What does a cost-of-living index of 115 mean?

An index of 100 represents the US national average. Sacramento at 115 means overall costs are about 15 percent higher than the typical US city, driven mostly by housing. Categories like groceries and healthcare sit much closer to the national line.

Why is Sacramento's housing index so much higher than its overall index?

Housing is the single largest spending category and California's market pushes it well above average, near 150 on this scale. Because housing carries the most weight, it lifts the composite to 115 even though groceries and utilities are closer to 100.

How do I convert a salary between two cities?

Multiply your salary by the ratio of the destination index to the origin index. A 70,000 salary at index 100 needs 70,000 times 115 divided by 100, or about 80,500, to feel equivalent in Sacramento.

Is Sacramento cheaper than the San Francisco Bay Area?

Yes, substantially. San Francisco's index runs near 170 to 190, so Sacramento at 115 is roughly 30 to 40 percent cheaper overall, which is a major reason it draws Bay Area remote workers and commuters.

What categories make up the composite index?

The standard composite weights housing most heavily, followed by groceries, transportation, utilities, and healthcare. This tool shows each Sacramento category index separately so you can see exactly where the city is above or below the national average.

Sacramento Cost-of-Living Index

Sacramento’s composite cost-of-living index sits at about 115, meaning a typical basket of housing, groceries, transport, utilities, and healthcare costs roughly 15 percent more than the US national average of 100. This calculator breaks that single number into its component categories and shows what a salary needs to be to keep the same standard of living.

How it works

A cost-of-living index sets the US national average at 100. Each category gets its own index, and the composite is a weighted blend. Housing carries the most weight, which is why Sacramento’s composite (115) is higher than most individual categories. To compare a salary between two places, scale it by the ratio of the two indices:

equivalent salary = your salary * (destination index / origin index)

So a salary that feels comfortable at the national average needs to be 15 percent higher in Sacramento just to break even on cost.

Category breakdown

Sacramento’s category indices used here reflect city survey data: housing is the biggest driver at roughly 150, while groceries, utilities, transportation, and healthcare all land much closer to the national line. Because the composite is weighted toward housing, a renter in a pricey neighborhood will feel an even higher effective index than 115.

Example

If you earn 70,000 at the national average and move to Sacramento, the equivalent salary is 70,000 times 115 divided by 100, or about 80,500. Coming from San Francisco (index near 180) the move works the other way: your buying power rises sharply, which is the core appeal of relocating to Sacramento from the Bay Area.