Cost of Living: Indianapolis, IN vs Salem, OR (2026)

Indianapolis

Indiana
74
VS

Salem

Oregon
105

Indianapolis is 30% cheaper than Salem.

$1,112/mo ↓ 16%
Median Rent
$1,323/mo ↑ 19%
$62,995/yr ↓ 12%
Median Income
$71,900/yr ↑ 14%
$207,000 ↓ 46%
Home Value
$382,400 ↑ 85%
$1,124/mo ↓ 22%
Owner Costs
$1,440/mo ↑ 28%
882,043
Population
176,666

Tax Comparison

3.05%
Income Tax
9.9%
7.0%
State Sales Tax
0%
0.83%
Property Tax
0.93%

Affordability

21.2%
rent-to-income
Affordability
22.1%
rent-to-income

Detailed Comparison

When comparing Indianapolis, IN and Salem, OR, the overall cost of living indices are 74 and 105 respectively (national median = 100). Rent is $211/month cheaper in Indianapolis, saving renters about $2,532/year.

Median household income is $8,905/year higher in Salem. Home values also differ significantly — the median in Indianapolis is $207,000 compared to $382,400 in Salem.

Indiana has a lower income tax rate, making Indianapolis slightly more tax-friendly.

Frequently Asked Questions

Indianapolis vs Salem — common questions

Is Indianapolis or Salem cheaper to live in?
Based on our cost index, Indianapolis is cheaper to live in with an index of 74 compared to 105 (US average = 100).
What is the rent difference between Indianapolis and Salem?
Median rent in Indianapolis is $1,112/month and in Salem it's $1,323/month — a difference of $211/month.
Which city has higher income, Indianapolis or Salem?
Median household income is $62,995 in Indianapolis and $71,900 in Salem. Median household income is $8,905/year higher in Salem.
How do taxes compare between Indiana and Oregon?
Indiana has 3.05% income tax, 7.0% sales tax, and 0.83% property tax. Oregon has 9.9% income tax, 0% sales tax, and 0.93% property tax.
Should I move to Indianapolis or Salem?
It depends on your priorities. Indianapolis has a cost index of 74 with median rent of $1,112/mo, while Salem has a cost index of 105 with rent of $1,323/mo. Consider income potential, tax burden, and lifestyle preferences alongside raw cost data.
View Indianapolis details → View Salem details →

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