State Comparison

Illinois vs Indiana

Side-by-side comparison of 16 financial metrics including taxes, housing costs, cost of living, wages, and insurance — powered by verified government data.

Overall Score

4
Illinois
IL
vs
of 16 metrics
12
Indiana
IN

Cost of Living

Cost of Living Index
IL: 96.4
IN: 90.5
IN

Housing

Median Home Price
IL: $255,000
IN: $225,000
IN
Median 2BR Rent
IL: $1,178/mo
IN: $925/mo
IN
Closing Costs
IL: 3.00%
IN: 2.50%
IN
Transfer Tax Rate
IL: 0.10%
IN: 0.00%
IN

Taxes

Property Tax Rate
IL: 2.07%
IN: 0.85%
IN
Top Income Tax Rate
IL: 4.95%
IN: 3.05%
IN
Sales Tax Rate
IL: 6.25%
IN: 7.00%
IL
Capital Gains Tax Rate
IL: 4.95%
IN: 3.05%
IN

Income & Employment

Median Household Income
IL: $72,205
IN: $61,944
IL
Minimum Wage
IL: $15.00/hr
IN: $7.25/hr
IL
Max Unemployment Benefit
IL: $542/wk
IN: $390/wk
IL

Business

LLC Filing Fee
IL: $150
IN: $95
IN
LLC Annual Fee
IL: $75
IN: $32
IN

Insurance & Living

Avg Car Insurance
IL: $1,840/yr
IN: $1,420/yr
IN
Avg Home Insurance
IL: $1,780/yr
IN: $1,540/yr
IN

Key Takeaways

  • 1

    Indiana leads in 12 of 16 financial metrics, making it the more favorable state overall.

  • 2

    Housing: Median home prices are $255,000 in Illinois vs $225,000 in Indiana — a $30,000 difference.

  • 3

    Taxes: Illinois has a 4.95% top income tax rate while Indiana has a 3.05% top rate. Property tax rates are 2.07% vs 0.85%.

  • 4

    Cost of Living: Illinois's index is 96.4 and Indiana's is 90.5 (national average = 100).

Run the Numbers

Use our free calculators with real Illinois and Indiana data to model your specific scenario.

Illinois Property Tax Calculator Indiana Property Tax Calculator Illinois Paycheck Calculator Indiana Paycheck Calculator Illinois Cost of Living Calculator Indiana Cost of Living Calculator

Frequently Asked Questions

Is Illinois or Indiana more affordable?

Indiana has a lower cost of living index (90.5) compared to Illinois (96.4), where 100 is the national average. However, affordability depends on your specific situation — compare housing, taxes, and income together for a complete picture.

Which state has lower taxes — Illinois or Indiana?

Overall, Indiana has a lower combined tax burden. Illinois has a 4.95% top income tax, 6.25% sales tax, and 2.07% property tax. Indiana has a 3.05% top income tax, 7% sales tax, and 0.85% property tax.

What are housing costs in Illinois vs Indiana?

The median home price in Illinois is $255,000 compared to $225,000 in Indiana. For renters, a 2-bedroom apartment averages $1,178/month in Illinois vs $925/month in Indiana.

Which state is better for starting a business — Illinois or Indiana?

LLC filing costs are $150 in Illinois vs $95 in Indiana, with annual fees of $75 and $32 respectively. Illinois's 4.95% top tax rate compared to Indiana's 3.05% rate may also factor into your decision.

Should I move from Illinois to Indiana?

It depends on your priorities. Indiana wins in 12 of 16 metrics we compared. Use our free calculators to model your specific financial scenario — including salary, property tax, and cost of living for each state.

Related Comparisons

Illinois vs Wisconsin Illinois vs Michigan Illinois vs Iowa Illinois vs Missouri Ohio vs Indiana Michigan vs Indiana New York vs Illinois Kentucky vs Indiana

Comparing Illinois and Indiana

When deciding between living in Illinois or Indiana, the financial picture goes beyond just one metric. This comparison analyzes 16 key financial indicators sourced from the U.S. Census Bureau, Tax Foundation, HUD Fair Market Rent data, and Bureau of Labor Statistics to give you a comprehensive overview.

Illinois (IL) has a median household income of $72,205 with a cost of living index of 96.4. Indiana (IN) has a median household income of $61,944 with a cost of living index of 90.5.

These numbers are estimates. Individual circumstances vary based on location within each state, family size, profession, and lifestyle. Use our free Illinois calculator or Indiana calculator to model your specific financial scenario.

Data sources: Census Bureau ACS, Tax Foundation, HUD FMR, BLS. Last verified January 2026. Calculators provide estimates only — consult a qualified professional for financial advice.