Mississippi Cost of Living Calculator 2026

Compare cost of living in Mississippi to other US states and cities. See equivalent salary needed when relocating.

By Konstantin Iakovlev · Updated October 19, 2026 · Methodology

Current Annual Salary

Current City

Target City

Equivalent Salary Needed

$77,477.48

Difference

-$22,522.52

Cost Difference

-22.52%

Cost of Living Comparison

Austin, TX Index	111
Jackson, MS Index	86
National Average	100
Your Current Salary	$100,000.00
Equivalent in Jackson, MS	$77,477.48
You would need less	$22,522.52

Breakdown by Category (Annual)

Housing	-41.67%
Current (Austin, TX)	$40,000.00
Target (Jackson, MS)	$23,333.33
Food & Groceries	-4.00%
Current (Austin, TX)	$15,000.00
Target (Jackson, MS)	$14,400.00
Transportation	-14.00%
Current (Austin, TX)	$15,000.00
Target (Jackson, MS)	$12,900.00
Healthcare	-7.62%
Current (Austin, TX)	$10,000.00
Target (Jackson, MS)	$9,238.10

Cost of living indices are approximate and based on aggregate data. Individual expenses may vary significantly. Housing costs tend to have the largest impact when moving between cities.

Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.

Mississippi Cost of Living Overview

Understanding the cost of living in Mississippi means looking at taxes, housing, and everyday expenses together. Mississippi levies a progressive income tax, which directly impacts take-home pay. The average property tax rate is 0.54%, and the state sales tax rate is 7.00%.

Mississippi consistently ranks among the least expensive states to live in, and its tax mix is part of the reason. Income tax tops out at just 4% with an exempt band on the first dollars, property taxes average a low 0.54% of home value, and housing costs sit well below national norms. The main offset is the 7% sales tax, one of the highest base rates anywhere, which falls on everyday purchases including groceries, so a chunk of a Mississippi budget gets taxed at the checkout rather than on the paycheck.

Those forces pull a household budget in different directions. Low housing and property costs leave more room in the monthly budget, while the broad sales tax nudges day-to-day spending up. When comparing a salary in Jackson against an offer in a pricier metro, the headline number tells only part of the story: adjust for what rent or a mortgage actually costs, factor in the 4% income tax and 0.54% property rate against the other state's, and account for sales tax on the goods you buy regularly.

Mississippi Cost Snapshot (2026)

Avg. Property Tax Rate	0.54%
State Sales Tax Rate	7.00%
Minimum Wage	$7.25/hr
State Income Tax	Progressive (up to 4%)
State Disability Insurance (SDI)	No
Estate / Inheritance Tax	No
Local/City Taxes	Local sales taxes up to 1% (e.g., Jackson 1%, Tupelo 0.25%)

City indexes (U.S. average = 100) are planning estimates on one scale. The 29 cities added in August 2026 were reconciled from BestPlaces city pages, the Payscale and RentCafe cost-of-living calculators (both built on the C2ER Cost of Living Index) and the MERIC state index for Q1 2026; the original 30 large metros date from April 2026 and have not been re-checked since. Local rents and home prices can differ a lot within a metro, and the equivalent salary does not account for income taxes.

Official Sources:

Mississippi Cost of Living FAQ

Why is Mississippi considered an affordable state to live in?

Housing costs run well below the national average, property taxes average a low 0.54% of value, and the income tax caps at 4% with an exempt band on early income. Those three together leave more of a paycheck for other expenses. The notable counterweight is the 7% sales tax, which is high and applies broadly, including to groceries.

How do Mississippi's taxes affect a household budget?

The income and property taxes are gentle: 4% at the top and roughly 0.54% on a home's value, respectively, so payroll and homeownership take a smaller bite than in high-tax states. The 7% sales tax does the opposite, taxing routine purchases at the register. The net effect is that a Mississippi budget feels lighter on fixed costs like housing and heavier at the cash register.

How should I compare a salary between two Mississippi cities or against another state?

Start with housing, since rent or a mortgage is usually the biggest line and varies most by location. Then layer in the taxes you'd actually pay: Mississippi's up-to-4% income tax, its 0.54% average property rate, and the 7% sales tax on the goods you buy. A raise that looks larger in a high-cost metro can leave you with less spending power once housing and taxes are netted out.

Does Mississippi's high sales tax cancel out its low housing costs?

For most households, no. Housing is typically the largest single expense, and Mississippi's below-average home prices and 0.54% property tax create real savings there. The 7% sales tax raises the cost of everyday spending, but for a typical budget the housing advantage outweighs the extra sales tax, which is why the state still ranks as low-cost overall.