Massachusetts · Population 117,794 · Updated March 2026
How far your income goes in Cambridge
State-level tax rates that affect your costs
Cambridge has a significantly higher cost of living than most US cities, driven largely by premium housing costs. With a cost index of 239 (where 100 equals the national median), Cambridge residents can expect to pay median rent of $2,742/month while earning a median household income of $126,469/year.
The median home value in Cambridge, MA is $1,040,500, with typical monthly owner costs around $2,634 including mortgage, insurance, and taxes. With a rent-to-income ratio of 26.0%, Cambridge falls within the generally affordable range, though it's approaching the 30% burden threshold.
Massachusetts's top income tax rate of 9.0% is among the highest in the nation, adding to the overall cost burden. Combined with a 6.25% sales tax rate and 1.15% effective property tax rate, the overall tax environment is a factor in the total cost of living in Cambridge.
Common questions about living costs in Cambridge
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