Taxes in Montana

    Montana’s income tax system is progressive, with marginal income tax rates ranging from 1.00% to 6.90% at the top and bottom of the scale. 


    According to the Montana Department of Revenue, the state’s average effective property tax rate is 0.85%, which is much lower than the national average of 1.19%.

    Rates in Fallon County range from 0.47% to 1.56%, whereas those in Blaine County are higher. Montana does not have an estate tax as of the beginning of 2005.

    Is Montana a tax free state?

    For starters, there is no sales tax in the state, which decreases the cost of living in Montana for everyone.

    Its property taxes are likewise comparatively inexpensive compared to other cities. 

    How much taxes do I pay in Montana? The state imposes a personal income tax, with rates ranging from 1 % to 6.75% depending on income.

    Is it cheap to live in Montana?

    Despite the fact that home costs are on the increase, Montana is still an affordable location to live, making it an excellent spot to start a family.


    The state has a lot of business opportunities for everyone.

    The groceries and utilities are not much expensive, but the rent and healthcare system will consume the biggest chunk of your monthly income. 

    Overall, the city in which you decide to live also matters the most. For example, the most expensive city to live with a family is Bozeman while Havre and Billings are considered affordable. 

    How Much Money Do You Need To Live Comfortably In Montana?

    You’ll need around $40,000 per annum to live comfortably in Montana. Overall, the median income here is $35,000.

    The hourly wage in Montana is $23.75, so you’ll need to work a minimum of 38 hours weekly to meet ends. 

    Wrapping It Up!

    Ready to pack your bags? Well, we hope that we were able to help with our detailed guide on the average cost of Living in Montana. 

    So, if you’ve made up your mind and are looking for affordable cross-country movers, do tell us! Because we have the best services available for you.

    Whether you want to move or just want to have a fun trip, the best time to visit Montana is now!