Cost of living can be a little tricky to calculate.
I’ll leave it to people a little smarter than me.
A bunch of companies do research on the cost of living. Here are a few resources…
NerdWallet’s cost of living calculator
PayScale.com – This site has nice visuals. Omaha is 8% lower than the national average.
BestPlaces.net – Omaha is rated an 89.8. “Our cost of living indices are based on a US average of 100. An amount below 100 means Omaha is cheaper than the US average. A cost of living index above 100 means Omaha, Nebraska is more expensive.”
The biggest expense for most people is housing.
If you research the median or average home price in Omaha, you have to be careful. Right now, many sites will say it’s around $250k.
That is a little deceiving because most sites will only tell you the median price of a Omaha inside Omaha’s city limits. They won’t include new developments that haven’t officially been annexed by the city. And they won’t include Sarpy County.
If you include the entire metro area, it is likely closer to $300k.
Although homes in Omaha are affordable, property taxes are some of the highest in the country.
I created a list of reasons you may not want to move to Omaha, and taxes were high on that list.
Accolades Omaha Has Received
U.S. News & World Report ranked Omaha #15 as on the list of Most Affordable Places to Live in the U.S. in 2021-2022
Also in 2021, U.S. News & World Report ranked Omaha one of the 25 best places to live in the U.S.
An important factor in that decision was the area’s low cost of living and the strong job market. “Omaha area residents spend just 20.42% of the area’s median household income on housing expenses, which include rent or mortgage payments, property taxes, utilities and more.”
Smart Asset ranked Omaha the 4th best city for first-time home buyers in 2021.
Livability.com ranked Omaha the 13th best place to live in the U.S.
I created a separate page on all the recent accolades Omaha has received.
Hidden Benefits of Omaha’s Low Cost of Living
Many people love Omaha (and stay here) because of all the freedom you get with the low cost of living. When living expenses are low, it allows you to spend money on other things.
Entertainment & Dining Out
If you have extra spending money, you can go out and enjoy concerts or going out to eat more frequently.
Many people choose to live in Omaha so they have money to travel the U.S. or the world. Although we don’t have a huge international airport, Eppley Airfield is really convenient, it’s easy to get to both coasts, and you’re one stop away from almost anywhere in the U.S. and many International destinations.
If you’ve always dreamed about a second home, living in Omaha can make that a reality. Some people choose a vacation home in Arizona or Florida, others prefer a condo in Colorado, while others stay a little closer to home and have a home on a lake.
Belonging to a private country club is obtainable in Omaha. You don’t need to be filthy rich, well-connected, or even like golf. Some people become social members to enjoy a clubs private pool, gym, dining, etc.